In Its’ Efforts Towards Decentralization, Zcoin Introduces Crowdfunding System
Zcoin (XZC) has recently launched Zcoin Crowdfunding System (ZCS), which is an important step in the decentralization of funds and decision making of the project. This is significant in the context that the team of Zcoin has recently made plans towards the decentralization of the project and to eliminate any point of failure.
The Zcoin team intends for the ZCS to serve as a transition from funding directly from the block reward to a donation model and shall begin funding ancillary tasks such as non-core development, third party integrations and community management and events.
Zcoin’s primary objective is to protect the privacy and anonymity of its users, while transactions occur on the blockchain. Being an open-source, decentralized privacy coin, it was the first to create and deploy the Sigma protocol, that provides users absolute privacy w.r.t. their transactions through zero-knowledge-cryptographic proofs. Thus it eliminates the need for a trusted setup and its research team has also launched the Lelantus privacy protocols that would be available on Zcoin 2020 onwards.
The ZCS network lets any member of the community suggest, approve or fund activities. Ideas are welcome for a task or service and if such discussions reach a certain level of interest, they may also be implemented and approved. Once approval is made, funds are released accordingly for specific milestones and progress of the project. The network uses Zcoin’s Github to make all records of proposals available and transparent. Reuben Yap, the project steward of Zcoin, has said, “as a privacy project, decentralization is essential for long term sustainability which includes governance and funding. While a block reward has served us well in building the foundations of Zcoin it can result in over-reliance on the core team.”
Zcoin also has plans to introduce its unique innovation called Lelantus, which has already received a good deal of academic interest. Lelantus does not feature a trusted setup and depends on standard cryptographic assumptions, unlike ZkSNARKs and its variants. It uses a simple construction which makes it easy to handle and use while also maintaining the direct anonymous payments feature set.