Zcash is yet another cryptocurrency with similarities to the likes of Bitcoin, Litecoin, Dash and Monero. Zcash is strictly a cryptocurrency that’s meant to be a currency, not a platform or protocol blockchain technology like Ethereum, Ripple, or Stellar. Zcash was developed and launched in March of 2017 by a group of scientists and engineers who utilized ground breaking cryptography technology to set a new standard of privacy in the cryptocurrency space with Zcash.
The basis behind Zcash is that it’s a decentralized and open sourced cryptocurrency providing secure and private transactions to users from anywhere in the world. The unique thing about Zcash is that it differentiates itself from other cryptocurrencies with its shielded transactions which hides all the transaction information on the blockchain. Zcash likes to compare itself to “https” and Bitcoin to “http”, whereas Zcash is a secure transport layer in which transactions take place, and Bitcoin transactions can be publicly known by everyone.
The technology behind Zcash’s shielded transactions is a zero-knowledge proof construction which was developed by a team of experienced cryptographers. Zcash also facilitates transactions that work similar to Bitcoins, where users can send transactions publicly on the blockchain. Zcash gained massive amounts of popularity in a very short amount of time, which led to even further adoption and interest in the cryptocurrency. Today, many people wish to purchase and hold or trade this cryptocurrency. Let’s find out the various ways to do this below.
The current live price of ZEC/USD:
How to Trade Zcash
Zcash can be bought/sold and exchanged like all other cryptocurrencies on a cryptocurrency exchange. However, Zcash is not the most popular crypto and is not listed on some of the big exchanges that have the most volume. For instance, Bitcoin can be traded nearly everywhere and can be easily obtained with fiat currency, while Zcash is mostly attainable only through other cryptocurrencies such as Bitcoin and Ethereum. So, for investors looking to buy and trade Zcash, there best option would be to buy some Bitcoin or Ethereum and transfer it to an exchange that sells Zcash. Traders can then leave their Zcash on the exchange in their exchange wallet where it is easily accessible and ready for trading. Or, they can transfer their Zcash to their own personal cryptocurrency wallet where they have full control of their coins as they will be in their possession.
CFD Trading with ZCash
An alternative method to actually buying and exchanging the Zcash cryptocurrency is to trade through Contracts For Differences (CFDs). Some cryptocurrency exchanges offer this method of trading for various types of cryptocurrencies including Zcash. Trading Zcash in this way allows traders to use leverage for the speculation of the change in price, without ever owning the underlying asset (Zcash). While this method of trading can be extremely profitable, it is also very risky as the trading of Zcash and all cryptocurrencies is a very speculative and volatile market. Nevertheless, it is a viable method of trading if you do not have the money or know how for purchasing and trading cryptocurrencies.