Unified custody layer Zenrock’s wrapped Zcash token, often known as zenZEC, has recorded roughly $15 million in whole buying and selling quantity since its debut on the Solana blockchain on Oct. 31.
Whereas the quantity is undoubtedly paltry in comparison with blockbuster crypto tokens that routinely commerce in billions, it alerts one thing extra pivotal: the introduction of privateness as a function in decentralized finance (DeFi), presently leveraging the Solana community, which is thought for its sooner velocity than Ethereum.
It displays a rising urge for food amongst merchants and establishments for options that strike a steadiness between usability and privateness and safety.
Aditya Dave, co-founder of Zenrock, put it finest: “Privateness is so core to the ethos of crypto. Over the previous two years, tradfi has are available in and brought over through stablecoins, performing as institutional patrons of majors. Consequently, privateness as a tenet of crypto has been sacrificed.”
“Zenrock introduced ZEC over to Solana through zenZEC to mix Solana’s velocity and entry with zCash’s privateness,” he informed CoinDesk.
zenZEC, backed 1:1 by native ZEC, is Zcash wrapped through Zenrock’s decentralized multi-party computation (MPC) community. This community generates a number of unbiased secret shares from the personal key, that are then distributed throughout a community of nodes largely operated by unbiased third events.
In different phrases, the personal key by no means exists in full wherever; as a substitute, it’s mathematically cut up, and these distributed nodes collectively signal transactions or generate public keys with out exposing the whole key to any single social gathering.
This eliminates single factors of failure and considerably enhances general safety. As a result of it operates off-chain and independently of any particular blockchain, Zenrock’s MPC community is extremely suitable with cross-chain (omnichain) purposes.
zenZEC is due to this fact constructed to combine seamlessly with Solana’s decentralized exchanges and yield protocols, offering Zcash holders with actual on-chain DeFi publicity for the primary time in over seven years.
On-chain incentives are already at work on Orca, certainly one of Solana’s main decentralized exchanges, driving liquidity and adoption. Dave has said that zenZEC customers will quickly be capable to deploy the token as collateral throughout decentralized finance protocols on Solana.
ZEC has been on a tear since September, notching a 16-fold rally to $659, based on information supply CoinDesk.
