Name: Zcash (ZEC)
Type: Cryptographic Currency
Algorithm: Proof of Work (PoW)
Total Supply: 21 million ZEC
Zcash (ZEC) is a fairly new decentralized and open-source cryptocurrency which has been launched in late 2016. It is a direct derivative (fork) of Bitcoin and thus, follows Bitcoin’s total supply – 21 million coins – and Proof-of-Work algorithm.
The main focus of this cryptocurrency is based on improving the overall privacy of users and bolstering the anonymity of transactions. They aim to achieve this with the introduction of their innovative technology called “Zerocash” – a cryptographic currency protocol which hides the origin, destination, and the total amount of the payment on transactions.
The confirmation of these unknown transactions is therefore pushed by their unique cryptography concept known as the “zero-knowledge proof”, which promises utmost anonymity yet requires users’ cautiousness when it comes to transacting – as transactions can never ever be reversed.
As it is a fork of Bitcoin, the algorithm of Zcash follows that of Bitcoin, the Proof-of-Work algorithm. This requires ‘miners’ to input power in order to be rewarded (supplied) with Zcash. The total supply is set at 21 million ZEC and the block time is just at around 2.5 minutes (about 4 times quicker than Bitcoin). However, the rewards for each block is four times lower than that of Bitcoin (12.5 ZEC per block).
Zcash has been criticized by various users as with their explicit funding of founders (10% of all mined coins are directly distributed to the stakeholders – founders – of the Zcash company). Regardless, the currency is increasingly becoming popular between miners and cryptocurrency users as with its fast and anonymity guaranteed transactions.