Zcash (ZEC), a privacy-focused cryptocurrency launched back in 2016, has recently emerged as a market phenomenon, with a 175% spike in the last week and roughly 600% growth year-to-date (YTD), according to CoinGecko data .
This spike coincides with a broader market dip in which cryptocurrencies such as XRP have fallen 13%, while the PayDax Protocol (PDP) has gained traction as a sought-after token during periods of volatility.
ZEC’s Price Rally Fuels Growth In Privacy Coins
ZEC's latest price resurgence represents a significant turnaround for the token, reversing a three-year decline with a price increase that catapulted it from obscurity to the forefront of top market performers.
Such rapid growth usually signifies an imminent price correction for token prices. However, the Zcash price continues to rise as the market is reminded of the need for privacy in digital transactions.
The surge in Zcash's price has also benefited other privacy cryptocurrencies in the market such as Railgun (RAIL), which has increased by more than 185% over the past weeks. Interestingly, industry insiders believe that both XRP and PDP prices will grow in the next few months.
Can PDP Outperform XRP And Zcash?
While XRP, a non-privacy coin, is looking into adding privacy-enhancing features like zero-knowledge proofs (ZKPs) to its XRP Ledger (XRPL), PDP is piqueing investors' interest with its fresh ideas that have the potential to significantly impact traditional finance sectors.
Despite XRP's 350% year-to-date gains, PDP is now introducing its token, which is priced attractively at $0.015 with experts anticipating that PDP will provide returns of up to 1,000% in the remaining months of the year.
This begs the question: why is PayDax Protocol such a tempting investment for institutions, venture capitalists, and retail investors? The answer is PayDax's capacity to fill the gap in global finance for retail investors with transparent, secure, and borderless solutions for borrowing, lending and capital injection.
A Decentralized Banking Solution
PayDax emerged as the first platform in decentralized finance (DeFi) to provide fully decentralized banking and insurance on-chain with an already live decentralized application (dApp) which provides early investors a glimpse of its core features and vision.
The PayDax Protocol enables users to borrow against both crypto and tokenized real-world assets (RWAs), including gold, real estate. With Paydax's top-tier solutions, crypto borrowers can select adjustable loan-to-value(LTV) ratios ranging from 50% to 97% based on their preference.
Lenders benefit from attractive yields across multiple avenues, including a 15.2% annual percentage yield (APY) from peer-to-peer (P2P) loans, up to 20% APY from underwriting defaults in the Redemption Pool, 6% APY through protocol staking with governance rights, and over 41% APY via leveraged yield farming strategies.
The PayDax Protocol’s (PDP) Transparent Ecosystem
When it comes to security and compliance, PayDax puts its customers first by working with third-party security specialists from prominent blockchain audit firms like Assure DeFi .
Along with integrating Chainlink (LINK) for real-time asset pricing, Brinks for high-value collateral security, Sotheby's for tokenized RWA validation, and Onfido for Know-Your-Customer (KYC) verification, PayDax has constructed a complete trust stack.
This infrastructure, together with PayDax's status as a registered firm with a fully doxxed board of directors, puts it well ahead of anonymous projects that lack credibility.
Competing With Zcash In Privacy Solutions
Looking ahead, PayDax plans to incorporate Decentralized Identity (DID) technology, enhancing privacy, security and identity verification on the platform aiming to compete with Zcash’s model, therefore anticipated to capitalize on the growing interest of privacy coins.
This approach enables individuals and leading institutions to manage their own personal details without relying on banks or government agencies, considerably lowering the dangers associated with centralized data storage.
Experts believe that PDP's valuation is set for significant performance once it is fully launched into the market. Some even predict that it will outperform the price surges of ZEC and XRP. This is because the PayDax initiative attracts a lot of liquidity, reaching $1 million in institutional and retail support in record time.
