How to Mine Zcash? A Complete Overview
Founded by Zooko Wilcox-O’Hearn in 2016, Zcash is a cryptocurrency that is more popularly known as a privacy coin. Zcash is powered by Blockchain technology that makes the transactions untraceable and maintains the anonymity of the users. Zcash employs the customized zero-knowledge-proof system of construction for preserving the anonymity of the users. The zk-SNARK protocol of Zcash is an open-source protocol that ensures the completely decentralized nature of Zcash. Like other cryptocurrencies, Zcash is created by the process of mining. The coins are mined through the resolution of complex algorithms and equations by the employment of computing power. If you seek to be a part of the Zcash community, then read on to know more about mining Zcash.
Reasons to Mine Zcash
The process of mining Zcash is quite similar to that of mining Bitcoin. The miners use heavy computational machinery to solve complicated equations for creating Zcash. However, Zcash is different from Bitcoin as the former’s privacy aspect is more advanced due to the highly anonymous zk-SNARK protocol of Zcash. Zcash employs Equihash, the hashing algorithm that is best suited for mining hardware like GPU machines. But what are the benefits of mining Zcash? The reasons are listed below:
- It is very convenient to trade Zcash with Bitcoin. Buying Bitcoin with Zcash is an easy and affordable way of building up a holding position in Bitcoin.
- Zcash is a popular cryptocurrency that can be easily traded at major cryptocurrency exchange forums. Mining Zcash and conducting transactions with the tokens is a good way to earn a decent income from the exchanges. Trading in Zcash coins is a cheap and easy way to pump up the bankroll by raking in good profits from the markets.
- Mining Zcash is the best way of entering the Zcash trading and investment market. The market of Zcash is very volatile, and strategic trading at the market can lead to the extraction of rich profits.
- Zcash is one of the most popular cryptocurrencies in the market. It has a higher market cap than most altcoins. The current market price of Zcash is $174.87, which makes it a decently affordable asset for trading and investment as per zcash price prediction. The market of Zcash is highly volatile, and the price of ZEC surges and drops almost every hour, making trading in Zcash highly profitable.
- The latest GPU machines are too expensive. Mining Zcash makes it affordable for the miners to purchase the modern GPU machines and carry on with adding more ZEC tokens into circulation.
- Zcash enthusiasts anticipate a substantial appreciation in the price of ZEC in the near future. A good way of making the best of the price surge of Zcash is to mine ZEC tokens. Mining the coins instead of buying Zcash is a more affordable way of making profits by investing in the future price of Zcash.
It is pretty much evident from the reasons for mining Zcash that creating ZEC with GPU machines’ help is one of the best ways of securing profits from the Zcash exchanges. It does not take more than twenty minutes to mine Zcash. Miners follow the steps below to create ZEC tokens through Zcash mining:-
- Install the GPUs and configure the computer accordingly for mining Zcash.
- Install a Zcash wallet and set up an address.
- Download the Zcash mining software application and install it on the computer.
- Register with the mining pool of Zcash online to learn more about creating the token.
- Start mining Zcash and store the tokens in the wallet.
Experts’ take on Zcash
The market of Zcash is highly volatile. There have been quite a few significant peaks and troughs in the price of ZEC, making the Zcash experts believe that trading in Zcash would be a profitable venture. Edward Snowden heaps praise upon the supremely private technology of Zcash and says that ZEC is more advantageous than BTC. The developer and founder of Bitsquare, Manfred Karrer, believes that Zcash shall rise in popularity due to its highly decentralized nature. The creator of Litecoin, Charlie Lee, supports Monero over Zcash but is hopeful that the privacy technology of Zcash shall witness the influx of more traders and investors into the Zcash community. With such favorable opinions from the experts, it would indeed be a profitable move to trade in Zcash.