THELOGICALINDIAN - Blockchain interoperability is acceptable a actual accepted abstraction that allows the trading of two altered cryptocurrencies after the charge for a third affair Last anniversary on August 25 two Zcash engineers Ariel Gabizon and Jay Graber demoed a alive accomplishing of XCAT crosschain diminutive trades a apparatus that can barter bitcoins and zcash in a arguable way
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Performing Cross-Chain Atomic Trades With Zcash
The cryptocurrency zcash (ZEC) is a agenda asset that aims to accommodate both agenda absence as able-bodied as accredit privacy-centric transactions. Similarly to bitcoin, the bill additionally has a anchored accumulation of 21 actor but uses a transaction anonymization adjustment alleged zero-knowledge proofs (zk-SNARKs). This technology claims to accommodate complete anonymity, but alongside this zcash can accomplish cellophane about recorded affairs as well. Recently the aggregation has been researching and developing blockchain interoperability accoutrement with ethereum and bitcoin. Last anniversary two zcash developers gave alive admirers a affirmation of a cross-chain diminutive barter amid ZEC and BTC.
Atomic trades are acceptable a hot affair aural the cryptocurrency ecosystem, and aloof afresh Lightning Labs alien bitcoin and litecoin interoperability in the team’s latest release. Gabizon starts the zcash presentation by answer how the action works by utilizing Hash-Time-Lock-Contracts (HTLC).
The HTLC abstraction is additionally the capital basic of the Lightning Network and Zcash developers created a command band apparatus alleged XCAT that enables this technology. HTLC’s use hash-locks and time-locks that crave the receiver to affirm the transaction aural a set deadline. The agreement utilizes Pay-to-Script-Hash (P2SH) affairs which acquiesce the funds to be beatific to a calligraphy assortment until the arrangement is settled.
The XCAT Demonstration
After answer the action of how XCAT works Zcash developer, Jay Graber demonstrates how the team’s command band works. Currently, the apparatus requires users to run a bitcoin abounding bulge and a zcash abounding bulge to apparatus a cantankerous alternation swap. Graber explains the aggregation is alive on an accomplishing that doesn’t crave active abounding nodes but for now, the apparatus is a simple Python amalgamation any user can install.
Graber again begins to admit the action by creating the agreement of the trade, she sets the bulk of funds, and again generates two bitcoin and zcash addresses based on the bounded nodes the aggregation is running. After this Graber artlessly sends the assortment (contractual terms) to Gabizon to see if he agrees to the agreement of the trade. One affair to agenda is that in adjustment to do the BTC/ZEC diminutive bandy with someone, you accept to accept above-mentioned acquaintance with the accustomed party.
After Gabizon accepts the acceding of the agreement, the two parties artlessly delay for the time-locked aeon to run out and the adjustment is complete. In the demo, Gabizon, and Graber appearance the completed affairs on a zcash and bitcoin blockchain explorer. The aggregation is admiring with the aftereffect as accepted HTLC functionality works able-bodied amid a bitcoin Core wallet and a abounding ZEC node.
XCAT is not the alone apparatus that provides blockchain interoperability as the Interledger platform, and Tier Nolan’s protocols also provide this affectionate of connectivity in a altered manner. Check out the video beneath to see the abounding affirmation of BTC/ZEC diminutive swaps.
What do you anticipate about the Zcash XCAT tool? Let us apperceive in the comments below.
Images via Shutterstock, Zcash Google hangout, and Pixabay.
Disclaimer: Bitcoin.com buyer Roger Ver is invested in Zcash.
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