On which platforms can I buy and sell ZCash (ZEC)?
ZEC/BTC, ZEC/USD, ZEC/EUR
ZEC/BTC, ZEC/USDT, ZEC/ETH
ZEC/BTC, ZEC/USDT, ZEC/ETH, ZEC/XMR
ZCash is one of those currencies that has decided to make user data protection one of its main concerns.
Indeed, the project is based on the zk-SNARKS protocol (a so-called “zero-knowledge proof” algorithm) which allows ZECs to be exchanged without having to reveal one’s identity.
If the Bitcoin blockchain gives information about the participants in a transaction and the amount exchanged, ZCash decides to keep all this confidential.
How it works: for what purposes can I buy ZCash (ZEC)?
ZCash is the result of the efforts of a team that was built in 2013 and launched the Zerocoin protocol, which allows Bitcoins to be transformed into Zerocoins in order to carry out anonymous transactions. The protocol also provided the ability to merge, separate and convert Zerocoins into Bitcoins.
Then there was the Zerocash protocol, which gave rise to the ZCash, with the possibility now of hiding the identity of the sender and receiver but also the amount exchanged. In fact, in the Zcash network, there are two types of addresses: transparent (“t-address”) and protected (“z-address”).
It must be said that ZEC’s success is mainly based on the existence of the zk-SNARK protocol, which makes it possible to verify the validity of a transaction without knowing its characteristic elements.
Our review: should we buy ZCash (ZEC)?
Many investors agree that ZEC’s technology is much more efficient than Monero’s technology, which, it should be recalled, also seeks to make its users’ data anonymous. What is the main difference? At Monero, protection is not based on encryption, but on “circle signing”, a process that allows the origin of a transaction to be overwhelmed by a group of users.
Another strength of ZCash is the mining protocol it uses: not the classic Bitcoin SHA-256 but Equihash, which is more democratic as you do not need to acquire ASIC equipment to mine. The latter are very expensive to make and buy, effectively reducing mining to a small elite.
However, ZCash can still be improved: mining processes require a lot of RAM (at least 2 GB) and are therefore not possible on smartphones. Also, the miner alone in his corner with his graphic card will not really have a better chance than with the Bitcoin to generate income. A democratization that still needs to make progress.