Fundamentally, masternodes are the 'trusted 3rd party security hole' that Szatoshi Nickamoto warned us not to use.
Masternodes are part of Dash's multilevel HYIP marketing scheme.
Your masternodes earn Dash, so you can buy more masternodes.
They don't actually DO anything useful, and present a vastly expanded attack surface to adversaries.
Unbelievably, payouts are centrally directed by a master-masternode, which makes Dash an unregistered/illegal money transmitting business.
I wouldn't want the stolen BTC from BTer.com passing through my masternode, but the DashHoles are demonstrably eager to participate in the plunder and launder coins for the thieves.
If you bring these facts up on the DashHole thread, the cult-like community alternatively attacks and fake-ignores you for disturbing their groupthink and cheerleading.
Wait, so it's ok if the thieves use Monero to launder their coins, rather than Dash?
See what I mean?
The DashHoles think they can deflect critcism away from Dash if they change the subject.
Subject wasn't changed. The subject of this thread (and many others) is actually Monero. And getting it mentioned along with the leader, DASH.
The leader of what? Anonymity, no. Marketcap, no. Reputable coins, no. Fair distribution, no. Knee-jerk reactions of every thread that is potentially critical of x/dark/dash, yes. Leader of renaming your coin to escape the truth of an instamine, yes.
Anyway, back to Amway-nodes. They are very good at keeping large amounts of coins locked-up and off the market, but they add an attack vector, so rationalizing them into a privacy coin is dumb. Now, if you wanted a non-privacy coin with a built-in method for power centralization, they're one of the best ideas ever. Especially if you create a reward system that benefits masternode operators if they attack other masternode operators to reap the highest profit margin. As the Dash Bitcointalk page outlines here:
