Zcash Overtakes Monero in Market Capitalization
The privacy-focused cryptocurrency Zcash (ZEC) has surpassed its long-time rival Monero (XMR) in total market capitalization, reaching an impressive $6.2 billion compared to Monero’s $5.9 billion.
A major rally driven by Grayscale’s Zcash Trust
Over the past month, the price of ZEC skyrocketed by more than 91%, climbing to around $387 per coin — its highest level in years. Analysts link the surge primarily to the launch of the Zcash Trust by Grayscale Investments, a fund designed to give institutional investors regulated exposure to the privacy-coin sector.
The announcement triggered renewed confidence in ZEC as investors interpreted Grayscale’s involvement as a validation of Zcash’s long-term viability and technological maturity. Trading volumes on major exchanges more than doubled within two weeks, confirming the surge in demand.
Mobile wallets and growing accessibility
Another catalyst behind the rally was the rollout of several new mobile wallets supporting shielded transactions. These apps significantly improve usability for non-technical users, addressing one of Zcash’s historical pain points — complex privacy management.
The simplified onboarding process, combined with cross-platform support for iOS and Android, helped drive a wave of adoption. Liquidity on decentralized exchanges increased notably, and ZEC’s transaction counts reached levels unseen since 2021.
How Zcash pulled ahead of Monero
For years, Monero has been the undisputed leader among privacy-oriented cryptocurrencies, thanks to its ring-signature technology and strong community. However, Zcash’s combination of zero-knowledge proofs (zk-SNARKs) and institutional acceptance appears to have shifted the balance.
Unlike Monero, Zcash’s selective transparency model — allowing users to reveal transactions for audits or compliance — has made it more appealing to institutional investors wary of regulatory pushback.
As of November 2025, ZEC’s capitalization of $6.2 billion places it ahead of XMR’s $5.9 billion, cementing Zcash’s lead in the privacy-coin category for the first time in several years.
Analyst caution: dependence on Bitcoin’s price
Despite optimism, experts warn that Zcash’s future trajectory remains closely tied to Bitcoin’s market performance. Historically, privacy coins have mirrored Bitcoin’s cycles, rising during bullish phases and declining during corrections.
If Bitcoin continues to maintain momentum above key resistance levels, ZEC could potentially test new highs before the end of 2025. Conversely, a downturn in the broader crypto market could slow Zcash’s ascent as speculative capital exits high-volatility assets.
Conclusion
Zcash’s climb past Monero marks a symbolic shift in the privacy-coin landscape. The combination of institutional support, improved usability, and strong market sentiment has repositioned ZEC as a frontrunner in the segment once dominated by Monero.
Still, with privacy coins facing increasing regulatory scrutiny worldwide, Zcash’s success story will depend on maintaining a delicate balance between transparency, compliance, and user privacy. For now, it stands as one of 2025’s most notable crypto comebacks.
Editorial Team — CoinBotLab