Analyst Swan called Zcash "garbage" and accused the team of orchestrating a pump.
The Zcash project has come under sharp criticism from Swan Bitcoin platform founder Cory Klippsten. In a recent statement, he described the marketing campaign around the ZEC token as a "coordinated pump" and referred to the asset itself as nothing less than "garbage."
Klippsten pointed to an extremely alarming signal for any serious investor: according to his estimates, about 99% of all ZEC coins are held on centralized exchanges. This level of centralization, in the expert's opinion, completely negates the very idea of private transactions for which Zcash was created. If the vast majority of the supply is controlled by exchanges, there can be no talk of decentralization or financial privacy.
Against the backdrop of these statements, market statistics look grim. According to CoinMarketCap data, the ZEC exchange rate has dropped by approximately 33% over the past 30 days. This decline occurs amid recent technical issues: the Zcash development team was previously forced to urgently discuss a network update due to a critical vulnerability discovered in the Orchard privacy pool.
My professional commentary: The situation surrounding Zcash demonstrates a classic gap between the technological concept and real market practice. If 99% of the tokens have indeed settled on exchanges, then Zcash has transformed from a privacy tool into a regular speculative asset with extremely high risks. Investors should think twice before putting money into a project whose core value—anonymity—effectively does not work at the level of coin distribution.