ZCash solves an essential technology of Bitcoin which has its cons. Bitcoin being a fungible asset offers complete transparency with each transaction being able to be traced back to its source. This eliminates the need for central intermediaries for regulation purposes. This technology makes Bitcoin and the likes attractive but at the same time many people are less than pleased with the lack of privacy. Especially now that the world is moving towards digitization, privacy rights are considered crucial more than ever as no one is safe on the internet. This is where ZCash steps in.
What is ZCash?
ZCash is a privacy coin. Privacy coins essentially work similar to other cryptocurrencies but the major difference is in the level of anonymity and privacy they provide. ZCash is an open-source decentralized blockchain much like Bitcoin. What sets apart the coin is its privacy offering. ZCash aims to provide the offering and structure of Bitcoin but with just the addition of privacy.
ZCahs employ’s Bitcoin’s open ledger technology btu with encryption. Hence, only transactions on the ledger can only be viewed by those who have been given access by the user. ZCash utilizes zk-SNARKS, zero-knowledge proofs, which ensures that transactions can take place without either of the parties revealing their permanent address – ensuring total anonymity.
Although the prospect is considered as attractive by many, privacy coins also have a bad reputation in the market. Cryptocurrencies, in general, are regarded as a hotspot for illegal transactions because of the absence of regulation. With privacy coins this just gets worse because no transaction can be traced back to its source. The bad reputation often times make privacy coins bleed while some reports state that coins like ZCash are not, in fact, utilized heavily for illegal activities as most of them still take place the traditional way – in cash.
What is ZEC’s future projection?
ZCash has been suffering a lot. The cryptocurrency could not go anywhere near its all-time high of $5,941 during the bull run of 2021. ZCash was able to establish only a 52-week high of $370. However, ZCash had started off on an upward trajectory since the end of July. The cryptocurrency had been oscillating upwards but the trend has been broken. ZCash is falling hard and fast and unless a strong support level is found, a freefall may be in the books.
A majority of the top hundred cryptocurrencies have a positive future outlook. Although ZCash has been suffering in the recent timeframes, the future predictions are bullish. According to the estimates of Wallet Investor, the cryptocurrency is expected to be standing at a price level of $233 while the five-year projection is at $535 – a gains of 274%. Digital Coin Price projects the year-end price to be at $214. Their projections predict ZCash will be standing at $488 by 2026.
