Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
How to buy Zcoin (XZC)
A beginner’s guide to buying and selling Zcoin in Canada.
Zcoin is a digital cryptocurrency that uses the Zerocoin Protocol to allow private transactions. This Protocol uses zero-knowledge proofs to guarantee anonymity to Zcoin users.
Where can I buy Zcoin?
Zcoin is available on a number of popular cryptocurrency exchanges, including:
How to buy Zcoin: Step-by-step instructions
If you want to buy XZC in Canada, here’s an example of how you can do it:
Step 1. Create an account at Binance
Although Binance won’t let you trade CAD directly for XZC, you can acquire some bitcoin and trade that for Zcoin. You can sign up for a free account by providing your email address and creating a password.
Step 2. Deposit funds into your account
Click the “Deposit” link from your account dashboard to make a deposit. If you haven’t done so already, you’ll need to provide a range of additional information to verify your account. Binance will ask for your email address, phone number, full name, address and proof of ID.
Step 3. Buy XZC
Once verified, navigate to the “Buy/Sell” link, search for “XZC” and check the current price available. By clicking on the “Buy XZC” link, you’ll decide either:
- The amount of XZC you want to buy; or
- The amount of BTC you want to spend
Next, click “Buy” and review the details of your transaction, including the amount of XZC you’re about to purchase and the total cost (including the transaction fee). Click confirm buy to finalize your purchase. Note: As mentioned above, many cryptocurrency exchanges don’t offer the option of exchanging fiat currency (ie CAD) for XZC. Instead, you may need to purchase Bitcoin (BTC), Litecoin (LTC) or Ethereum (ETH), or any other cryptocurrency offered in an XZC pairing, and then exchange that cryptocurrency for XZC.
How to sell Zcoin
If you want to sell XZC that you already have, the steps you need to follow are very similar to those listed above, with the obvious difference that you’ll be clicking on the “Sell XZC” link. You will then need to follow the prompts to exchange XZC for your chosen currency, which could be a cryptocurrency or, on some exchanges, fiat currency such as USD or CAD.
Which wallets can I use to hold Zcoin?
The Zcoin official wallet is available for download from the Zcoin website. This wallet works on both Windows and Mac operating systems, while you also have the option to download the Coinomi Wallet from Google Play for use on Android devices.
How Zcoin works
While there’s a widely-held belief among the general population that bitcoin and all other cryptocurrencies are completely anonymous, this isn’t actually the case. As all transactions are kept on a public ledger called the blockchain and readily available to anyone savvy enough to do some digging, law enforcement agencies and researchers have made significant progress towards identifying the people behind cryptocurrency transactions. The Zerocoin Protocol was created in 2013 and was originally meant to be a bitcoin extension. It uses zero-knowledge proofs, which are basically a method of proving something without giving away any data, with the aim of providing privacy and security . Performing private transactions with Zcoin involves three steps:
- Mint. The first step is to select the number of coins you want to mint. A corresponding number of old coins in your Zcoin account are burned cryptographically, and your account is then credited with new coins that have no transaction history attached to them.
- Spend. You can then send your newly minted Zcoins to someone else anonymously because they do not have any transaction history.
- Repeat. You can repeat the minting and spending process as many times as you want.
Zcoin was released to the public in September 2016 by Poramin Insom, the founder and lead developer of this cryptocurrency project.
What to consider before buying Zcoin
Cryptocurrencies are complex and speculative, and it’s essential that you’re fully aware of the risks involved before purchasing or holding any cryptocurrency. If you’re thinking of buying ZCoin, make sure you consider the following factors first:
- Market competition. Zcoin is far from the only company that offers a privacy coin. Monero, Zcash, Komodo, Nav Coin, Verge, PIVX and Dash are just some of the competitors offering coins designed to ensure private transactions, so you’ll need to consider the strengths and weaknesses of Zcoin relative to the competition to help you decide whether Zcoin is worth buying.
- Demand. The sheer number of cryptocurrencies claiming to offer anonymous transactions certainly indicates that privacy is an important consideration for a lot of cryptocurrency users. However, as the privacy coin sector is highly competitive, this could impact the level of demand for XZC and other similar cryptocurrencies.
- Supply. The total supply of Zcoin is 21.4 million XZC, with a circulating supply of less than 4 million at the time of writing.
- Roadmap. You’ll need to consider Zcoin’s scheduled future developments to get an idea of its potential for growth, and you’ll find some of these details in the Roadmap section on the company’s website. You can also find information about Zcoin’s upcoming and ongoing projects through the Zcoin Reddit and other social media channels.
More guides on Finder
How your driving record affects car insurance rates
Find out what shows up on your driving record, how insurers use your record and tips to improve it.
How to invest in fractional shares
Fractional shares are a low-cost way to invest in company stocks. Find out what fractional shares are and how to buy some.
How to transfer a car loan to another person
Find out more about what you’ll need to do to transfer a car loan to another person in Canada.
Canadian Coin & Currency review
Find out how you can purchase collector coins and currency at fair prices with this reputable online dealer.
How to avoid car loan debt
Find out how you can purchase a new vehicle without taking on more car loan debt than you can afford.
Where to buy 5 of the best Octonauts toys for your little deep sea explorer
Check out our breakdown of the five Octonauts toys you won’t want to miss. Plus, find out where you can get them at a great price.
Car lease takeover guide
Find out more about what you’ll need to do to take over a car lease in Canada.
A simple guide to margin trading cryptocurrency
Read our comprehensive guide to cryptocurrency margin trading, how it works and the benefits and risks you should consider before you start trading.
How to mine Litecoin (LTC)
If you want to mine Litecoin (LTC), this comprehensive guide explains how LTC mining works and how to mine Litecoin for profit.
Compound (COMP): How it works and where to buy
Learn more about the COMP cryptocurrency in this beginner’s and buyer’s guide.
Ask an Expert
You must be logged in to post a comment.