Cryptocurrency ZCash surges after Winklevoss twins' bitcoin exchange gets OK

Winklevosses' Gemini Exchange Gains NY Approval to Diversify Services

Gemini president Cameron Winklevoss said that they have been working closely with the NYSDFS to obtain approval to offer Zcash trading and custody services to their customers as a ny trust company.

"Our approval makes Gemini the first licensed Zcash exchange in the world".

From the start, Gemini's founders, the Winklevoss twins, sought to be a regulated and licensed exchange which would be different from other exchanges which were present in the market.

What makes this unique is the "official approval process" they largely created themselves - by approaching NY's financial services department seeking approval to execute trades of and storage the cryptocurrency - which was successful.

Winklevoss also acknowledged Zcash's privacy features in the letter.

Zcash (CURRENCY:ZEC) traded 18% higher against the US dollar during the one day period ending at 18:00 PM ET on April 29th.

The listing of additional cryptocurrencies to the platform could help Gemini win more traders.

NY state on Monday authorised the Gemini Trust Co exchange founded by Internet entrepreneurs Cameron and Tyler Winklevoss to offer trading of the privacy-focused cryptocurrency Zcash, making it the world's first licensed Zcash exchange.

Currently, Gemini only has three trading pairs: BTC/USD, ETH/USD and ETH/BTC.

To begin with, the Gemini exchange will accept deposits from both forms of addresses but only unshielded withdrawals will be allowed.

The announcement came as a surprise and had a huge impact on Cash's price.

Seemingly ecstatic with the addition, the Winklevoss brothers praised Zcash for "picking up where Bitcoin left off", adding that "Bitcoin has many strengths, but privacy is not one of them".

Zcash [ZEC] has gone up an extravagant value of nearly 48% in the past 24 hours following its listing on the Gemini exchange. However, the full integrations of these other cryptocurrencies onto the exchange have not been announced as of yet. Transparent transactions operate similarly to Bitcoin in that the balance and the amounts of the transaction are publicly visible on the blockchain.

"Zcash is built upon and extends the Bitcoin protocol". To achieve such anonymity Zcash uses a combination of unshielded and shielded addresses. Despite this, enhancements such as confidential transactions, the Lightning Network, and MAST will improve the privacy offered by Bitcoin in the near future, while Zcash will tackle the trusted setup it is often criticized for by moving on to zk-STARKs eventually. "Part of the reason a coin like Zcash has a smaller market cap is because people are not sure if regulators will ever get comfortable with this type of technology", he told Bloomberg.

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