Zcash Faces Turbulence: 20% Value Decline Following Leadership Exodus

Zcash Faces Turbulence: 20% Value Decline Following Leadership Exodus

Zcash's core development team resigned, triggering a 20% price drop to $385, highlighting deep governance issues and prompting a new company formation to refocus on privacy.

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The price of Zcash dropped over 20% in a single night, hitting a low of approximately $385, following the unexpected departure of the entire core development team from the Electric Coin Company (ECC). This decline partially reverses the cryptocurrency's remarkable growth in 2025, where it surged by 1,900% to around $700, driven by increased interest in privacy within the cryptocurrency space.

The team attributed their resignation to “constructive discharge,” citing changes in employment terms enforced by Bootstrap, a nonprofit organization overseeing ECC, which they felt compromised their ability to fulfill Zcash’s mission. Key board members, including Zaki Manian and Christina Garman, faced accusations of misalignment with the team's objectives, leading the developers to establish a new company to continue their work on Zcash protocol and software.

By Thursday morning, Zcash's value had slightly rebounded to around $420. Comparatively, when viewed against Bitcoin, Zcash's price remains significantly lower than its late 2017 peak. The recent price movements have drawn attention to ongoing discussions regarding Bitcoin's transparency and its implications for privacy, with notable figures like Ray Dalio and Jan van Eck questioning its long-term viability as a private digital asset.

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