While most cryptocurrencies have been losing value in recent days, one particular group is booming. So-called privacy coins – digital currencies designed to protect user anonymity – have surged by roughly 80 % in just one week. According to CoinGecko, their combined market value has reached $24 billion, showing that people are once again seeking ways to stay private in the digital age.

When others fall, anonymous cryptocurrencies rise

Unlike bitcoin, which allows anyone to trace transactions, privacy coins operate differently. Currencies such as Zcash, Monero, and Dash deliberately conceal information about the sender, receiver, and amount transferred – making them virtually untraceable.

While the overall crypto market dropped nearly 4 % last week, these anonymous currencies moved in the opposite direction. The biggest spike came from Zcash, whose price hit an eight-year high of $388, briefly surpassing its main competitor, Monero.

The “tweet effect” behind the rally

The surge in Zcash was fueled by Arthur Hayes, co-founder of a major crypto exchange, who suggested on social media that the ZEC token could reach $10,000. The market reacted instantly – within hours, Zcash jumped from $272 to $355.

Privacy is not a privilege, but a need

“People no longer see privacy as a luxury, but as a necessity,” said Jake Kennis, analyst at Nansen, in an interview with Cointelegraph. He added that the idea of financial sovereignty – having full control over one’s money without banks or authorities – is making a comeback.

Zcash has also upgraded its technology in recent months. With the new Zashi wallet and integration with the Solana blockchain, anonymous transactions are becoming more accessible to everyday users.

Zcash: The encrypted Bitcoin

Like Bitcoin, Zcash has a total supply of 21 million coins, but it offers far greater privacy. It uses zk-SNARKs technology, which verifies transactions without revealing who sent or received the funds. That’s why Zcash is often referred to as “the encrypted Bitcoin.”

Why people flee into anonymity

This renewed interest may also stem from growing regulatory pressure. Governments and crypto exchanges increasingly demand user identification (known as KYC), closely monitoring suspicious transfers. Many investors are rediscovering the appeal of anonymous transactions – and the sense that their financial freedom truly belongs to them.

Sources:

https://www.coingecko.com/en/categories/privacy-coins

https://www.coingecko.com/en/coins/zcash

https://cointelegraph.com/news/privacy-coins-surge-80-percent-investors-financial-privacy-bitcoin