New Privacy Blockchain Namada Proposes First-Ever Shielded Airdrop to Zcash

Namada is a layer 1 blockchain for multichain privacy, according to a release provided to CoinDesk.

AccessTimeIconApr 12, 2023 at 6:31 p.m. UTC
Updated Apr 12, 2023 at 8:29 p.m. UTC
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Namada, a new blockchain that focuses on multichain privacy, has proposed an airdrop of its upcoming Namada staking token (NAM) to holders of zcash (ZEC), the cryptocurrency native to privacy-focused blockchain Zcash, according to a release shared exclusively with CoinDesk.

This will be the first-ever direct airdrop to shielded ZEC holders – zcash users who choose to keep their transaction details private. They will not only be able to anonymously claim the NAM, but also receive more of it than transparent ZEC holders (who will also be recipients of the airdrop).

Both Namada and Zcash use zero-knowledge proofs (ZK-proofs), a type of cryptography, to verify transactions without revealing the sender, receiver or the transaction amount. ZK-proofs are a technique for proving the validity of information without revealing the information itself. ZEC users can either keep transaction details confidential (shielded) or public (transparent).

The Anoma Foundation, the organization behind Namada, says it’s targeting a May 2023 mainnet launch, after which the exact timing and mechanics of the airdrop will be finalized. The foundation also stewards Anoma, a separate privacy-preserving protocol.

The airdrop will be part of Namada’s retroactive public goods funding – a way of giving back to specific projects and communities such as Zcash, that have contributed to Namada's technology. The foundation will allocate at least 20% of the initial NAM supply – projected to be 1 billion NAM – to retroactive public goods funding.

“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,” said Zooko Wilcox, CEO of Electronic Coin Company (ECC), creator of Zcash.

Namada has issued a proposal to the Zcash community seeking collaboration on research and development.

“Namada couldn’t have come into existence without the technical contributions and socio-economic program of the Zcash community,” said Christopher Goes, a board member of the Anoma Foundation.

UPDATE (April 12, 19:27 UTC): Adds full version of quote from Zooko Wilcox and clarifies that Namada is the party that submitted a proposal for collaboration with Zcash.

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Frederick  Munawa

Frederick Munawa was a Technology Reporter for Coindesk. He covered blockchain protocols with a specific focus on bitcoin and bitcoin-adjacent networks.


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