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Zcash is an open-source protocol to make digital payments, with a cryptocurrency Zcash (ZEC). Zcash is a hard fork of Bitcoin, creating a new network and cryptocurrency, which focuses on privacy issues. The brokers in the table offer it as CFDs. A CFD (or spread bet) allows the trader to speculate on the price movement of the cryptocurrency. The trader does not own the cryptocurrency and does not need a wallet and can go long or short.

What is the motivation behind Zcash ?

Zcash is a fork of Bitcoin, created in part to solve a perceived issue with Bitcoin. When Bitcoin verifies a transaction in the cryptocurrency (an essential step before adding it to the ledger or blockchain), it links data such as the sender and receiver address, on what is a public blockchain. Zcash aims to shield this kind of information, in the interests of increased privacy, whilst still enabling the data to be verified.

How does Zcash verify transaction data with increased privacy ?

Zcash uses what is called a zk-SNARK. This stands for 'Zero-Knowledge Succinct Non-Interactive Argument of Knowledge'. By reading it, one can already gain clues about what it does. The Zero-Knowledge refers to its capacity not to reveal the 'Knowledge'. Non-Interactive refers to the fact that there needs to be no interaction between the parties involved. 'Argument' is used because it is not being proved to be the case, rather it presents a sufficiently convincing 'Argument'. 'Succinct' refers to the idea this process can be performed quickly (essential to a payment processing system). This is not a verbal process, rather it is an equation (in essence, the transaction process is translated to an equation). One of the core features of the blockchain is to use computers to do what they do best, number crunch, and do it on the Internet, so it is distributed and there is less need for a centralised system.

What remains private and what is public on Zcash ?

The payments are public, and listed on the blockchain, but the amount of the transaction, and the sender and recipient remain private.

Does Zcash have more differences from Bitcoin ?

There are a number of differences, which include using the Equihash proof of work algorithm. This has a higher demand on memory than the proof of work alogorithm used by Bitcoin. Zcash has also increased the blocksize limit to 2MB. This enables more data to be placed into each 'block' of transaction data which composes Zcash's blockchain. Bitcoin Cash is another fork of Bitcoin which focuses on increasing this limit to speed up payment processing. Zcash has also reduced the block interval target, which regulates the speed at which blocks are processed. One similarity is that each have 21 million as the limit of coins which can be mined.