Cryptocurrency: Zcoin (XZC)
Official Website: https://zcoin.io
What is Zcoin?
Zcoin XZC is a cryptocurrency focused on private and anonymous blockchain transactions. Utilizing Zero-knowledge proof cryptography, transactions are anonymous, and the transaction history of coins cannot be traced. Through the continued process of minting and burning coins, user anonymity is preserved eliminating the chance of identifying any previous transactions which is not possible with most cryptocurrencies. Zcoin aims to encourage and guarantee true freedom of commerce built around XZC, forming the foundation of the truly private and decentralised ecosystem.
In 2013, Matthew D. Green (Professor at Johns Hopkins University) and his graduate students proposed a cryptographic protocol to improve the privacy and anonymity of Bitcoin transactions. This protocol was implemented into a fully functional cryptocurrency by Zcoin founder Poramin Insom who also serves as a core developer to the project. Since its inception, Zcoin has developed its team to include significant members with a wealth of academic experience in computer science and cryptography.
Since the launch of Zcoin in 2016, the project has been consistently evolving and developing the coin and blockchain. Having been listed on many reputable exchanges such as Bittrex and Binance early on, a strong foundation of transactions and users has helped build their anonymous network.
The Dandelion protocol was released allowing users to hide their IP address sent using The Onion Router TOR or Virtual Private Networks. This has further enhanced the level of privacy and anonymity for Zcoin users.
On December 10th, 2018, Zcoin activated their next generation proof-of-work algorithm MTP. The MTP which stands for Merkle Tree Proof is based on academic papers designed to level the playing field between large scale miners and those which smaller amounts of computing power. Through the deployment of this algorithm on the Zcoin blockchain it decentralises mining away from the hands of a few and brings rewards back to general users.
The MTP release on Zcoin main net has halved the block time to 5 minutes improving the speed in which transactions can be verified and completed.
Having made significant progress developing Zcoin as a privacy focused cryptocurrency, the team is still looking to implement further improvements. An ongoing development is the plan to implement a sigma protocol reducing the size of Zerocoin proofs and leading to Zcoin being up to 75% more scalable and increasing security.
The team is also working on overhaling the user interface to make Zcoin more accessible and easier to use bringing new participant into its blockchain ecosystem.
Zcoin Zero-Knowledge Proofs
Zcoin is based on Zero-knowledge proof cryptography which allows users to send and receive coins without revealing any previous transaction history. Under the Zerocoin protocol coins go through a cycle of burning and minting to ensure any transaction history of the coin has been erased.
When using Bitcoin and other cryptocurrencies, transactions are broadcasted and recorded in a publicly distributed ledger. This immutable record used with external information can be used to identify individuals and organisations. When you chose to spend a newly minted Zcoin no information about the owner is revealed and the process can be repeated for complete privacy.
In order to anonymise coins, the Zcoin protocol forces users to burn their Zcoin in return for Zerocoins for a fee of 0.01 XZC per transaction. These Zerocoins can be redeemed for Zcoin at any time or at the time of spending. Currently users can only mint Zerocoin in predetermined denominations of 1, 10, 25, 50 and 100 to anonymise their transaction within the overall network.
Users wanting to spend their coin can convert the untraceable Zerocoins back to Zcoin after they have been verified by zero-knowledge proof. The newly minted coins will enter circulation with no previous transaction history and can be spent in any denomination.
The constant process of minting and spending ensures sustainable ecosystem in which users transaction history cannot be identified. The more time passed of time between the burning and minting of new coins the more difficult to identity and trace its origins.
Nodes are computers that actively host and maintain a copy of a blockchain network’s distributed ledger to verify transactions. Znodes are a special kind of node unique to Zcoin that allow the owner/operator to receive a part of the Zcoin block reward in return for supporting the network (Currently 30% of the block is rewarded).
A full Znode requires a refundable collateral of 1,000 XZC to ensure it is incentivized and work honestly and maintain the network. Anyone can run a Znode from their computer assuming they hold enough XZC and a stable internet connection.
See a guide on how to set up a Znode: https://zcoin.io/zcoin-znode-setup-guide/
Where to store Zcoin
Zcoin have produced and official wallet to hold XZC details can be found on their website: https://zcoin.io/get-zcoin/
The official wallet is available for desktop devices running Windows, Mac or Linux. There are also several mobile wallet providers integrated with Zcoin such as Coinomi, Edge Wallet and Cobo Wallet with Android and IOS compatibility. Zcoin support has also been added to hardware wallets such as Ledger Nano S and Trezor devices.
It is highly recommended you keep you coins safe in a secure wallet and ensure you create a back up to retain emergency access.
Where to Buy Zcoin
You can purchase Zcoin from the BC Bitcoin website: https://www.bcbitcoin.co.uk/buy/
With privacy continuing to be a growing concern of modern society, it is inevitable a blockchain and cryptocurrency such as Zcoin will receive growth and adoption. Providing a truly anonymous ecosystem Zcoin has innovated on traditional blockchains making improvements to protection of user privacy. Being opposed to centralised mining and organisation with large amounts of computing power, Zcoin empowers individuals supporting the network and ensures the longevity of its ecosystem. Having a highly skilled team and loyal community supporting the project, Zcoin has led the development of privacy coin innovations. Its detailed roadmap indicates many innovative features are set to be released in the future. Despite competition Zcoin has maintained a position among the top 100 cryptocurrencies.
Zcoin Block Explorer:
Bitcoin Talk: https://bitcointalk.org/index.php?topic=1638450.0