Currently, PrivateSend has 4 denominations (estimated follows): 10 Dash, 1 Dash, 0.1 Dash, 0.01 Dash. At the current price range of ~$250 means that the lowest size is $2.50. That also means, that for a private send transaction the fee can be up to $2.50, and at Dash's peak price the fee could be $15. Of course this high fee is due to the fact that a change address cannot be used without compromising privacy.
This issue is to breach the conversation about creating a smaller denomination and implement that in 12.4. The change should be easy to implement, from my knowledge of the PS codebase, but before I tried to go into it I wanted to see if there would be any debate over if we should lower the smallest denomination.
Based on https://dashradar.com/charts/mixing-transactions-per-day-by-denomination, looking at only 10 Dash denoms on a 30 day SMA, it appears that only 50-60 mixing transactions happen per day for the 10 Dash denom. Based on that I would argue that that keeping the 10 Dash denom actually hurts privacy due to it's low liquidity.
All in all, this issue states that we should introduce a 0.001 Dash denomination and remove the 10 Dash denomination and implement that in 12.4, preferably. Thoughts?
Currently, PrivateSend has 4 denominations (estimated follows): 10 Dash, 1 Dash, 0.1 Dash, 0.01 Dash. At the current price range of ~$250 means that the lowest size is $2.50. That also means, that for a private send transaction the fee can be up to $2.50, and at Dash's peak price the fee could be $15. Of course this high fee is due to the fact that a change address cannot be used without compromising privacy.
This issue is to breach the conversation about creating a smaller denomination and implement that in 12.4. The change should be easy to implement, from my knowledge of the PS codebase, but before I tried to go into it I wanted to see if there would be any debate over if we should lower the smallest denomination.
Based on https://dashradar.com/charts/mixing-transactions-per-day-by-denomination, looking at only 10 Dash denoms on a 30 day SMA, it appears that only 50-60 mixing transactions happen per day for the 10 Dash denom. Based on that I would argue that that keeping the 10 Dash denom actually hurts privacy due to it's low liquidity.
All in all, this issue states that we should introduce a 0.001 Dash denomination and remove the 10 Dash denomination and implement that in 12.4, preferably. Thoughts?