Launched in 2016 by Zooko Wilcox-O’Hearn and based on the Zerocoin protocol, Zcash (ZEC) is an open source privacy-centric decentralized cryptocurrency that provides selective transaction transparency. Zcash transactions can be either transparent or escaped using a zero-knowledge proof called zk-SNARK. This allows the network to maintain a reliable balance sheet without disclosing information about parties or amounts involved. Instead of publishing expense and transaction data, transaction metadata is encrypted, and zk-SNARK is used to prove that no one is dishonest.
The level of anonymity of Zcash is noted by many well-known companies and individuals. For example, WikiLeaks began accepting donations to Zcash, Edward Snowden called cryptocurrency the most interesting alternative to Bitcoin, and Europol officially expressed concern about the growing popularity of cryptocurrency.
Security and anonymity of Zcash
ZecWallet Digital Wallets can help keep your cryptocurrencies safe, secure, and under your control. We strongly recommend using wallets to store Zcash (technically they store the keys to your Zcash addresses). But keep in mind that your wallet is similar to your bank account, so take extra precautions when using your passwords and back up regularly to protect your money.
With Zcash-shielded addresses and transactions, data such as sender, recipient and amount are encrypted, which means that even if transactions are verified in a public blockchain, no one can see the data inherent in these transactions. This is widely regarded as the most reliable privacy in any cryptocurrency, and it is one of the best things in Zcash.