Zcash (ZEC): how it works, supply and reviews
Privacy coin
Visitor ratings: do you like Zcash?
Key facts
- Ticker
- ZEC
- Category
- Privacy coin
- Network
- own blockchain
- Launched
- 2016-10
- Mining algorithm
- Equihash
- Official site
- z.cash
- Whitepaper
- zips.z.cash/protocol/protocol.pdf
- Source code
- github.com/zcash/zcash
Data: CoinGecko, 2026-10-27. Only projects that still trade with meaningful volume are listed.
What is Zcash
Zcash (ZEC) is a cryptocurrency built from the original Bitcoin code base that adds zero-knowledge proofs so transaction details can be encrypted. Users can hold and send ZEC in shielded (private) or transparent (public) form.
Network and consensus
| Parameter | Details |
|---|---|
| Type | Layer-1 privacy cryptocurrency based on the Zerocash scheme, combining Bitcoin-style transparent payments with shielded payments |
| Consensus | Proof of work using the memory-hard Equihash algorithm |
| Privacy technology | zk-SNARK zero-knowledge proofs; addresses can be shielded (private) or transparent (public) |
| Launched | 2016 |
| Block time | 75 seconds target spacing (150 seconds before the Blossom upgrade) |
| Node software | Zebra; the older zcashd client reached end of support on 18 July 2026 |
Supply and issuance
| Parameter | Details |
|---|---|
| Maximum supply | 21,000,000 ZEC |
| Issuance | New ZEC is issued as a block reward (1.5625 ZEC per block at the time of writing) to miners and development funding streams |
| Halving | The block reward halves about every four years |
| Development fund | Since November 2024: 80% of the block reward to miners, 8% to Zcash Community Grants, 12% to a protocol-tracked lockbox |
What ZEC is used for
- Means of payment and store of value, sent either privately (shielded) or publicly (transparent)
- Block rewards and fees paid to proof-of-work miners who secure the network
- Part of each block reward funds ecosystem grants and development
Who develops and governs Zcash
- Original developer
- Zerocoin Electric Coin Company (the Zcash Company, later Electric Coin Co.)
- Foundation
- Zcash Foundation, a US 501(c)(3) public charity; it develops the Zebra node
- Trademark
- Held by the Zcash Foundation since November 2019; consensus changes need agreement under the trademark agreement
- Governance
- Zcash Improvement Proposals (ZIPs): anyone can submit a draft; ZIP editors accept or reject; upgrades take effect when the network adopts them
- Open source
- Yes; derived from Bitcoin’s open-source code
History
| Date | Event |
|---|---|
| 2016 | Zcash mainnet launched; the genesis block was released and mining began |
| 28 October 2018 | Sapling network upgrade activated, also fixing a counterfeiting vulnerability found in March 2018 |
| November 2019 | Electric Coin Co. donated the Zcash trademark to the Zcash Foundation |
| 31 May 2022 | Network Upgrade 5 (NU5) activated, introducing the Orchard shielded protocol on the Halo proving system without a trusted setup |
| November 2024 | Second halving and Network Upgrade 6 (NU6), replacing direct developer funding with a lockbox and community grants |
| 18 July 2026 | The legacy zcashd node reached end of support, leaving a Zebra-only network ahead of the NU6.3 upgrade |
Security and audits
- A counterfeiting vulnerability discovered in March 2018 was fixed by the Sapling upgrade; according to the developer it did not affect privacy and no counterfeiting was detected
- Since NU5 (2022) the Orchard protocol uses the Halo proving system, removing reliance on trusted setup ceremonies
Risks and caveats
- Privacy is optional: funds held in transparent addresses are as visible as on Bitcoin
- The issuance schedule may change: a proposal (ZIP 234) would replace discrete halvings with smoothed issuance
- Funds in the development lockbox depend on a disbursement mechanism decided by the community
Official links
- Website: z.cash
- Docs: zips.z.cash
- Whitepaper: zips.z.cash/protocol/protocol.pdf
- Source code: github.com/zcash
- Foundation: zfnd.org
- Governance forum: forum.zcashcommunity.com
Questions and answers
What is Zcash?
Zcash (ZEC) is a cryptocurrency derived from Bitcoin’s code that uses zero-knowledge proofs so users can keep transaction details private.
Who created Zcash?
Zcash was developed by the Zerocoin Electric Coin Company (later Electric Coin Co.) and launched in 2016; the Zcash Foundation holds the trademark and develops the Zebra node.
What is the maximum supply of Zcash?
21 million ZEC, issued as block rewards that halve about every four years.
How does Zcash work?
Miners secure the chain with Equihash proof of work and produce a block about every 75 seconds; shielded transactions are verified with zk-SNARK proofs.
Are all Zcash transactions private?
No. Users choose between shielded addresses, which keep information private, and transparent addresses, which make it public.
Sources
- CoinGecko — Zcash
- Zcash — What is Zcash?
- Zcash — What are the economics of Zcash?
- Zcash — Network information
- Zcash Protocol Specification
- ZIP 1015 — Block Subsidy Allocation for Non-Direct Development Funding
- Zcash — zcashd deprecation
- Electric Coin Co. — Zcash Counterfeiting Vulnerability Successfully Remediated (archived)
- Electric Coin Co. — NU5 activates on mainnet (archived)
More in this section
How voting works
Votes are anonymous and carry no text. Each device has one vote per item; press the same button again to remove it. Cloudflare Turnstile checks that a person is voting. We keep a random device ID in a cookie and a salted hash of the IP address to limit abuse — no names, no accounts. Votes are visitors’ opinions, not investment advice.
Page updated: