The number of cryptocurrencies that are moving to adopt ZkSnarks, ZCash’s privacy technology, are on the rise. This means that more cryptocurrencies are slowly gaining the privacy capabilities of Zcash (ZEC). For Zcash (ZEC) investors, this would come across as a source of concern with regards to Zcash (ZEC) as an investment. That’s because, if other cryptos acquire its capabilities, then its value would be diminished. But is that really the case? Chances are that this will only make Zcash stronger as an investment. Here’s why.
For starters, the fact that other cryptos are adopting its technologies works in favor of Zcash (ZEC) in terms of its brand equity. That’s because, if other cryptocurrencies are using its tech, it means that it is the best. This gives it an edge in terms of adoption in the long run. For anyone looking to use a cryptocurrency for its privacy capabilities, chances are that they would go for Zcash and not any of the other cryptos looking to implement privacy as a second layer solution. The fact that its tech is being used by others means that its engineers are some of the best in the industry. This means that it can be trusted to deliver in terms of privacy capabilities.
In essence, the popularity of ZkSnarks with other cryptocurrencies is only playing into strengthening the Zcash brand. This makes it a top cryptocurrency to invest in for the long haul. Privacy is one of the attributes that will drive up crypto adoption in the future. The ability to send money anonymously is in demand, and will always be in demand, and since it is one that governments are always trying to crack, users will always go for the best. And which one can be better than the one that is so good, that other cryptocurrencies are copying it?
Prove to Zcash (ZEC)’s potential and growing adoption is in its usage by top companies like JP Morgan. JP Morgan already uses Zcash privacy technology on its quorum platform. This is a big deal, and could serve to draw in more institutional level adoption of Zcash in the market, which pretty much guarantees it of value growth in the future.
For investors who would still be skeptical about Zcash (ZEC) in spite of its strong and growing brand, there is still another factor that favors ZCash’s long-term growth, and that’s regulations. Privacy coins are always under the risk of being banned by governments for security reasons. Zcash is quite safe from such an eventuality. That’s because, it allows users to send money to non-private addresses. This makes it both private and compliant to regulations at the same time.
With such strong fundamentals, the possibility of Zcash hitting a $1000 per coin in the next Bull Run is quite high. Not only are its fundamentals good, it also has a very low coin supply. This means that in a bull market, money would be chasing a very limited number of coins.