Zcash is just about the best privacy coin there is. We could go into all of the technical jargon that explains why this is, but just take it from us, you don’t get much closer to perfect anonymity than Zcash. Zcash has other selling points which we’ll get into, but it’s cheap value proposition is definitely privacy. Do you want to make a purchase you don’t want anyone to know about? Zcash is a great option.
This has led many to assume that Zcash is a coin for buying drugs. And even though it does serve this function for some, it’s primarily a way to give people control over who gets their browsing and buying data.
We’ll dig into all of this a bit more below. For now, it’s important to understand that Zcash has also been a powerful investment in months past. We expect this to continue in 2018. To learn more about why, read on.
How Does Zcash Work Exactly?
People who buy Zcash typically do so because of their interest in privacy. Zcash uses a complex algorithm to produce something called “Zero Knowledge Proofs”. “Zero Knowledge” means that a miner can verify a Zcash transaction without having any knowledge about the transaction data associated with it. That’s crazy, but so far, it works.
Zcash was introduced just a couple of years ago. To create a truly private network, the Zcash team used 6 different computers to create portions of the protocol, then destroyed each of the 6 computers with a blowtorch. They used other even crazier techniques to make sure that there was no…possible…way that the original information could be recorded.
We have to take their word for it. This is one of the big concerns surrounding Zcash. Their technology is new and somewhat unproven. However, it’s good enough that Vitalik Buterin of Ethereum is incorporating Zero Knowledge Proofs into Ethereum using Zcash technology. At the end of the day, Zcash is trusted by thousands and has yet to fail.
What is Zcash Used For?
Zcash coins are fully “fungible”. That means that each coin is 100% like every other coin. There’s no special data that clings to them like a residue following a transaction. No matter how a Zcash coin is used, it comes out of the other side looking exactly like each other Zcash coin in existence.
This makes Zcash very useful, and not just for shady purchases on the Dark Web. Zcash can protect your identity if you want to secretly donate money. Zcash could help you transfer wealth in or out of a country that doesn’t allow you to. With Zcash you could buy a gift for a loved one, without there being a credit card or Amazon purchase record to spoil the surprise.
Zcash’s primary use cases may seem illicit, and sometimes they are. But Zcash is a very important technological step for people like Edward Snowden, people with cyberpunk leanings, and practicing Libertarians.
We’re not here to say whether Zcash is good or bad. That’s for you to decide. We’re here to talk about Zcash as an investment, and for this purpose there is much less to debate.
Using Zcash as an Investment
Zcash doesn’t automatically anonymize all transactions. Users have to select the right address first. But if you are just investing, you probably don’t care about anonymity. You just want a stable coin with lots of growth potential. Zcash has all this and more.
Monero and Zcash are the two biggest privacy coins. There is no clear market favorite just yet, so both coins have a ton of value, committed communities, and a great deal of growth potential in their futures.
Even if you don’t use Zcash’s security features, the fact that other people depend upon them should let you know that this coin is likely to hold much of its value. In fact, after an initial overvaluation, the Zcash price has had slow steady growth.
Zero Knowledge Proofs, and the zk-SNARKS innovation Zcash introduced, are also being adopted by the wider industry. Ethereum is the obvious example. This is a good sign for investors as to Zcash’s future use and value.
If you might now want to buy Zcash at today’s Zcash price, we’ve got the guide on how that works below.
How to Buy Zcash
“Zcash where to buy” is a very popular search term, perhaps because people think that buying Zcash must be this big secret ceremony. It’s not. Zcash is available where most other cryptocurrencies are available: Bithumb, Binance, Bitfinex, etc. Because Binance is the most well known Zcash exchange to the most people in the world, we’ll use it in this example. So stay tuned for how to buy Zcash!
Buying Bitcoin With Which to Buy Zcash
People around the internet want to know “Can I buy Zcash with credit card?”, “Can I buy Zcash with USD?”, “Can I buy Zcash with Paypal?”. The answer in all cases is “no”.
If you were to ask “Can I buy Zcash online?” or “Can I buy Zcash with Bitcoin“, the answer is certainly “Yes”. Zcash is a major currency of the internet, and Bitcoin is the best way to get it. Get yours at Coinbase, Gemini, or any other trusted Bitcoin seller.
How to Open an Account With Binance So You Can Buy Zcash
The Zcash price is still lower than it was a couple of months ago, leading some to believe that this Zcash price indicates an investment opportunity. But to do this, most of you will need to make an account with Binance or another exchange available in your area.
Step 1: Go to Binance.com and create your new username and password.
Step 2: Complete the Binance email verification using the email address you provided when creating your account.
Step 3: Add 2 Factor Authentication. 2FA not only unlocks key functionality on the Binance exchange website, allowing you to take advantage of this Zcash price, it will also make your money and personal information that much safer. A hacker might be able to steal your password, but they’ll have a much harder time stealing the secret code that updates every 30 seconds on your phone. This, combined with your strong password, is very likely to keep someone from accessing your account.
How to Send Your Bitcoin to Your Binance Wallet So That You Can Buy Zcash
Step 1: Inside your new Binance account, you’ll see a button labeled “Funds”, which brings down a menu where you should click “Deposits Withrawals”. This takes you to the wallets page. Binance gives you 1 wallet for every single coin they sell, even if you don’t own any. Type “BTC” into the search bar and your Bitcoin wallet will appear. Click “Deposit” on the right side of the screen. A popup window will appear, where you’ll see your alphanumeric Binance Bitcoin address. Copy this address, then head over to the wallet outside of Binance where you keep your Bitcoin.
Step 2: Go to the wallet where you keep your Bitcoin. For this example we’ll use the Exodus wallet because it is free, secure, and easy to use. Click on “Bitcoin”, then select “Send Bitcoin”. This will cause the screen pictured above to appear. Paste your Binance Bitcoin wallet address into the top line, then select the number of Bitcoin you would like to send. You’ll see the fees associated with sending this money in the bottom right hand corner. Hit “send” and your Bitcoin should arrive in your Binance Bitcoin wallet in a few minutes to a few hours.
How to Buy Zcash on Binance at Today’s Zcash Price
To buy Zcash on Binance is pretty easy, but it can be confusing the first time. Never fear, we’ll explain how this Zcash exchange works.
Step 1: Select “Exchange”, then “Basic” near the upper left hand side of the screen. On the upper right side of the screen, type “ZEC” for Zcash coin into the text box you see there. This will bring up the ZEC/BTC trading pair for Zcash coin/Bitcoin. Click it.
Step 2: This will cause all of the charts and graphs to reflect present Zcash coin market conditions. At the bottom of the screen, you see an interface that lets you sell and buy Zcash. We want to buy Zcash, so ignore the one with the pink button for now.
Step 3: Select the price you want to pay for 1 Zcash. You may actually want to buy more or less than 1 Zcash coin, but this you are willing to theoretically pay for 1 Zcash coin is how Binance determines the total cost of your order, however larger or small.
Step 4: Now type in the number of Zcash coins you want. If you just want to buy Zcash with Bitcoin as much as you have, hit 100%. Check your numbers. When satisfied, click “Buy ZEC”. An order at market price should be complete in seconds.
Once your order is complete, you’ll be able to go back to the wallets menu through “Deposits Withdrawals” and you’ll see your new Zcash coins in your Zcash wallet. Well done. But wait, you’re not done yet. Now we have to find somewhere safe to store your Zcash coins.
How to Safely Store Zcash Coins in a Personal Wallet
There are a bunch of wallets you can use to store Zcash. If you are using Zcash primarily as an investor and aren’t worried so much about the coin’s privacy functionality, we recommend the Jaxx wallet. Jaxx is a multi-asset wallet that’s secure and free to download and use.
Step 1: Download Jaxx. Set it up. Take careful note of any keys or secret codes. Having these printed, pictured, or written down is the only reference you’ll have to the numbers that would regenerate your wallet if you ever lost your PIN or your computer was destroyed or stolen.
Step 2: Go to the “Wallets” list in the settings found in the upper right hand corner. Activate “ZEC – Zcash” if it is not already checked. This will open up your Zcash wallet.
Step 3: Now you should see the Zcash wallet as an option at the very top left of the screen. Click it. Here you’ll see your current Zcash wallet (it can be changed whenever you want). Copy this and head back over to Binance.
Now that you are familiar with the Binance wallets, go back to your Zcash wallet in Binance and click “withdrawal”. Paste your Jaxx Zcash wallet address where requested, then type in the number of Zcash coins you would like to send. Hit send and in a few seconds or minutes, your Zcash coins will be in Jaxx where you can wait for the Zcash price to increase.
Your coins will be much safer here than on Binance. Sometimes exchanges are hacked. Binance has a great track record in this regard, and they are managing to scale with overwhelming demand much better than exchanges like Bittrex or Kraken, but you should still be careful with your money. It’s unlikely that a hacker will make little ol’ you a target on your private computer. You should still be careful on your computer, using a VPN, passwords, and making sure never to store you passwords/keys on the device unencrypted. But even if you didn’t do every bit of that, your coins would still probably be safer on your device anyway.
Final Thoughts on Zcash
As cryptocurrency goes mainstream, it’s inevitable that privacy coins like Zcash and Monero will gain even more valuable. Zcash hasn’t proven itself to be the world’s most popular privacy coin, but it’s not that far behind Monero right now, and things can change at any time.
In any case, Zcash is likely to, at the very least, hold much of its value. We think that one year from now, it is very likely to be much more expensive than the present Zcash price. Do your own research, but we think a good place to start is by researching Zcash.