The Cypherpunks Who Aren't

What happened

The founder of Zcash, a privacy-focused cryptocurrency, now advises a Wall Street fund that is buying Zcash coins. This is notable because Zcash's origins are rooted in the Cypherpunk Manifesto, which advocated for privacy built by individuals, not institutions.

Confirmed

Global impact / market context

This shift suggests that a privacy coin like Zcash is becoming more connected to traditional finance. For investors, this could mean Zcash's value and direction may be influenced by Wall Street interests, potentially changing its original purpose and how it is used.

Analyst inference

The crypto market often sees price swings when influential people or funds get involved. Here, a Wall Street fund buying Zcash could signal growing institutional interest in privacy coins. This might lead to more mainstream adoption but also raises questions about regulatory scrutiny and the coin's future.

Analyst inference

What to watch

1. Watch for any official statements from the Zcash founder or the Wall Street fund about their new advisory relationship and what it means for Zcash's development and governance. Confirmed
2. Observe whether the Wall Street fund's buying activity leads to noticeable changes in Zcash's trading volume or price, as this could indicate investor reaction to the news. Proposed
3. Monitor whether this relationship affects Zcash's privacy features, as Wall Street involvement might pressure the coin to comply with regulations, which could alter its core value proposition. Analyst inference

Affected assets

• BTC — Bitcoin
• ZEC — Zcash

Evidence

• medium.com