Is Zcash (ZEC) Cryptocurrency A Buy Right Now?

Last Updated May 23rd 2022
4 Min Read

It's possible to get filthy rich by investing in Zcash cryptocurrency, but you could also lose al of your money. Investing in cryptocurrencies, like Zcash, is very risky but also extremely profitable.

Over the last several years, the number of digital currencies has skyrocketed. While some of these have developed substantial market capitalizations and carved out their own unique niches, few others have shown promise for offering users a high level of privacy and fungibility. 

Zcash (ZEC), for instance, is a popular cryptocurrency and decentralized blockchain known for its focus on privacy. Zcash was the first coin to provide true anonymity on a public blockchain. In addition, the peer-to-peer network incorporates strategies to remain valuable, including a capped supply, privacy options, and fungibility. 

Zcash is a digital currency built on the original Bitcoin codebase. It considers itself a fair and open currency. Users can spend, send, or receive Zcash, and everyone has equal access regardless of demographics. 

It also stands out from other cryptocurrencies because of its shielded transactions, allowing individuals to maintain complete privacy. Being decentralized across a wide network makes it more secure and accessible. So is Zcash a buy, hold, or sell right now? Read on to find out. 

A Market-Beating Cryptocurrency — But For How Much Longer? 

With solid fundamentals in place, ZEC is only likely to grow and soar in value.

The main problem Zcash attempts to rectify in the market is a lack of privacy. The coin empowers users to make anonymous transactions via the network’s unique systems. While Bitcoin uses the hashing algorithm SHA-256, ZCash uses Equihash, which is incompatible with hardware and software designed for Bitcoin mining

It also has larger blocks and increased hashing times, which increases the network's hash rate. A cryptocurrency’s hash rate is the processing power of the network of miners - a measure of how fast the transactions can be verified and validated to open a new block. 

ZCash is one of the cryptocurrencies that returned more than 70% by the end of 2021. From the daily trading volumes recorded across cryptocurrency exchanges, ZEC shows no signs of slowing down in the short or long term. Several experts think the ZCash Foundation has fostered many partnerships, and the protocol has several unique features that have set it on a potential growth pattern.

Check Out: 15 Reasons Why You Should Buy Zcash Today

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

The Road Ahead For Zcash 

A few aspects of Zcash’s work are currently making headlines and grabbing eyeballs. 

Privacy and Fungibility

Zcash is all about privacy. The network introduces Zero-knowledge proofs to encrypt all the information. This approach is a first in the market and has helped Zcash remain a top cryptocurrency since its inception. 

Zcash is also fungible, which occurs when you have a currency that can be interchanged for any other of the same currency and is impossible to decipher from each other. Fiat currency is a close example of full fungibility. Every dollar holds the same value. Fiat currency falls short of true fungibility because the currency features individual serial numbers that track these funds.

Zcash accomplishes this task without these serial numbers. Impressively, the blockchain works without binding coins to the chain history, which ensures the interchangeability of cryptocurrency and makes it nearly impossible to track with blockchain explorers. 

Low Regulatory Risks

Privacy coins, while highly innovative, are not loved by governments. As such negative sentiments from regulators can affect their long-term value appreciation relative to the rest of the market. Zcash is immune to this problem to a large extent.

Despite its highly advanced privacy features, users have the option of disclosing their transactions to a third party for auditing. This makes Zcash one of the best privacy coins and one of the most regulatory-friendly coins. 

High Security 

ZEC is one of the most decentralized cryptocurrencies in the market, making it hard to attack. Zcash security is enhanced by its use of a Proof-of-Work mining algorithm, and like Bitcoin, the network of miners has become more extensive with time.

This means anyone looking to attack Zcash would need to raise a tremendous amount of hash power to attack it. This may have happened in the early days of the network, but at this moment, it is impossible. With this level of security, coupled with its strong use case, Zcash's long-term potential is quite high. This makes it one of the best cryptocurrencies to buy now and hold for the long haul. 

Easy Accessibility 

Zcash is one of the top cryptocurrencies, alongside Bitcoin and Ethereum. This means it is available on pretty much all major crypto exchanges. This makes it one of the best cryptos to hold now that the market is rising. 

Is Zcash a Buy, Hold Or Sell?

Experts believe ZEC has a bright future, making now a good time to invest.

Going by the above factors, Zcash looks like a pretty good crypto to buy now. Its price is right, and the fundamentals point to more growth in the future. ZEC is probably one of the best privacy coins to bet on.

Don't Miss: Zcash (ZEC) Price Prediction

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

A Cryptocurrency Under Close Watch — Now And Always

Investing in ZEC is a good way to become a part of the growing Zcash ecosystem.

Zcash is the direct result of the desire for private transactions on the blockchain. Its features are in demand as most blockchain investors have sought them out ever since Bitcoin’s lack of privacy became common knowledge. 

Consequently, Zcash serves a critical niche in the market at this time. As such, Zcash is set to remain a top contender in the market for the foreseeable future.

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Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

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