Zcoin Mining: What You Should Know
Zcoin (XZC) is an innovative privacy-themed coin that uses the Zerocoin protocol to guarantee anonymity to users.This coin originally came about as an attempt to improve on Bitcoin but later became a fully-fledged coin. Zcoin initially launched as an extension of Bitcoin. However, the low rates of community adoption made it an unrealistic proposition.
Before I highlight how you mine Zcoin, let’s first go through an overview of how it works.
How Zcoin Works
In a nutshell, Zcoin is the anonymous, scalable alternative to Bitcoin. The Zerocoin protocol eliminates aspects of Bitcoin that guarantee only pseudonymous because the transactions’ details are apparent to everyone. Each Bitcoin community member can view the transactions on the publicly available ledger. By utilizing the Zerocoin protocol, Zcoin effectively makes it impossible for someone to track your transactions on the blockchain.
Basically, you have to mint Zerocoin before spending or transacting Zcoin. The Zerocoins are untraceable and retain value just like water in a jar freezing to ice. The Zerocoin is what makes the transactions truly anonymous. This is because the minted Zerocoins have no transaction history.The Zerocoins are in limited fixed denominations to further inhibit traceability. After spending the Zerocoins, they are converted back to Zcoins with the transaction history effectively eliminated.
Notably, the platform also relies on Zero-knowledge proof (ZK-SNARKs) mechanism to approve transactions. This is a simple yet brilliant way of verification. The recipient must only prove that they know the value of a figure which we’ll call X. The sender only needs to confirm that the recipient knows the value of X and nothing more for the transaction to go through. This means that the respective identities of the parties to the transaction are immaterial.
Initially, Zcoin mining relied on the Lyra2z algorithm for Proof of Work (POW). However, in recent times, the network moved to the Merkle Tree POW for better efficiency.
Notably, the platform also utilizes the memory hard algorithm. This mechanism is advantageous because it enables the prevention of the development of ASIC chips which could lead to centralization of mining. This also prevents the infection of computers and unwittingly making them part of mining botnets.
The implementation of these algorithms is a step toward egalitarian computing. As you would probably know, Bitcoin mining has become problematic due to a high degree of centralization. This is because high-power ASIC rigs have a monopoly over the mining. MTP makes Zcoin better decentralized.
CPU mining is still feasible for Zcoin, unlike Bitcoin. This fact is important because Zcoin has a more decentralized network.
Zcoin also has a feature known as Znodes. Znodes work a lot like Master nodes for POS networks. Moreover, Znodes have a full copy of the blockchain and work to process transactions. Notably, Znodes receive 30 percent of newly processed coins
How to buy Zcoin
Zcoin is a fairly successful coin and this is largely due to its close association to Bitcoin. The privacy aspects add icing to the cake and this is a coin poised for greater heights. Accordingly, it is an interesting project that you could make investments in.
Cryptocurrency users need privacy for their regular transactions. This is because security for nefarious actors and even mere convenience should not be a luxury but rather a freely available choice.
Zcoin gives you that option. This is an excellent choice for any crypto enthusiasts. Accordingly, you could make your navigation through crypto sphere extra-safe and convenient. For an investor, this is one of those projects that could turn out to be big time. Buy Zcoin today and have a stake in the future of anonymous cryptocurrency.