Dash Block Rewards Reduce by Another 7% as the Network Gradually Transitions to Fee-Based Rewards

dash coin

This week Dash cut its block rewards rate by 7.14%, a feature that is specifically designed to curb inflation of the coin. Similar to Bitcoin’s halving events that happen every 210,000 blocks (or roughly every 4 years), Dash also adjusts its emission rates every 210,240 blocks which translates to loosely every 383.25 days.

The most recent block rewards reduction happened late Wednesday evening on April 10th at bock #1,051,200. The next emission adjustment, according to Mark Mason, a vocal Dash community member and Director of PR and Media working with DashpayNews, is estimated to occur on Sunday, May 23rd, 2020.

Both Bitcoin and Dash anticipate migrating from a reliance on block rewards and more towards transaction fees as block rewards reduce every time the emission adjustment happens. So far Bitcoin which started at about 50 BTC reward for every block mined has adjusted three times and rewards are now emitted at the rate of 12.25 BTC.

dash logo It’s expected that the last Bitcoin will be mined in the year 2140. However, according to the emission algorithm, more than 99% of all total Bitcoin will have been mined by the year 2048. By this time, miners will be relying on transactions fees to maintain the network.

In contrast, Dash, which is an offshoot of Bitcoin is based around the same coin emission concept, however, block rewards will be reduced at a more gradual rate than Bitcoin offers – 7.14% against 50%. According to the Dash documentation:

“Dash will continue to emit coins for approximately 192 years before a full year of mining creates less than 1 DASH. After 2209 only 14 more DASH will be created. The last DASH will take 231 years to be generated, starting in 2246 and ending when emission completely stops in 2477.”

A maximum of 18,921,005 DASH will be released into circulation at full emission in the year 2477 assuming that the Dash treasury, which receives 10% of all block rewards, will get the maximum allocation. Otherwise, 17,742,696 DASH will be released into circulation if we assume that the Treasury receives none of the block rewards.