The rise of Zcash: technology, scarcity, and the myth of privacy

In 2025, Zcash (ZEC) made one of the most unexpected comebacks in the crypto world.

From September to November, its price jumped from $40 to over $400 — roughly a 900% increase. But the real story isn’t the price action itself. It’s the convergence of technical breakthroughs, market catalysts, and a renewed cultural fascination with privacy.

A technical reboot that changed everything

Zcash’s resurgence began quietly, with two crucial upgrades: Halo 2 and the Unified Address. Halo 2 removed the need for a trusted setup — a foundational vulnerability that had long haunted early privacy coins.
The Unified Address simplified shielded transactions, finally making privacy usable for everyday users.

Then came Zashi 2.4, the wallet that redefined Zcash’s user experience.
It introduced decentralized swaps and CrossPay, allowing users to pay in BTC, ETH, SOL, or stablecoins while keeping their transaction private.
Everything happens through NEAR Intents, with no bridges or external apps involved.

The effect was immediate: shielded transactions hit record levels, and over 30% of ZEC’s total supply now sits in shielded pools — a quiet vote of confidence for private finance.

The Electric Coin Company’s new vision

Behind the scenes, the Electric Coin Company (ECC) has been reshaping Zcash’s future.
Its roadmap introduces:

• Ephemeral Transparent Addresses, temporary addresses that minimize traceability.
• Address rotation, enhancing anonymity.
• And a research project called Tachyon, designed to make private transactions scalable.

In short, Zcash is moving from private by design to private by default — bridging cryptographic purity with real-world usability.

Institutional demand

Technology explains part of the story.
The rest is narrative.

The Grayscale Zcash Trust saw its assets under management surge to $136 million, up 228% in October alone, fueled by speculation around a potential spot ETF.
Then came the endorsements:
— Naval Ravikant called Zcash “insurance against Bitcoin.”
— Arthur Hayes, ex-CEO of BitMEX, publicly announced he’d bought ZEC, projecting a $10,000 target and praising the Halo 2 upgrade.

These comments lit a spark that algorithms amplified.
Soon, ZEC perpetual futures listed on Hyperliquid and other exchanges, feeding a new cycle of FOMO and leverage-fueled rallies.

Privacy, surveillance, and the macro backdrop

While markets moved, the world outside crypto shifted too.
The rise of CBDCs and the EU’s proposed “Chat Control” regulation reignited the global conversation on digital surveillance.
Investors and privacy advocates began asking the same question: How much traceability are we willing to accept?

In this climate, privacy coins like Zcash became more than speculative assets — they became ethical refuges.
Even in countries like Italy, where crypto taxation increased sharply, many investors turned to anonymous or shielded assets as a quiet protest against overreach.

Economic dynamics and structural fragility

Zcash’s second halving actually occurred in November 2024.
But many traders, believing another was imminent in 2025, piled in expecting “pre-halving scarcity.”
That misunderstanding fueled speculative demand.

Meanwhile, exchange liquidity dropped as more ZEC moved into shielded pools.
This created a thinner market — fewer coins available, higher volatility.
Open interest on derivatives hit multi-month highs, with algorithmic traders driving record volumes on decentralized exchanges like Hyperliquid.

Zcash became both an innovation testbed and a speculative playground — a mirror of crypto’s dual nature: idealism and opportunism colliding in real time.

Between solidity and story

Today, Zcash stands at a curious intersection.
It’s one of the few crypto projects that has returned to its core mission — defending privacy through mathematics — while adapting to the realities of a multi-chain economy.

Its volatility remains high, but its relevance is higher.
Zcash is no longer just a token; it’s a statement.
In an era of programmable money and surveillance finance, it reminds us that privacy is not a luxury — it’s infrastructure.