Electric Coin Company (ECC) announced Friday, November 19, 2021 that the Zcash (ZEC) network will adopt the Proof-Of-Stoke (POS) protocol. By abandoning Proof-Of-Work, the crypto Zcash intends to green its image! The change should be operational within 3 years.
Cryptos are often under fire from critics for their environmental impact. The reason ? The so-called mining activity, in particular, requires a large amount of energy. However, some crypto protocols consume less energy than others. Recently, the crypto Zcash has also announced a change in protocol in order to reduce its energy footprint.
With the POS, the Zcash network seeks to “reduce its energy footprint”
Zcash (ZEC) is a crypto that has the particularity of guarantee the anonymity of transactions. In this, it is similar to other similar cryptos like Monero (XMR).
The announcement came directly through the voice of the Electric Coin Company (ECC). This is the firm that brings together the developers of the Zcash crypto. The press release revealed that the original consensus algorithm (POW) will be replaced by POS within 3 years.
“We believe that the transition to Proof-Of-Stake is achievable within three years if we are able to focus our time and effort and hire additional talent” Electric Coin Company (ECC)
Why such a change ? The objective for the Zcash network is to “reduce its energy footprint”. Indeed, the POS protocol consumes less energy than the POW. Unlike POW, POS does not put network miners in competition. The energy required to validate the blocks is therefore less. POS is increasingly popular. Currently, cryptos with very high potential use POS such as Cardano (ADA), Solana (SOL) or Avalanche (AVAX).
Zcash crypto price jumps!
Unsurprisingly, such an announcement impacted the price of Zcash crypto. This is all the more notable as the crypto market has been somewhat bearish in recent days.
So, within 24 hours of the announcement, the Zcash crypto price took over 23%! Since then, the improvement has continued. So, at the moment, the price of Zcash crypto is 188 €, up almost 10% over the last 24 hours !
The shape of Zcash contrasts with that of other cryptos. In fact, Zcash is the 4th best performing crypto at the moment among the top 70 worldwide. Only Loopring (LRC) (+ 12%), IOTA (IOTA) (+ 19%) and Elrond (EGLD) (+ 22%) cryptos do better than Zcash!
The capitalization of the Zcash network is estimated at 2.4 billion euros. Zcash is currently the 63rd crypto in the world, just ahead of Enjin Coin (ENJ).