As per a company announcement, Namada, a novel blockchain with an emphasis on multichain confidentiality, intends to offer an airdrop of its Namada staking token (NAM) to holders of Zcash (ZEC), the digital currency that belongs to the privacy-oriented Zcash blockchain.
ZEC holders who maintain the confidentiality of their transaction details, known as shielded ZEC holders, will receive the initial airdrop directly for the first time. In addition, these holders will not only be able to claim NAM anonymously but also receive a larger share of it compared to transparent ZEC holders, who will also receive the airdrop.
Namada and Zcash employ zero-knowledge proofs (ZK-proofs), a cryptographic method, to verify transactions while preserving the anonymity of the sender, receiver, and transaction value. ZK-proofs enable verification of information without exposing the actual data. ZEC users have the option to keep their transaction details either private (shielded) or public (transparent).
Retroactive Public Goods Funding
The Anoma Foundation, which is the organization behind Namada, has stated that it is aiming to deploy the mainnet in May 2023. Following this, the precise timing and mechanics of the airdrop will be worked out. A separate protocol that protects users’ privacy called Anoma is additionally managed by the organization.
Namada plans to incorporate the airdrop as a component of its retroactive public goods funding initiative, which aims to recognize the contributions of projects and communities such as Zcash that have aided the advancement of Namada’s technology. The foundation will reserve a minimum of 20% of the anticipated 1 billion NAM initial supply for retroactive public goods funding.
Zooko Wilcox, CEO of Electronic Coin Company (ECC), creator of Zcash, said: “Namada is a new privacy-oriented blockchain that they are about to announce, and, it is intended to be a partner with Zcash and to give back to the Zcash ecosystem in terms of both money and technology.
Talking about the latest development for Namada, Christopher Goes, a board member of the Anoma Foundation, said: “Namada couldn’t have come into existence without the technical contributions and socio-economic program of the Zcash community.”
Namada has also issued a proposal to the Zcash community seeking collaboration on research and development. Anoma Foundation hopes that these contributions will align the interests of both networks and encourage continued collaborations in the long term.
