Zcoin is a cryptocurrency project based on decentralized blockchain technology just like Bitcoin. While retaining all the characteristics of Bitcoin, it ensures full anonymity and security of the user transactions.
With that, Zcoin solves a primary weakness of Bitcoin. It addresses the lack of privacy assurance that exists in Bitcoin
In this review, we will cover the project, its latest developments and where it is heading in 2020.
What is Zcoin?
In Zcoin Project Steward Reuben Yap’s words, the project supports financial privacy by allowing people to destroy the coins they hold. And these can be redeemed for new ones using the previous transaction history. However, no user coins can be used to trace the transaction history as it masks the user’s identity.
Why do the blockchain transactions need privacy?
In the traditional banking system, all financial transactions are not open to the public. On the contrary, the transactions on blockchain like Bitcoin and Ethereum are open to the public and transparent. What this means is that the history or movement of every coin is permanently recorded on the blockchain, available for anyone to view. This means that when you pay someone, you are potentially revealing how much you have, earn and also your previous transaction history.
Zcoin Technology & Features
Zcoin aims to solve the privacy problem by allowing users to wipe the history from their coins so they appear like freshly mined coins. Unlike other privacy protocols that rely on hiding in a crowd tactics, Zcoin’s innovative privacy protocol makes coins disappear from one address and then at any time in the future, coins can appear in another address without revealing its source.
Zcoin users can send and receive coins discreetly as the project enforces zero-knowledge proof. In 2019, Zcoin deprecated its Zerocoin protocol that was used from 2016 to 2019. It executed the coin burn and mint cycle, erasing all the previous transaction…