The Zcash Foundation set a new historic high for shielded transactions (those that are totally private) on their Twitter account, with a peak of around $743k in Zcash.
Zcash New Funding Project and Crypto Record
The number of user transactions reached 400k. In the record, it is more than double the number from the previous year. This achievement continues an upward trajectory that began in the middle of the previous year. It has been sustained through the first eight months of 2021.
Its ZEC token, which reached a high of $175 in early September, has since dropped sharply to around $130.
Surprisingly, the project’s halving last fall. This occurs every four years like Bitcoins. It does not appear to have had much of an impact on its development. However, it will mostly focus on transaction anonymity.
Zcash, which began operations in 2015 after receiving some private investment. This opted to promote the project’s development through a mechanism called Founder Reward (FR). FR rewards developers using the Proof-of-Work system, similar to Bitcoin.
The developers struck a collaboration deal with the American financial holding corporation JPMorgan in May. As a result, it caused the first significant increase in capitalization. This further resulted in a price hike, with ZEC reaching $429 in June 2017 and nearly $700 in 2018.
What Zcash Does & The Benefits of The Canopy Update
The privacy-focused Zcash cryptocurrency uses zk-SNARKs cryptography to offer anonymized value transfer. It also allows transactions to be vetted. This makes them fully confidential or transparent so they can be seen on the Zcash blockchain.
This feature has sparked debate and skepticism in the past. This includes some questioning whether ultimate privacy could promote its usage for illegitimate and criminal purposes. However, like with Bitcoin, there is currently no evidence to support this.
That was a source of worry since it was expected that many exchanges would pull the coin from their listings. As Shapeshift did with Zcash, Monero, and Dash. Due to the potential that similar coins focusing on complete transaction secrecy used for illegal reasons.
ZK-SNARK Technology Security
The ZK-SNARK technology acts as the technological foundation for private transactions. It clearly enables people to securely and discreetly execute transactions on the Zcash blockchain while concealing key transaction data.
This enables Zcash clients to selectively conceal wallet addresses and transaction amounts. Aside from the premise that is similar to Bitcoin, they intend a finite quantity of Zec tokens (21 million), it’s easy to see how this may become a store of value.
The fifth version of the coin, Canopy, emerged in November 2020, and it will set a new growth trajectory for the next four years. Canopy will allocate 20% of the block reward to three organizations: the new Main Grant Fund (8%), ECC (7%), and the Zcash Foundation (5%).
On the other hand, miners will earn 80% of the mining bonus. This is welcome news for the cryptocurrency world, which voiced concerns about the unfair treatment of Zcash incentives.
“The views and opinions on this Crypto News Website are solely those of the authors and contributors. These views and opinions do not necessarily represent those of iBaseTrading or its partners.”