Is it the Right Time to Buy Zcash Today?
Zcash has solid long-term fundamentals, but investors have different investment and trading goals.
Some may want to wait for long term returns, but others may want to buy the coin today for short to
medium term gains.
All in all, here is why Zcash is a good buy today:
Bitcoin is Trending Higher
Newer crypto coins or tokens may well take over in the future, but Bitcoin is currently king and
provides the cue for the entire cryptocurrency market. In 2019, Bitcoin has trended higher, while
altcoins, such as Zcash, have largely maintained a sideways trajectory. This means that there is room
for the altcoins to follow the lead of Bitcoin. Going forward, there is a Bitcoin halvening happening
in 2020 that is expected to limit the supply of the foremost cryptocurrency and consequently spur
demand. If Bitcoin jumps higher, Zcash will overrun the move and deliver even much bigger
Zcash once had an even higher value than Bitcoin but has now tumbled to much lower values. This
offers investors a rare opportunity to pick up a fundamentally strong crypto coin that is capable of
even surpassing the value of the foremost cryptocurrency.
In every sense, there may never be a better price to pick up Zcash.
Strong Public Face
In the altcoins world, it is easy to literally get stuck with a coin that you cannot liquidate. This
is not the case with Zcash; which, although promoting privacy and anonymity, has managed to maintain a
strong public face. Zcash is also part of top 20 cryptocurrencies, which means that if you buy the
coin, you will be able to cash out any time you wish.
Zcash is fork of Bitcoin and has similar aspirations to become the mainstream digital payment
service. Notably, Zcash has better security and privacy features as well as boasts a faster
transaction rate. If Zcash manages to gain global domination, or even a fraction of it, its value will
no doubt skyrocket.
What is zk-SNARK?
Zcash was the first cryptocurrency to implement Zk-SNARK (Zero-Knowledge Succinct Non-Interactive
Argument of Knowledge) to protect its transactions. Zk-SNARK is a new form of cryptographic
algorithm that provides a proof of information without revealing the exact content of the
information. This is very important because both companies and individuals have certain information
that they desire to keep private and confidential. Zk-SNARK enables this on blockchain. On the public
ledger, there is a ‘prover’ who must assure the ‘verifier’ that a transaction is complete without
revealing any further details. To understand how this works, consider this case: an individual can
seek to prove that there is money in his/her bank account without revealing the amount. Summarily, a
zk-SNARK protocol only ensures that an interaction is true, and no further details are sought.
Financial transactions are generally private, but zk-SNARK can be applied on blockchain to promote
privacy in different, other fields. The world is becoming more digitally integrated, with numerous
data being collected by companies at literally every turn. This makes the case for using zk-SNARK to
protect user identities and all types of private information, more prominent.
Zcash was launched in 2016 by a competent and reputable team. The team, labelled as the Electric
Coin Company, is made up of cryptographers, scientists, educators, activists and policy experts who
leverage their knowledge and expertise to develop one of the most improved and popular forks of
Bitcoin. The Zcash protocol was the result of thorough research that incorporated teams from major
universities, such as John Hopkins, MIT, UC Berkeley, Tel Aviv and Technion.
Aside from the development team, Zcash has also attracted growing communities of users, enthusiasts
and fanatics. Zcash Foundation also sponsors multiple forums and chats that accept volunteers, willing
to participate in Zcash programmes. Such communities are able build, preserve and share knowledge,
ideas and all manners of proposals that will continually help to ensure Zcash realises its goal of
creating an open, inclusive financial system.
Is Buying Zcash Safe and Legal?
Like other cryptocurrencies, Zcash exists as decentralised digital money that supports peer-to-peer
transactions. Cryptocurrencies are also apolitical and borderless, which essentially means that they
do not fall under the regulatory jurisdiction of any single government. Cryptocurrencies have emerged
as a product of technology, specifically blockchain. The revolutionary technology has the potential of
creating a more open and transparent society.
Its impact in the financial world is clear and every sector has tried to integrate the technology.
The fact is that the technology is not illegal in any manner, which makes cryptocurrencies more or
less in the legal grey area. The problem is that governments originally viewed cryptocurrencies as a
threat to their central bank-backed fiats. But while governments stand to lose control over their
monetary policy, they stand to gain overall by adopting cryptocurrencies. Cryptocurrencies are well
placed to solve issues such as tax evasion, runaway inflation and treasury mismanagement.
Advanced countries, such as Japan and Iceland, have realised this and are taking proactive steps to
promote adoption. Even less developed countries, such as Venezuela and Argentina, have concrete plans
to adopt cryptocurrencies so as to control inflation. When cryptocurrencies first emerged, most
governments issued blanket bans, but the sentiment now has shifted more towards regulation. Zcash
developers realised this, and while privacy was the focus, the feature of selective disclosure ensures
that users are able to meet regulatory obligations even in tight jurisdictions. This ultimately means
that Zcash can be considered as money that is legal and can be used to buy, sell, send, and receive as
well as a store of value.
Cryptocurrencies are digital cash, and as such, a major risk factor has always been susceptibility to
hacking. But safety and security were the major motivation factors for the development of Zcash. While
the possibility of hacking Zcash cannot be ruled out, it would require massive computational power to
bypass zk-SNARK verification systems. Currently, Zcash is one of the most secure cryptocurrencies in
the world. Still, crypto exchanges that allow buying and selling of Zcash can also be vulnerable to
hack activities. This is why investors must ensure they deal with solid and reputable crypto exchanges
that apply the highest level of security measures.
However, investors can still take advantage of the price movement of Zcash without worrying about the
safety of the coins themselves. Zcash CFDs allow this, as investors can trade the price movement of
Zcash without owning the underlying coins. With Zcash CFDs, no coin is at risk and CFD brokers are
some of the most secure financial institutions because of the high level of regulation in that