Estimated reading time: 3 minutes, 48 seconds
Zcash (ZEC) is a cryptocurrency that was created to provide users with enhanced privacy. Like most digital currencies, ZEC payments are published on a public blockchain. However, through the use of its zero-knowledge cryptography, the altcoin offers privacy features. These allow users to conceal a variety of information. Who is sending payments, whose receiving them, and even the amount being transacted, can all remain anonymous when using Zcash.
For those who want to be sure they are complying with tax and anti-money laundering regulations, Zcash offers a feature known as “selective disclosure.” “Selective disclosure” allows those using Zcash to provide transaction info for auditing purposes.
Our Blockchain WTF exclusive, “ZCash: Token – What is it?” is an excellent resource for folks looking to learn more about the popular altcoin.
Now that we know a little bit about Zcash, it’s time to talk about the price point. At press time, a single ZEC is going for around $170. Thus, making it the 22nd most valuable cryptocurrency by market share.
While the privacy-based token has already enjoyed a good deal of success, there are some who believe Zcash has yet to reach its full potential. Below are three ZEC price predictions that may get your hopes up!
Note: This article is not intended to be investment advice. We strongly encourage readers to do their own research before investing in any cryptocurrency.
Grayscale Investments analyst Matthew Beck made headlines last February when he predicted that a single ZEC token could be trading for as much as $60,000 by the year 2025. For Zcash to reach this mark, it would require investors to use the altcoin in place of traditional offshore banking, according to Beck’s thesis.
In his 20-page thesis, the Grayscale analyst wrote that Zcash could become the “first globally accessible ‘offshore’ investment opportunity” and even referred to a “Swiss bank account in [your] pocket.”
He also claimed that offshore banking has declined in recent years, due to factors such as “added pressure on tax evasion and increased competition” – providing ZEC, with its zero-knowledge cryptography, an opportunity to fill the void.
If even a small percentage of the wealth stored in offshore accounts were transferred into Zcash, it would cause a significant increase in value.
As CCN ‘s Josh Williams explains,
“At one percent of the global offshore wealth, the Zcash price should reach $6,289. If Zcash can manage to capture 10 percent of offshore wealth, it could surge as high as $62,893.”
This, of course, would be no small feat, particularly given the reservations that many people have about Zcash’s “trusted setup.”
Data guru John Young has been featured in several of our previous price prediction articles.
While other forecasters use hypothetical scenarios to support their projections’, Young relies on his Monte Carlo simulation method.
The method involves getting historical daily prices, calculating daily returns, a simulating a year many times over. These simulations offer a range of price outcomes.
According to Young, his ZEC price predictions for in 2018,
“We can be 95% certain that Zcash prices will fall between $9, and $1,073 with a mean of $275.”
Businesstype.net is a site that covers of a variety of business-related topics, including cryptocurrency. In a recent article, they made ZEC price predictions claiming it would rise to $680 by the end of 2018.
Despite providing a bullish forecast for ZEC, the piece mentions both pros and cons. For example, the unnamed author writes,
“For every unit of Zcash that is mined during the first 4%, the company behind Zcash will get 20%. This will constitute 10% of the total supply. While this approach helps ensure that the project is well-funded, some feel that the investors are taking advantage of the network to enrich themselves at the expensive of the platform.”
In their conclusion, the anonymous blogger also states,
“The concerns about Zcash’s method of rewarding investors and employees are certainly valid, but we believe that investors will support the currency to the extent necessary to lift it to this ($680) price level. Investors and employees must be taken care of in projects like this, and the alternative is for them to lose their passion or motivation to provide the capital or effort to power Zcash into the future. A lack of buying pressure or a stagnant development team could be a lot worse than the concerns of and taxation, as it relates to price in 2018.”