Market Report

Cryptocurrency exchange Coinbase supports Zcash

Published

on

Zcash supported by crypto exchange Crypto Heroes

U.S-based cryptocurrency exchange Coinbase has listed privacy-focused cryptocurrency Zcash on its platform. This latest development comes after the cryptocurrency was listed on Coinbase Pro last week.

The crypto exchange announced yesterday that its platform now supports Zcash, with the coin also available on their Android and iOS apps. Users will now be able to buy, sell, send, receive and store the cryptocurrency in the numerous platforms owned by the company.

Coinbase impressed by Zcash

The exchange stated that: “ZEC will be available for customers in most jurisdictions, but will not initially be available for residents of the United Kingdom or the state of New York. Additional jurisdictions may be added at a later date.”

Coinbase further noted that Zcash is a cryptocurrency that uses recent advances in cryptography to allow users to protect the privacy of transactions at their discretion. The Coinbase in its statement noted that: “In both cases, the unencrypted/transparent version of the protocol allows third parties to see metadata associated with the communication or transaction, while the encrypted/shielded version protects this information. Initially, customers can send ZEC to Coinbase from both transparent and shielded addresses, but only sendoff Coinbase to transparent addresses. In the future, we’ll explore support for sending ZEC to shielded addresses in locations where it complies with local laws.”

Crypto world give different responses to listing

Zcash hasn’t reacted the way some people expect following its listing on Coinbase. The cryptocurrency surged last week after it was initially integrated into Coinbase Pro. However, it plunged 17 percent on November 30 after the company revealed that it would be offering partial support for shielded transactions pending when regulations in the U.S will enable them to fully implement transaction shielding.

The announcement has received mixed responses from cryptocurrency enthusiasts on Twitter, from positive to distinctly unimpressed. Some crypto enthusiasts are of the view that listing the coin on Coinbase might have negative implications on its privacy. They argued that the primary feature Zcash which is secured using zero-knowledge cryptography might be affected now that it’s live on Coinbase. They added that since Coinbase is in the U.S, it is subject to state and federal laws, with constant supervision from regulatory bodies like SEC and FINRA KYC/AML. If KYC is implemented on the exchange, then it would go against the virtue of the cryptocurrency since it would need the identity of every customer who trades ZEC to be known by Coinbase.

However, Zcash founder Zooko Wilcox is excited about the coin getting listed on Coinbase and is optimistic that the exchange would uphold the privacy features created by the cryptocurrency. He stated that “As the industry matures, we believe privacy protections will be mandated by most exchanges, governments and other financial institutions, leading to the broad adoption of Zcash.”

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Trending