Zcash Ongoing Issue

What's the Problem with Zcash?

Zcash (ZEC) is a cryptocurrency that started in 2016, and its biggest strength is privacy. Like when you pay with cash in a shop, nobody knows who gave how much to whom – same way, Zcash hides all transaction details (sender, receiver, amount) using smart tech called zero-knowledge (zk) proofs. On Bitcoin network every transaction can be tracked, but Zcash gives full privacy option. That's why people like it who want to keep their money matters private, like in countries with strict rules or just for safety from tracking down.

Now the main issue right now:

On January 7, the whole main development team from Electric Coin Company (ECC) resigned together! ECC was the company building and improving Zcash. Their ex-CEO Josh Swihart said it was like "forced resignation" because of big fights with the Bootstrap board – that's a nonprofit group that controls ECC. Board wanted things one way, team felt it was going against Zcash's original goal of strong privacy.

Here is the X post of ex-CEO of ECC : https://x.com/jswihart/status/2008987228429799621?s=20

Good thing:

The Zcash network is still running fine and safe because it's decentralized and open-source – no one company controls it fully. No risk of chain stopping. The same team is starting a new company called CashZ to keep building privacy tools, probably still for Zcash.

Market reaction:

Right after the news, ZEC price dropped 15-20%, coming down and hovering around 420-450 area. People got scared about future updates and improvements.

Example:

Imagine your favourite food app like Zomato or Swiggy. The main tech team who create new features, secure app, privacy for orders, suddenly they resign after fight with board members. Board says "we are implementing new rules", but team says "new rules will change the basic idea of an app". App will still work like orders will get places, food will be delivered because server is working fine. But new cool features will be stopped, bugs will take time to fix. Customers will be nervous & eventually app downloads will be affected, share price of Zomato will correct. Exactly same with Zcash – network is working but core team has left because there is dispute hence there is fear in market.