Everything You Should

KNOW ABOUT DAGCOIN

THE PRESENTATION
 DEVELOPED IN ESTONIA
Dagcoin OÜ - The software company behind the development
of Dagcoin cryptocurrency and wallet. Also in charge
of creating the ecosystem around Dagcoin.

Estonia as a tech innovation hub has excellent environment

for creating disruptive technology

MISSIOON VISION

Our mission is to provide Dagcoin will be the most

alternative currency for widely used cryptocurrency
everyday use, focusing on in the world.
the Asian market where we
help unbanked people to
manage their assets better.

DAGCOIN PRESENTATION 2
 ESTONIA – WELL KNOWN IT-HUB
Online messaging app with
video chat service. Purchased
by Microsoft for 8.5 billion
USD. 1.5 billion downloads
and 300 million monthly
active users.
E-RESIDENCY
The first country to offer a
transnational digital identity
available to anyone in the
world interested in
administering a location
independent business online.
DAGCOIN PRESENTATION
International money transfer
service sending 650 million
USD every month saving 25
million of transfer fees for
customers.
E-VOTING
Estonia became the first
nation to hold legally binding
general elections over the
internet.
3
 HISTORY OF MONEY

6000 BC BARTER – Mesopotamian tribes started exchanging goods for

other goods in return

7TH CETN. BC METAL COINS – First coins appeared in ancient Turkey

7TH CENT. PAPER CURRENCY – Paper currency was first developed in

Tang dynasty China

1659 CHEQUES – The earliest known cheque which enabled a

customer to draw on the funds that he or she had in the
account in a bank

1958 PLASTIC CARDS – Bank of America launched the first

successful recognizably modern credit card

1980-s ONLINE BANKING – Banks launched their online banking

services

1997 MOBILE PAYMENTS – First Coca Cola drinks were bought via
text message

2009 CRYPTOCURRENCY – Bitcoin was released

DAGCOIN PRESENTATION 4
 CRYPTOCURRENCY

77% of world´s poor have no bank account.

That is more than 2 billion people.

Everyone who has access to internet can own and use

cryptocurrencies.

Cryptocurrencies can be bought from various exchanges and will be

stored in digital wallets.

Value of a coin is based on supply and demand. The bigger the trust
and usability the higher the demand, hence the value.
Fix amount of Coins are generated from a code and can not be
counterfeited.

Faster and cheaper transactions for both individuals and businesses

regardless of place and time.

Governments have real interest in low cost digital payment solutions -

they want to make payments to the poorest. They need to identify
them and get the money out to them efficiently.

DAGCOIN PRESENTATION 5
 WELL KNOWN CRYPTOCURRENCIES
The first and most famous
cryptocurrency.
Accepted in more than 500
000 stores. Price has risen
from 0.0001 USD to 6000
USD. Market capitalization
105 000 000 000 USD.
Price from 2 USD to 300 USD
in 1.5 years. Market
capitalization 30 000 000 000
USD.
DAGCOIN PRESENTATION
A more private and almost
untraceable cryptocurrency.
Price from 0.2 USD to
340 USD in three years.
Market capitalization
2 500 000 000 USD.
Structured to serve and
enhance the existing global
financial system. From mid
March 2017 to mid April 2017
price rallied from 0.005 USD to
0.2 USD thanks to massive
global implementation
in banking systems. Market
capitalization
8 000 000 000 USD.
6
 OPINION OF BUSINESS MOGULS

Very efficient digital payment structure set up

for all the poorest in the world. Through your
cellphone you should be able to send money to
your relatives and buy products.
It’s the digital revolution. Bitcoin is exciting to
me, it is better than currency.

BILL GATES

I think Bitcoin is working and there will be other

currencies like it that may be even better. There
is a big industry around Bitcoin and people have
made fortunes out of Bitcoins

SIR RICHARD BRANDSON

DAGCOIN PRESENTATION 7
 WHAT IS BLOCKCHAIN?

Most cryptocurrencies are based on innovational blockchain

technology.

A blockchain is a public ledger of all transactions that have ever been

executed.

It is constantly growing as 'completed' blocks are added to it with a

new set of recordings. The blocks are added to the blockchain in a
linear, chronological order.

To use conventional banking as an analogy, the blockchain is like a full

history of banking transactions. Transactions are entered chronologically
in a blockchain just the way bank transactions are. Blocks, meanwhile,
are like individual bank statements.

DAGCOIN PRESENTATION 8
 BLOCKCHAIN CHALLENGES

TRANSACTIONS PER SECOND

The ever-growing size of the blockchain is a problem for storage and

synchronization.

Bitcoin network can process 7 transactions per second and The Most
capable blockchains could theoretically process a few thousand
transactions per second.

Visa being the largest payments network is capable of processing

56 000 transactions per second. As cryptocurrency should help the
unbanked also the need for transactions is much higher than even
VISA can handle.

TRANSACTION FEES

Transaction fees rise with the increase of transactions. Users can pay
bigger fees to the miners to motivate them to confirm transactions
faster.

Blockchain is great for smart contracts and corporate bureaucracy, but

not for everyday currency.

Bitcoin is perfect as digital gold, but not as everyday currency.

DAGCOIN PRESENTATION 9
 DAG CHAIN
In addition to the information of the transaction, a DAG chain unit
includes the signatures of one or more users who created the unit and
references to one or more previous units (parents) identified by their
hashes.

Units are linked to each other such way that each unit includes one or
more hashes of earlier units, which serves both to confirm earlier units
and establish their partial order. The set of links among units forms a
DAG (directed acyclic graph).

There is no single central entity that manages or coordinates admission

of new units into the database, everyone is allowed to add a new unit
provided that he signs it and pays a fee equal to the size of added data
in bytes.

The fee is collected by other users who later confirm the newly added
unit by including its hash within their own units. As new units are
added, each earlier unit receives more and more confirmations by later
units that include its hash, directly or indirectly.

DAGCOIN PRESENTATION 10
Unlike blockchains where issuing a block is a rare event and only a
privileged caste of users is in practice engaged in this activity, a new
unit starts accumulating confirmations immediately after it is
released and confirmations can come from anyone, every time
another new unit is issued.

There is no two-tier system of ordinary users and miners. Instead,

users help each other: by adding a new unit its author also confirms
all previous units.

References to parents is what establishes the order (only partial order

so far) of units and generalizes the blockchain structure. Since we are
not confined to one-parent–one-child relationships between
consecutive blocks, we do not have to strive for near-synchrony and
can safely tolerate large latencies and high throughputs.

DAGCOIN PRESENTATION 11
 FIRST USES OF DAG CHAIN

DRAFT

Back in 2015, Sergio Demian Lerner, a cryptocurrency specialist from

Argentina, posted his draft (drafted already in 2012) of a coin based on
DAG chain, which he named Dagcoin. This never became a project and
remained just a draft, so no actual coin was created.

IOTA

In the end of 2015 a cryptotoken optimized for the Internet-of-Things

(IoT) industry called IOTA, was introduced. Instead of the global
blockchain, the main innovation behind IOTA is a DAG that they call
Tangle – a blockless distributed ledger which is scalable and lightweight.
IOTA is currently still in Beta.

BYTEBALL

Byteball was introduced in the middle of 2016. Byteball is a

decentralized system that allows tamper proof storage of arbitrary data,
including data that represents transferrable value such as currencies,
property titles, debt, shares, etc. There is an internal currency called ‘bytes’
that is used to pay for adding data into the decentralized database.
Other currencies (assets) can also be freely issued by anyone to represent
property rights, debt, shares, etc. Users can send both bytes and other
currencies to each other to pay for goods/services or to exchange one
currency for another.

DAGCOIN

Dagcoin is the first asset built on Byteball’s platform and network, apart
from Byteball’s internal currency bytes. Dagcoin and Byteball evolve
hand-in-hand: Dagcoin benefits from the developments of Byteball and
vice versa. The popularity of either one improves the network effect for
the other one.

DAGCOIN PRESENTATION 12
 DAGCOIN AS A CRYPTOCURRENCY
1 000 000 000 coins– suitable amount of coins for both big
purchases and also micropayment

Decentralized – first external cryptocurrency on Byteball

peer-to-peer network which gives you the control over your
money

Continuous development – community is developing the

platform and the wallets

Eco-friendly – no mining hence no heavy use of electricity

24/7 transactions – crossbank, crossborder, any time,

anywhere

Fast transactions – processing time of payments is only a few

seconds

Cheap transactions – low network running costs mean low

transaction fees for users

DAGCOIN PRESENTATION 13
 Secure – no risk of exposing your personal or card details

Easy to use – everyday currency for paying everywhere with

mobile phone

Vast ecosystem – games, merchants, financial services,

payment solutions

Valuable – high demand for this next generation

cryptocurrency

Strong vision – DAG is the future of financial world and

cryptocurrencies

Multisignature – possibility of several signature requirement

for payments

Conditional payments – possible to set a condition when the

payee receives the money, otherwise you can take the money
back

Mobile payments – no need to carry your cards or wallet, just

your phone

Fair Distribution – smaller amounts of coins are distributed to

more people

DAGCOIN PRESENTATION 14
 THE CRYPTO ECOSYSTEM SO FAR
People have not been educated about cryptocurrencies and the
benefits of using it. They need to understand it before they know how
to use it.

MARKETING BUDGET

Mainly due to lack of finances, info and knowledge about crypto

projects with great potential do not reach to regular people, only the
crypto enthusiasts know about them.
Scams, on the other hand, spend a lot on marketing.

LACK OF INTEGRITY

Scams rip people off and ruin the reputation of crypto. 90% of coin
companies overpromise and underdeliver.

WRONG MARKETS

Europeans and americans do not need cryptocurrency as much as

developing countries do.
More effort is needed for building the ecosystem in developing markets.

ACQUIRING CRYPTOCURRENCY MUST BE EASY & COST EFFECTIVE

Today there are only a few user friendly and cost effective exchanges.
Cryptocurrency has been mainly used for investments so most
exchanges use the situation and they charge higher exchange fees
than it would be reasonable to support mass adoption.

DAGCOIN PRESENTATION 15
 DAGCOIN APPROACH

Cryptocurrencies need years and years of exposure to the masses

before they start accepting and using it.

We educate people and reward them with our currency for free.
Everybody can purchase the coins, but people who have studied the
education materials can get coins for free.

We create usability through online games, educational games for

kids, participation requiring activities, e-commerce, financial services,
payment solutions.

We use affiliate system to reach to more people in a shorter time and

to build the popularity of the currency.

Heavy investments in continuous development to use the most

innovative tech.

DAGCOIN PRESENTATION 16
 WHY SHOULD DAGCOIN GAIN VALUE?

The price of a cryptocurrency depends on the demand. There can be

real demand only if the currency offers a solution to the end user.
Dagcoin is the first cryptocurrency that is capable of being a global
everyday

TECHNICAL FEATURES

Thanks to the Dag chain, Dagcoin enables us to make fast

transactions at a very large scale so there is no scalability issue. The
minimal transaction fees and the denomination system makes
Dagcoin suitable for micropayments.

USABILITY

The second major indicator is the ecosystem around the currency.

The development team behind Dagcoin has very big vision and
strong strategy for creating the infrastructure of merchants and
payment options around the currency and bringing the coins to
everyone’s wallets.

MARKETING

Combining traditional marketing, social media marketing and affiliate

marketing for promoting Dagcoin helps to spread the information
about the coin and its potential all around the world.

DAGCOIN PRESENTATION 17
 BEING ONE STEP AHEAD

We do not know what Dagcoin will look like after one or two years,
but we know it will always have the best and most innovative features.
Our developers are constantly working on the new tech to make it
better and better.

COMPLIANCE

More and more countries are coming out with regulations for
cryptocurrencies.

Dagcoin is committed to always following anti-money laundering laws

and regulations and to being in good relations with governments and
authorities.

DAGCOIN PRESENTATION 18
 DAGCOIN CORE VALUES

Every person on the Using cryptocurrency

planet has the right to must be easier and
have access to money and cheaper than regular
financial products. currency – if you have
access to internet you can
use it.

We invest heavily in tech Our strong focus is on

development to support educating the masses.
the people in need.

We support a charity in We have a burning desire

every country we are to make a difference.
present in and our
customers choose which
one needs our help the
most.

DAGCOIN PRESENTATION 19