What is renZEC?
RenZEC is a decentralized wrapped version of zcash on Ethereum which can be minted and redeemed by anyone.
The pool currently has only 25$k in liquidity which the only pool across all dexes with liquidity (according to 1inch). This isn’t enough to use renZEC as a novel way to mix funds and gain privacy on Ethereum.
Example use case:
You have a Ethereum address with a awkward amount of eth, lets say 45.8 eth. Mixing that would require 4x 10 eth and 5x 1 eth mixes with tornadocash. And have some eth left over aswell.
But with a liquid renZEC pool you would only need 1 mix of 0.1 eth to get a private address to pay for gas and use zcash to mix the rest.
- Cheaper mixing of funds then mixers like tornadocash.
- More flexibility in mixing amounts.
- Another liquid coin on uniswap from another chain.
- Price exposure to zcash during mixing.
- renZEC is still custodial as AFAIK (but wont be in the future).
- Complicated UX to mix like this and maybe too novel.
- Layer 2 solutions like aztecs ZK² Rollup make this obsolete in the future.
Also Zook seemed excited by the what this pool could enable : https://twitter.com/zooko/status/1283861008143003649