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What is Zcash

 You should know about 

Most projects in the blockchain world have similar ideas and applications, but there are a few that have separated themselves from others with several unique capabilities, one of which is Zcash. In this post, you will learn more about the digital currency of Zcash, its wallets and how to purchase them.

 

What is it

 peer-to-peer decentralized payment network and a digital currency with the ZEC abbreviation. This digital currency is a split or forked bitcoin and the number of units like bitcoin is limited to 21 million units. Bitcoin codes were used to make the Zcash.

Like Bitcoin, Zcash has its blockchain and is based on mining. A feature that distinguishes Zcash-crypto from bitcoin and many other currencies is the ability to perform private transactions.

Unlike Bitcoin, where transactions are transparent, users can enjoy complete privacy in transactions of it. In Bitcoin, you can track a transaction and view assets at an address, but according to the Zcash developer team on its network, it is possible to hide everything.

For people who don’t like the details of their transactions to be apparent, this crypto can be a good option.

 

Overview of the history 

On October 28, 2016, it is began its career as a fork bitcoin. The original creator of the program is Zooko Wilcox. He first started working on bitcoin, but because of the transparency of bitcoin transactions, he thought of a way to bring secret transactions to network users. He created the it with extensive changes to the bitcoin code.

The protocol was first named Zerocoin, then renamed to Zerocash, and eventually named Zcash.

No collateral or ICOs were held for the Zcash-crypto, but the initial capital was attracted by private investors. People such as Roger Ver and Fred Ehrsam, founder of Coin Base, invested heavily in this project.

How does it work

Like bitcoin, Zcash has its blockchain and works as a proof of work (mining). Zcash transactions are validated by all members of the network and then placed in the blocks by the miners and the blockchain is formed by joining the blocks. Zcash-crypto block time is about 2.5 minutes and the block bonus is 12.5 Zcash units (zec). So 12.5 units of Zcash are now extracted or produced every 2.5 minutes. In Zcash, after every 840,000 blocks, the block bonus will be halved.

algorithm

The Zcash extraction algorithm also differs from bitcoin. While bitcoin uses the SHA-256 algorithm, the Zcash Extraction algorithm is Equihash. Bitcoin and Zcash-crypto are similar in many cases, but the main difference between bitcoin and Zcash is the possibility of private transactions in Zcash and the type of extraction algorithm.

Transaction

What has made Zcash-crypto able to covert transactions (without specifying the address of the sender, recipient, and even the amount) is using a method called zero-knowledge proof? A zero-knowledge proof is a method of cryptography that enables processes to be performed without the need to disclose information to network members. The name of the algorithm based on the Zero-Knowledge Proof is Zk-SNARKs.

Therefore, transactions can be executed correctly without having to disclose the sender and recipient address and amount. In other words, with the Zcash network, there are generally two types of transactions: ordinary transactions (such as bitcoin) and private and covered transactions.

Transactions can be specified based on the Zcash wallet addresses. If the address starts with the letter “t”, this address is transparent and like the bitcoin address you can see all the details of the transaction and its address, but if the address starts with the letter “z”, it indicates that address is hidden and disables viewing and tracking transactions.

The technical decisions about the Zcash network are made at a foundation called as the same network. At Zcash-crypto Foundation, the developers of this network discuss important decisions together and ultimately make a decision. According to Zcash official website, 10% of the extraction bonus will be awarded to Zcash Foundation in four years to fund the development of the network.

 

The Challenges of Legislating 

Because it is possible to conduct fully private transactions with Zcash-crypto, this concerns government and lawmakers about committing a crime with Zcash-crypto and not following it.

However, with a key called ViewKey, the Zcash-crypto secret transactions are transparent. Each Zcash owner has access to his ViewKey key and can lend it to other people, such as law enforcement agencies, to make the transaction transparent.

On the other hand, until now, only official wallets and desktop Zcash-crypto can handle secret transactions, and mobile and web wallets do not.

Not long ago, US Drug Enforcement Agency (DEA) Special Representative Lolita Infante said in an interview that stealthy digital currencies such as Monero and Zcash-crypto could be attractive alternatives to criminals, but their scope and liquidity are not currently in much use. . He said US drug inspectors also had a way to track those digital currencies, but she did not know the exact details.

 

Price

The Zcash (ZEC) was priced at several times the price of Bitcoin up to a week after its release on October 29, 2016, due to the low number of units extracted and problems with acceptor exchanges. On Oct. 29, 2016, while each Zcash unit traded at an amazing $ 4,290, Bitcoin was priced at about $ 680, but then the price fell sharply with currency and supply issues.

Zcash’s best performance in price goes back to January 8, 2018, with each unit trading at $ 870.

Unlike many popular digital currencies, Zcash is not one of those digital currencies that has brought several thousand percents of profits to its early investors. However, given the small number of Zcash units, if demand for this digital currency is right, there will be a strong growth potential.

 

wallets

The official and approved Zcash-crypto wallets are posted on the official Zcash website. In this section, we will introduce the official Zcash wallets.

 

official wallet

Zcash ‘s official wallet is only developed for a 64-bit Linux operating system and does not currently have a Windows or Mac version. To use this Zcash wallet you need at least 2 GB of RAM and high-speed internet to download transaction information and sync with the blockchain. This wallet is capable of secret transactions. If you do not have a powerful computer system and the volume and speed of your internet is not enough to download the blockchain, we do not recommend using this software.

Operating System: Linux

Requires download of the entire blockchain:

Transaction hiding ability

 

The best desktop wallets

WinZEC Wallet: Given that the official wallet does not have a Windows version, WinZEC Wallet is an almost official open-source software for Windows users. To use this wallet you need at least 2 GB of RAM and high-speed internet to download transaction information and sync with the blockchain. This wallet is capable of secret transactions. If you do not have a powerful computer system and the volume and speed of your internet is not enough to download the blockchain, we do not recommend using this software.

  • Operating System: Windows
  • Requires download of the entire blockchain
  • Transaction hiding ability

 

Zec-qt-wallet: The zec-qt-wallet is the first wallet software developed by the Foundation that runs on Windows and Mac. To use this wallet you need at least 2 GB of RAM and high-speed internet to download transaction information and sync with the blockchain. This wallet is capable of secret transactions. If you do not have a powerful computer system and the volume and speed of your internet is not enough to download the blockchain, we do not recommend using this software.

  • Operating system: Windows and Mac
  • Requires download of the entire blockchain
  • Transaction hiding ability

 

ZelCore Wallet: This wallet supports several assets, one of which is a digital currency. This wallet runs on Windows, Mac and Linux, Android and iOS. To use this software you do not need to download the blockchain and it has a small volume. This wallet does not support the capability of secret transactions.

  • Applicable operating system: Windows – Mac – Linux – Android – iOS
  • No need to download the entire blockchain
  • Transaction hiding ability: Not available
  • In addition to these wallets, many wallets, such as Jaxx, Guarda, etc., support desktop.

 

mobile wallets

Coinomi: Coinomi is one of the wallets that the official website has introduced as a mobile wallet. Zcash is one of the few assets that coinomi supports.

  • Operating System: Android – iOS
  • No need to download the entire blockchain
  • Transaction hiding ability: Not available

 

Guadra Wallet: Guadra is one of the new but valid wallets for storing and digitizing other digital assets.

  • Operating System: Android – iOS
  • No need to download the entire blockchain
  • Transaction hiding ability: Not available

 

Ibitcome wallet: The ibitcome wallet is not as popular as the two previous wallets but the website considers it authentic.

  • Operating System: Android – iOS
  • No need to download the entire blockchain
  • Transaction hiding ability: Not available
  • In addition to these wallets, many wallets, such as Jaxx, Mobi, etc., support mobile.

 

Hardware wallets

The safest options to keep it are hardware wallets. The Ledger Nano S, Trezor and Keepkey wallets are highly reputable hardware wallets that all support Zcash. Hardware wallets keep your keys and assets offline and completely secure. These wallets cost between $ 80 and $ 100.

 

ExPay 24 provides secure, fast and reliable exchange services. If you are about to sell or buy a cryptocurrency and don’t know where to begin, just give us a call and we’ll guide you through your problem.

About Sean Patterson

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