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RE: The latest experiment in tech, economics, and psychology: Zcash

in #zcash8 years ago

I'm highly skeptical about Zcash in the long term, for the same reasons I'm skeptical about Bitcoin.

If I remember correctly Zcash is pretty much a copy of Bitcoin tech, with added anonymous feature. So the governance system is still almost non-existent and block production will waste huge amounts of energy if the coin will ever become popular.

There are many blockchain 2.0 projects that have thought about these things already but Zcash decided to ignore all of them and go with old design. It will be really hard for them to update it in the future, just like it is really hard to update Bitcoin.

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I'm not sure I follow your point about governance design. The Zcash core devs all work for a company Zcash Co with a clear leader Zooko and it's reasonable to expect them to move quickly, much more like Ethereum than Bitcoin. I think there are lots of questions about the viability of Zcash but I don't think governance is one of them.

There should be a mechanism on the blockchain level to settle conflicts. Bitcoin doesn't have any, and neither does Zcash as far as I know.

The beginning is easy when there is a company, but if Zcash is successful, it will start to decentralize and there will be lots of different opinions on how to handle things. If there is no consensus mechanism on the blockchain, there is a high risk of long and bloody fights.

I wrote about this in the Zcash forum: https://forum.z.cash/t/why-a-bitcoin-clone-and-not-a-dac/340

You might be also interested in my proposal for a good DAO design: https://steemit.com/dao/@samupaha/how-to-design-efficient-and-resilient-dao