Zcash 'Feels Like Bitcoin Circa 2013'

Bitcoin's rebellious younger cousin is having a blockbuster year. The Wall Street Journal reports that Zcash—a lesser-known cryptocurrency built to make transactions harder to trace—has soared roughly 1,140% over the past 12 months, far outpacing bitcoin's 24% slump over the same period. Founded in 2016 by a team of scientists and engineers, Zcash works much like bitcoin but adds an optional privacy layer: Users can encrypt who's sending, who's receiving, and how much is moving, while still allowing "viewing keys" for auditors or regulators if they choose.

That mix of secrecy and flexibility is drawing in some of bitcoin's earliest champions. Tyler and Cameron Winklevoss have backed a new firm, Cypherpunk Technologies, that's stockpiling Zcash. Digital Currency Group has reportedly made it one of its largest holdings, and Grayscale wants to convert its Zcash trust into an ETF. Barry Silbert, who founded both DCG and Grayscale, says, "It feels like bitcoin circa 2013." The token's market value, around $8.9 billion, remains tiny next to bitcoin's $1.6 trillion, and regulators still eye privacy coins warily—though the SEC recently closed a probe into Zcash. For the full rundown, including another difference between the two—bitcoin has an elusive creator, Zcash doesn't—read the full story.