Introduced back in October 2016, Zcash is among the latest additions to the cryptocurrency platform. It has been rated as one of the top 6 types of cryptocurrencies in the world.
Background of Zcash
The date that Zcash was introduced as 28 October 2016. Z stands mostly for Zero. What Zcash aims to do is to provide a better platform with improved privacy for its users. This is where cryptocurrencies like Bitcoin is being used as the benchmark. In fact, Zcash aims to use cryptography as the platform is offering this.
Zooko Wilcox-O’Hearn was the main behind Zcash. He is the founder and CEO of Zcash Company together with Matthew D Green, a John Hopkins University cryptographer. Before Zcash, Zerocoin was used before it was improved into what was then known as the Zerocash system. Later on, it was further developed into the Zcash cryptocurrency.
Highlights of Zcash
Like any other form of cryptocurrency, Zcash has a fixed total supply circulated. This is at 21 million units. Initially, 20% of the coins created in the first 4 years of its release were given out as rewards to those involved in launching Zcash like the developers and investors, among others. Other highlights include:
- published on a public blockchain
- allow users to use a privacy feature that is optional
- the sender, receiver and the amount can be concealed if necessary
How does Zcash work
Through Zcash, the transactions being carried out can be ‘transparent. This is in essence quite the same as how Bitcoin works via a zero-knowledge proof known as zk-SNARKS. The z-addr controls the shielding of transactions carried out. As such, Zcash coins become either transparent or shielded through their respective pools. An option of ‘selective disclosure’ is provided for private transactors which are important for auditing when the user needs to prove payment.
How different is it with Bitcoin?
While Bitcoin is digital money, Zcash prides itself as private digital money. This means that the transaction details in Bitcoin can be viewed in the public domain while this is not possible through Zcash. Zcash still pales in comparison of market capitalization with Bitcoin. Mining is the way to release Bitcoin while user get some form of reward for mining Zcash.
Zcash in Malaysia
Cloud mining is the only way to get Zcash. Zcash mining pools are among the most popular methods which include names like Zcash Flypool, Coinmine and Suprnova, among many others. To buy Zchas, you can use a currency-changer like Cryptonator.
Zcash – 2021 Updates
Since 2018, Zcash has been growing steadily to become very significant crypto around the world. A bug was discovered in March 2018 that would expose the network to an infinite amount of Zcash which is counterfeit by an attacker. A year later, the Zcash company changed its name to the Electric Coin Company. It would then join the Bootstrap Project in late 2020 which will see the company becoming a wholly-owned property of Bootstrap although there will be no major changes within its structure.
As of May 2021, the price of ZEC was around US$65. This puts the crypto’s market capitalization to be around US$670 million. The highest price that the ZEC reached was back in October 2016 when it reached US$5,900. However, it reached its all-time low not too long ago in March 2020 when its price was only US$18.94. The stable price of ZEC hovers around the US$45 range. This was evident in the first quarter of 2018 when Zcash was around US$40 while it reached US$120 by the end of the second quarter that year.
It launched the first halving in late 2020 and predictions have been positive for the next few years from 2021. Market analysts strongly believe that the Zcash would not fall below US$50 from 2021 onwards and that it should reach US$70 by the end of 2021. If this trend continues, it should reach the stable point of US$100 by 2023 which would be double from this year on.
The JPMorgan-Zcash Partnership
In a move that sees a wider acceptance of cryptocurrencies, JPMorgan recently announced that it was partnering with Zcash. When the world’s largest bank makes a statement of intent like that, it shows just how significant is the market.
The announcement came in 2017 when JPMorgan and Zerocoin Electric Coin Company appeared at CoinDesk’s Consensus 2017 that they were going to integrate the ZSL. This would be a security layer that can carry out transactions on the blockchain securely and more importantly, anonymously. The zero-knowledge platform makes transactions possible through the use of the Zcash digital currency. With JPMorgan onboard, it would be the first (of many to come) where this platform becomes adopted in a more formal system.
It will use JPMorgan’s open-source blockchain as the basis and the integration would surely lead to more utilization of the assets. They will be fitted on the Quorum platform which is already providing firms to run smart contracts that are privacy-oriented. With the zero-knowledge security layer, the transactions’ settlements can now be carried out within the blockchain and not how they used to be. This is likened to the SSL (Secure Socket Layer) technology where it functioned as an additional security layer on top of HTTP, the ZSL will be similar but comes with the anonymity feature critical in the blockchain which is way more public.
This is seen to be a bold move especially since it was not even considered a possibility only a few years back. The CEO of the bank had stated in 2015 that cryptos designed to evade government control might not see the light of day but that distributed ledger systems could be the way forward. With Quorum accepted into Microsoft Azure and forming the Enterprise Ethereum Alliance, it would be a huge step forward and this integration with Zcash would surely be bringing some exciting times for them.