Zcash Soars 700% Amid Privacy Revival & Halving Hype

Zcash’s extraordinary 700% surge since September 2025 represents one of the most dramatic rallies in the current crypto market, occurring against a backdrop of general bearish conditions that have dragged down even established giants like Bitcoin. The timing coincides perfectly with Zcash’s mid-November halving event, which will reduce block rewards from 1.5625 ZEC to 0.78125 ZEC, effectively cutting new supply by 50%. This supply-tightening mechanism mirrors Bitcoin’s famous halving events that have historically preceded significant price appreciation, creating fundamental scarcity pressure that has clearly captured market attention.

Beyond the halving mechanics, Galaxy Digital’s analysis points to a revived privacy narrative as a primary driver of Zcash’s performance. The report highlights that while Zcash’s underlying fundamentals haven’t drastically changed, market perception of its zero-knowledge proof system has undergone significant transformation. The data reveals that more than 30% of ZEC’s total supply is now locked within shielded pools, representing an all-time high for private usage on the network. This metric suggests growing adoption of Zcash’s core privacy features at a time when mainstream blockchain networks are becoming increasingly transparent and subject to surveillance.

The introduction of the Zashi wallet has dramatically improved Zcash’s accessibility, making private transactions far more user-friendly for mainstream adoption. This technical upgrade represents a significant step forward in overcoming one of privacy coins’ traditional barriers to widespread use—complex user interfaces that discouraged casual investors. The timing of this development has proven fortuitous, coinciding with growing concerns about financial privacy in an increasingly regulated digital asset landscape.

Prominent industry figures have amplified Zcash’s momentum through public endorsements that have captured market attention. Naval Ravikant and Arthur Hayes have emerged as particularly influential champions, with Hayes describing Zcash as ‘the missing piece for Bitcoin’ in the evolving privacy revolution. The BitMEX co-founder’s prediction that Zcash could achieve 10% to 20% of Bitcoin’s value—placing its price between $10,000 and $20,000—has generated significant speculative interest. More importantly, Hayes has backed his rhetoric with action: his Maelstrom fund now holds ZEC as its second-largest liquid asset, providing tangible validation of his bullish stance.

Despite the euphoric price action, several analysts are sounding cautionary notes about the sustainability of Zcash’s rally. Economist Lyn Alden has characterized the surge as a coordinated token pump, warning investors against becoming exit liquidity for sophisticated operators. This perspective is echoed by crypto commentator Bit Paine on X, who suggests the current Zcash rally may represent a classic pump-and-dump scheme. Paine argues that manipulators likely targeted Zcash precisely because privacy tokens had their previous major moment in 2017, meaning many newer market participants may be unfamiliar with historical patterns.

The regulatory landscape presents another significant challenge for Zcash’s long-term prospects. The European Parliament’s recent vote to restrict listings of privacy-focused tokens like Zcash and Monero on regional exchanges beginning in 2027 creates substantial headwinds for adoption in major markets. This regulatory pressure reflects growing governmental concerns about the potential for privacy coins to facilitate illicit activities, creating a fundamental tension between technological privacy and regulatory compliance that Zcash must navigate. At the time of writing, Zcash was trading at $580.67, having retraced significantly from its intraday high of $734.96, suggesting volatility remains extreme even within the broader rally.