Alright, get ready to dive into the mysterious world of Zcash (ZEC)!
What is Zcash?
Zcash is like the superhero of privacy in the crypto world, keeping your transactions on the down-low. While other cryptocurrencies, like Bitcoin, leave footprints all over the blockchain, Zcash offers users an optional cloak of anonymity. Launched in 2016, Zcash introduced “shielded addresses,” encrypting transaction and address data stored on its blockchain. Now, you can choose whether you want your transactions to be as transparent as a glass slipper or as hidden as buried treasure.
Who’s Behind Zcash?
The origins of Zcash trace back to 2013 with the Zerocoin white paper, written by professors Matthew Green and Eli Ben-Sasson, among other brilliant minds. The project was then turbocharged by cryptographer Zooko Wilcox in 2015 when he founded a startup to explore the ideas behind Zerocoin. Zcash was finally unleashed to the public in October 2016.
How Did Zcash Launch?
Launching Zcash wasn’t just a walk in the park. It required a unique setup called the “Zcash ceremony” or “Zcash trusted setup.” This process involved a global team creating a master public key for the blockchain using shards of a private key, with instructions to destroy the remaining data to keep it safe. It’s like a crypto ritual! As of 2020, the Electric Coin Company, led by CEO Zooko Wilcox, and the Zcash Foundation are at the helm, developing the Zcash blockchain.
What Makes Zcash Private?
Zcash’s secret sauce is a cryptographic technique called zk-SNARK, allowing anyone to verify data without revealing anything other than a true or false statement. It’s like having a secret handshake that only the right people can decode. Transactions between Zcash shielded addresses provide top-notch anonymity, keeping your business just that—your business.
How Does Zcash Work?
Apart from its privacy features, Zcash works like any other cryptocurrency. Both shielded and unshielded Zcash transactions are verified by nodes and recorded on the blockchain. Plus, Zcash was designed to be distributed in a unique way. For the first four years, 80% of its block reward went to miners, with 20% allocated to support the Electric Coin Company and the Zcash Foundation. This subsidy was set to expire in 2020, but as of early 2020, no vote had yet occurred to extend it.
Why Does ZEC Have Value?
ZEC is like the golden ticket of privacy-focused cryptocurrencies. Just like Bitcoin, there will only ever be 21 million ZEC. With its extra privacy features, some investors see ZEC as a valuable addition to their crypto portfolios. The thought is that as the demand for privacy in the crypto world grows, so will the value of ZEC.
Why Use ZEC?
Zcash has caught the attention of diverse groups. Ethereum, for instance, has been eyeing its privacy features, while major financial institutions like JP Morgan have been integrating Zcash’s tech into various blockchain softwares. However, Zcash faces its fair share of hurdles. Its larger blockchain size has raised concerns about network decentralization, and some exchanges have even delisted ZEC over regulatory concerns.
So, if you’re looking to keep your transactions as private as a top-secret mission, Zcash might just be the crypto hero you’ve been waiting for!
Stay cool and keep your crypto adventures mysterious! Catch you on the flip side!
Links:
https://z.cash/
https://twitter.com/zcash
https://t.me/zcash_community