Dinero, a digital cryptocurrency forked from DASH, was launched with the objective to
provide regular consumers with an option to carry out personal transactions at an extremely low transaction fee. Dinero Coin didn’t go down the conventional route of ICO or pre-selling to fund its project. Instead, it relied on generating 2 million DINs or Dinero Coins through premine.
A premine is a process in which a cryptocurrency developer generates their own coin for themselves to fund the project by awarding coins as a compensation. Premined coins can’t be bought or sold by general in a free market which can give developer a lot of control over the cryptocurrency defeating the entire purpose of true decentralization. That’s why, to maintain transparency and mulling over many options, the Dinero project promised the stakeholders that it will burn the premine.
Method of Burning Premined Coins
Premine coins will prove to be a hindrance in the progress of this project and would remain a negative talking point. That’s why, using this Dinero Burn program, 2 million premined coins were burned using the following method. https://github.com/dinerocoin/Dinero-Premine-Burn
• Run the Dinero burn program to which the link has been provided.
• Then create a new burn address and send the premined coins to that address.
• Wait until confirmation is received that premined coins are now in the burn address.
• Now open Dinero data directory on your computer to show wallet.dat.
• Show sending and receiving address to wallet and dump private key on burn address.
• After confirmation delete wallet.dat and empty trash can.
Effects of Burning
It is an unfortunate reality that a majority of Master node coins are not technically decentralized because of the existence of premined coins. In Dinero Coin’s case, 2% of the total supply capacity were premined to fund the project. However, 8 months into the project, those 2% still formed two-fifths or 40% of the total supply available giving the project developer immense control over the cryptocurrency.
Had these premined Dinero Coins been not burned, few people could have had concentrated power to manipulate the price. That’s the antithesis of decentralization. Burning those coins will give project a new start and will reinforce the trust of stakeholders who have put their faith in the project by investing their resources. The future of the currency will now be in the hands of the coin’s Masternode owners.
After the burning process of premined Dinero Coins is complete, the team behind the project is committed to fix technical issues in the Governance code. Chapter 3 of this successful journey is now about to complete as all volunteer members of the Dinero Project now look forward to Chapter 4. If you want to be a part of this revolution that will empower the future of personal transactions, feel free to join us here on Discord. https://discord.gg/8gz9uej
The Video how it was done