To stimulate the use of Zcash Gateway, ECC needs to find popular usage applications that go beyond speculative trading and simple, excluded transactions.
As cryptocurrency fans met this week at the Devcon Developers’ Conference in Osaka, there was a great deal of interest in smaller projects that called for interoperability to access Ethereum’s decentralized financial system, notably loans and financial products.
“Connecting to other chains does not seem to be a priority for essential developers,” Summa co-founder James Prestwich told cryptocurrency. “But other chains seem to want to connect with the Astral.”
For example, Josh Swihart, vice president of marketing and business development for the Electric Coin Company (ECC), told cryptocurrency that the zcash community will develop a packed ZEC token for the Ethereum Blockchain over the next six months. The privacy currency may one day become a channel for private, automated, and financial products.
This would be done via the same kind of packed tokens that created the Prestwich co-founded Cross-Chain Working Group to enable bit-coating use on the Ethereum Blockchain. This precedent excited the imagination of many teams present at Devcon.
Finally, interoperability may also result in the privacy features of zcash being awarded to intelligent contracts to protect information about who participated in a contract and what exactly was done.
The reasons why ECC does this are clear. According to DeFi Pulse, more than $ 553 million of ethernet-based cryptocurrency is currently tied to DeFi applications. A source with knowledge of zcash exchange’s activities told cryptocurrency that the asset had only modest traction on at least one US stock market but had not gained popularity over the past year.
Protected address transactions, the most unique feature of the data protection currency, are also rare. The zcash block explorer Zchain made only 271,356 protected transactions of 70,260,454 transactions last month.
To stimulate the use of zcash, ECC needs to find popular usage applications that go beyond speculative trading and simple, excluded transactions.
Swihart said the goal is to turn zcash into a platform where people can build “for all deFi applications,” adding:
“If you want to borrow money when you want to do DAOs [decentralized autonomous organizations], it could all happen with zcash. … Finally, we want zcash-protected [addresses] to be used in Smart Ethernet contracts. “
However, as Prestwich noted, any inter-interoperability work between the chains would be temporary, as it is unclear how these plans would fit into the next version of Ethereum, Eth 2 years of research and development.
On the other hand, it is well known that ECC founder Zooko Wilcox maintains a close personal relationship with the creator of Vitalik Buterin, which is due to his long-standing interest in zk-SNARKs, the secret sauce behind zcash’s privacy features. Although this work can take some time, research is already being done side by side.
As Buterin commented on block-chain interoperability during a Devcon panel, the Ethereum community also values privacy options, even if it gives priority to ease-of-use. Because many fans use Ethereum to create custom computers such as blockchain-enabled video games, they may also want privacy options for their niche tokens. Typically, such ERC20 tokens are all maintained in a public ledger in which the addresses of the top holders are displayed by blockchain discoverers.
Ian Miers, board member of the Zcash Foundation, told cryptocurrency why remote app manufacturers might want to have shielded addresses and intelligent contract options.