Swarm Fund, “the blockchain for private equity”, is launching a Dash Masternode (DMN) Token that will represent a fractional form of DMN ownership including proportional block rewards and voting rights.
Philipp Pieper, CEO and Co-Founder of Swarm, emphasized how they like the Dash governance system and want to extend that opportunity to communities that may not be able to afford the cost (1,000 Dash) to own a full Masternode.
“Dash is a leader in cryptocurrency, and at Swarm we have long admired Dash’s focus on community and decentralized governance. Extending access to dash masternode rewards and voting rights to more individuals is the perfect use case of our infrastructure [and] is firmly aligned with our values”.
Swarm will be using the liquid democracy voting module (LDVM) built in partnership with SecureVote to extend voting rights to all partial masternode ownership tokens. Timo Lehes, Co-founder and Chief Investment Officer, emphasized how they “plan to file with the SEC under Reg A+ and make the DMN token available to the general public” in order to make DMN as widely accessible as possible. They also plan to eventually expand into other “Node as Service” opportunities. Swarm Fund’s commission of the payout was not mentioned.
Expanding cryptocurrencies to an even wider demographic
The Dash network is structured to allow for Masternodes to stake 1,000 Dash in order further secure the network and be incentivized when voting for treasury proposals. The payouts they receive as rewards for their service is inaccessible to many because of the large upfront costs, but partial Masternode ownership is breaking that barrier. Traditionally, large and scarce investments like DMNs were permanently unavailable to average investors since there were often legal requirements to be an accredited investor to have access to larger (and more profitable) investments. Cryptocurrencies are breaking down that artificial monopoly by allowing companies to raise funds via coins and tokens, which allows average investors to seek those large payouts by making their own risk/reward decisions.
Swarm Fund is not the first to launch a Dash Masternode partial ownership network since Neptune Dash and DashMasternode.io are operating similar programs. Neptune Dash is a publicly traded company that allows investors to also buy partial ownership of a Masternode. Neptune Dash has increased accessibility to more individuals, but still remains on stock exchanges, which is still a barrier to entry for some individuals. DashMasternode.io offers partial ownership, but still requires a minimum of 20 Dash to get started, which is also a barrier to entry for some individuals. However, DashMasternode.io provides 90% of the payout and only takes 10% for fees. Nevertheless, these networks are increasing financial access and independence for more individuals.
Dash provides financial independence
The Dash masternode system is integral to the functioning of the Dash network, which has enabled personal financial independence on two fronts. First, Dash Masternodes have enabled individuals to help contribute to the network and gain an income from providing that service. Second, Dash Masternodes have helped Dash to become a cryptocurrency that consumers can use in everyday transactions, which grants them freedom from money being manipulated against their best interests by their governments and banking institutions.
Now, with another company offering Masternode shares, the Dash network continues to enables individuals of all wealth levels to participate in the Masternode network and receive a proportional monetary and voting share based on their contribution. This will also contribute to increasing the security, robustness, and innovation of the Dash network by increasing and diversifying its Masternode owners. Dash has already been providing monetary and financial independence through multiple channels and the increasing amount of third parties introducing new channels to more consumers demonstrates that Dash is becoming increasingly popular.
