This year, the demand for anonymous coins has grown significantly, allowing you to hide both the identity of the participants and the amount of the transaction. ZCash is the second largest private network in terms of capitalization with $1.4 billion. On May 11, the developers announced the upcoming update 5.0.0, which caused the coin to grow by 37% from the local minimum in the following days.
ZCash uses the zk-SNARK protocol, where transactions are encrypted , and zero-knowledge proof is responsible for the reliability of operations. It allows one participant to prove to another the truth of a statement without disclosing any information beyond the statement itself. Simply put, transactions do not need to have all the information, and at the same time they will be checked to the right extent.
In the early zero-knowledge protocols, it was necessary for the participants to go through several rounds of information exchange in order to confirm the validity of the statement. Currently, one message is enough for this, the length of the proof itself is less than a kilobyte, and it takes several milliseconds to verify. Halo verification system. The update will enable private and secure transfers on mobile phones. According to the founder of ZCash, Bryce Wilcox, NU5 is a historic step for all mankind, as it translates zero-knowledge proof into a general-purpose technology.
Zcash has a high degree of security and relies on the work of miners, like Bitcoin. However, Bitcoin is a public network that attackers can use to track wallets with large transactions in order to subsequently identify a potential victim. In addition, the sender can compromise himself in the case of transfers to “undesirable” persons. In ZCash, these risks are excluded.
In April of this year, it became known that one of the participants in the ZCash launch ceremony was Edward Snowden. As an ex-employee of the US NSA said: “free trade is impossible without a free currency, and it is ZCash that brings us closer to this ideal.” This and other useful information is available in our telegram channel!
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