Zcash
$64.45 -7.73%
ZEC · 10w

Snowden Praises Zcash For Squishing Counterfeit Bug

Zcash (ZEC) could be the only blockchain project in which a gaping security flaw can bring the community together. But support is pouring in,  after the Zerocoin Electric Coin Company (Zcash Co) revealed a counterfeiting vulnerability that could potentially put put billions of dollars in the crosshairs.

According to an announcement, published yesterday, the vulnerability in the zero-knowledge protocol could have allowed hackers to print  an arbitrary number of tokens, thereby reducing the value of the authentic coins . However, the revelation did not appear to dampen enthusiasm among the community, many of whom came to the company’s support.

One of those defenders was the privacy guru himself, NSA whistleblower Edward Snowden.

A lot of people wonder why I like #Zcash despite the Founder's Reward. Here's a reason: that tax funds a quality team that catches and kills serious bugs in-house, before they get exploited. Some other projects learn about bugs like this only AFTER people have lost money. https://t.co/i9MD1CpeNx — Edward Snowden (@Snowden) February 5, 2019

The “tax” actually refers to the Zcash Founders’ Reward, which reflects 10% of the mined supply of 21 million coins. The funds that are directed toward funding operations across “founders, investors, employees and advisors,” and according to Snowden, the bounty is what makes all the difference. It’s a controversial model, one that led to the creation of ZClassic (ZCL) as a fork of Zcash without a Founders’ Reward.

Zooko Wilcox, the CEO of the Zerocoin Electric Coin Company, was quick to point out a distinction in Snowden’s characterization of a “tax,” reminding the community that the rewards are made possible through donations by stakeholders. Wilcox said in the Twitter thread:

“[Tax] implies non-consent, and people participate in Zcash only voluntarily.” Zcash Is a Clone of Bitcoin

For a voluntary donation, the Founders Reward sure has divided the crypto com...

Continue on cryptobriefing.com
Recent news
No posts found