Gradual Release: Zcash's growth potential depends on the re-pricing of financial privacy in an AI-driven world

SmartContractAuditor · 2026-03-30T17:03:25+00:00

Grayscale analysts point out that the development of AI monitoring and on-chain transparency could make privacy a core function of finance, and the current market pricing for this trend is undervalued. Zcash achieves private transactions through zero-knowledge proof technology, and demand is emerging. Although ZEC's market share is less than 0.3%, if market expectations change, there could be significant upside potential, but it also faces regulatory and technical risks.

SmartContractAuditor

2026-03-30 17:03:25

Abstract generation in progress

Odaily Planet Daily reports that Grayscale analyst Michael Zhao said in a report that the development of AI monitoring and on-chain transparency could drive privacy from a niche need to a core financial function, while the crypto market currently prices this possibility too low.

The report notes that Zcash uses zero-knowledge proof technology to conceal transaction details, and its shielded transactions currently account for the majority of on-chain activity, indicating that privacy demand already exists in practice. With ZEC currently representing only about 0.3% of the $1.6 trillion crypto sector, Grayscale believes this reflects market expectations that privacy features will continue to stay on the margins; if that expectation changes, upside potential could be significant.

By the end of 2025, ZEC had risen to nearly $700, then pulled back by more than 60%. The report also flags long-term risks such as regulatory uncertainty, execution risk for network upgrades, and quantum computing. As of the time of writing, ZEC is up 5% over the past 24 hours, quoted at about $224.80.

ZEC2.93%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

1 Likes