Etcd uses Raft and ZooKeeper uses it's own protocol called Zab [0]. Zab shares some characteristics with Paxos but certainly IS NOT Paxos.
[0] https://cwiki.apache.org/confluence/display/ZOOKEEPER/Zab+vs...
The following two paragraphs from the etcd project site seem to hint that they're trying to target overlapping use cases: "Your applications can read and write data into etcd. A simple use-case is to store database connection details or feature flags in etcd as key value pairs. These values can be watched, allowing your app to reconfigure itself when they change.
Advanced uses take advantage of the consistency guarantees to implement database leader elections or do distributed locking across a cluster of workers."