The cryptomarket also referred to as darknet market, is an anonymous online marketplace on the dark web that uses cryptocurrency as its medium of exchange.
Among the cryptocurrency used on darknet markets, include Zcash and Monero.
Brief Insight about the Zcash Cryptocurrency
Zcash, launched in January 2016, is a new privacy-focused cryptocurrency.
According to Zcash CEO Zooko Wilcox, The Zcash cryptocurrency, despite being new, will revolutionize and set the pace when it comes to protecting the privacy and anonymity of its users.
This would be made possible through the utilization of state-of-the-art cryptography expertise.
Brief Insight about the Monero Cryptocurrency
Monero is one of the digital cryptocurrency that’s been in use on darknet markets for almost two years.
Therefore, unlike the Zcash cryptocurrency, it is not really new in the darknet.
The cryptocurrency originated from Bytecoin, one of the early altcoins.
Monero is quite popular because it has features that make some darknet market vendors prefer it to other cryptocurrencies.
Zcash and Monero Compared
Both Zcash and Monero cryptocurrencies are known for the confidentiality they offer to users.
The Monero cryptocurrency has incorporated special features like the one-time ring signatures.
It is based on the CryptoNote protocol that basically makes the sender, recipient and the transaction history anonymous.
The Monero team are not weary of coming up with new technology to protect the privacy of their users.
Monero is soon introducing the Ring Confidential Transactions (Ring CT), a system that will enable users to hide the amounts they send using the digital cryptocurrency.
The transactions shall also be untraceable.
Zcash is quite similar to Monero when it comes to anonymity.
It still remains a favorite choice for users who prefer to avoid third parties from accessing their data.
The Zcash cryptocurrency implements a totally untraceable encryption called zk-SNARK.
zk-SNARK hides all the transactions of its users and also protects them from cybercrime.
Compared to CryptoNote, zk-SNARK cannot easily be accessed from anywhere.
It requires a specific key data to allow for a “Trusted Set Up.”
zk-SNARK is privacy feature that Zcash has, to ensure safe transactions and avoid possible fraud in the blockchain.
Differences between Zcash and Monero
Work Systems – Zcash and Monero have quite different systems of how they work.
The Monero cryptocurrency is known to mix its transaction data with others, while Zcash totally eliminates traces of this data.
Nevertheless, Monero is soon launching its Ring CT program that seeks to correct this issue.
The Ring CT is scheduled to be released in the year 2017.
However, the fact that Zcash is still new raises doubt about the ability of the cryptocurrency to provide sufficient anonymity.
The Monero cryptocurrency has been around long enough to gain the trust of its users, hence the cryptocurrency is reliable.
On the other hand, Zcash has a great team of developers and technical innovations which are about to be improved.
GUI Wallets – Monero, despite being used for long on darknet markets, still lacks a GUI wallet that can be downloaded to a PC.
The Monero cryptocurrency utilizes online Monero wallets, while Zcash has enabled its users to access GUI wallets available on GitHub, which is a plus for the cryptocurrency.
Different Mining Algorithms – Zcash and Monero use quite different algorithms in mining.
Monero uses a proof-of-work algorithm designed for CPU mining called CryptoNight.
The Zcash cryptocurrency, however, uses the Equihash algorithm, which has not been designed for mining.
It makes the process inaccessible on ordinary desktop computers.
In a nutshell, both cryptocurrencies have their pros and cons.
It is totally up to investors to make informed decisions on which cryptocurrency to invest in.
The Monero cryptocurrency has been used on darknet markets for a while hence is stable, while the Zcash cryptocurrency utilizes unique algorithms that allow for both private and public transactions.