Grayscale Sees Opportunity for Zcash to Challenge Bitcoin Market Share

Grayscale Research has launched a spot Zcash exchange-traded product (ETP), and the token hit its highest price since 2018, trading near $790. According to Grayscale's Crypto Sectors framework, Bitcoin accounts for 93% of the Currencies category by market capitalization.

The asset manager believes that Zcash has a real chance of capturing some of Bitcoin's market share due to three features it lacks: financial privacy in an era of AI-powered surveillance, active development against cross-chain risks and future quantum threats, and 'intents' technology in modern wallets.

Grayscale Head of Research Zach Pandl wrote that earlier rivals such as Litecoin did not mount a serious challenge. He added that deep network effects have kept rivals small, with many investors never diversifying past Bitcoin inside the category.