Zcash’s (ZEC) upside hinges on a repricing of financial privacy in an AI-driven world, Grayscale says

Asset manager Grayscale argues that Zcash (ZEC) is currently underpriced because the market has not fully accounted for the rising value of financial privacy in an AI-driven world characterized by increasing surveillance. Analyst Michael Zhao noted that ZEC's shielding technology usage is growing, supported by new capital entering the ecosystem. Zcash, which uses zero-knowledge proofs to hide transaction details, aims to be a confidential alternative to Bitcoin. While ZEC has experienced sharp, narrative-driven rallies followed by steep drawdowns, Grayscale believes its current low market share reflects an expectation that privacy remains marginal. The firm posits that as AI and blockchain transparency reshape financial privacy debates, confidential transactions will become more valuable, positioning Zcash as a direct analogue to digital cash. However, risks remain, including regulatory uncertainty, execution challenges related to complex upgrades, and long-term concerns like quantum computing.

(Source：CoinDesk)