Zcash

The users, the investors and even Edward Snowden himself, all seem enthusiastic about a new cryptocurrency that was born today, but that has been causing a stir in the network for months. It's called Zcash, and it promises to be an alternative to Bitcoin that takes care of the privacy of users while offering it as a real business for investors.

Zcash was born from the Zerocoin project, which after starting being a cryptographic anonymity layer for Bitcoin ended up becoming an independent cryptocurrency. Since there are so many expectations and you may hear a lot about it from now on, we are going to tell you exactly what Zcash is and what are its fundamental differences with Bitcoin.

What is it that makes the Zcash so attractive?

Much has been said about the privacy and pseudo-anonymity behind Bitcoin technology. Unlike the mythical cryptocurrency, the Zcash automatically hides the identities of issuers and receivers, as well as the amount of all the transactions we make in your blockchain. Only those who have a visualization key will be able to see the content of the operations.

This is possible thanks to an algorithm called zero-knowledge proofs (knowledge zero proofs). This algorithm allows the creator of the transaction to include in it a validity test without the need to transmit any information apart from the fact that the transaction is true. Therefore, information that anyone can read is not transmitted.

These characteristics have made such prominent voices in the world of privacy as Edward Snowden speak well of the project, referring to it as a solution to the risks of monitoring the records of public transactions in Bitcoin.

Another of its fundamental differences between most cryptocurrencies and this is the way it is organized. Like Bitcoin and all those based on it, its code is open, although it is not managed as a community like most, but Zcash is a company. That makes the product attractive to investors.

The way to develop the project has also been the reverse, as instead of launching the currency and then seek financing, the creators of Zcash have sought investors to create the currency before launching it. They also promise to reward these investors and workers with a tax they call "Founders reward", described on their website:

"The monetary base of Zcash will be the same as that of Bitcoin - 21 million units of Zcash currency (ZEC) will be mined, and 10% of the profits will be distributed among the shareholders - founders, investors, employees and advisors".

This has caused the currency to have grown exponentially before being launched. On September 15, its value was 18 dollars or 0.027 BTC, but two days ago it had already risen to 260 dollars or 0.379 BTC, marking a growth of about 1,300%. Moreover, some market analysts believe that the price of a ZEC will surpass that of a bitcoin by the end of the year, as investors do not want to miss this opportunity.

Therefore, we have a cryptocurrency that does not try to go against the system, but instead relies on its classic financing methods to offer a free, anonymous alternative that promises to put the privacy of its users above all else. And what is more important, that investors do not want to let the next Bitcoin escape, which is driving their initial growth very strongly.