US EditionZcash Drops After the Entire Team of Electric Coin Company, a Core Development Firm Behind the Token, Leaves
The entire Electric Coin Company team resigned due to governance conflicts, causing Zcash to lose $1.2 billion in market cap and drop up to 20% overnight.
- On Wednesday, Electric Coin Company’s entire core development team resigned amid a governance dispute with Bootstrap, former CEO Josh Swihart flagged Bootstrap board members as part of the conflict.
- Developers said changes to their employment terms forced their exit, describing these as constructive discharge tied to Bootstrap-imposed changes and accusing Bootstrap board members of misalignment with Zcash’s mission.
- Markets sent Zcash sharply lower overnight, losing roughly $1.2 billion in market capitalization and dropping 15% before recovering to around $420 by Thursday morning, CEO Josh Swihart said.
- The developers announced a new company to continue protocol and software work, saying the former Electric Coin Company development team aims to protect their work while Josh Swihart said the Zcash protocol is unaffected.
- Amid broader concerns about centralization, critics targeted Zcash’s reliance on ECC and VC funding, the 20% developer tax on block rewards, and growing institutional interest from Grayscale and Cypherpunk Holdings last year.
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Zcash Loses $1.6 Billion In Market Cap Following Mass Developer Exit
Zcash (ZEC) lost in a sharp sell-off in January 2026, with its market cap dropping around $1.6 billion in a single session. The loss happened after there were extensive reports on social media stating that a large number of developers stepped down continuously. This set off a large loss of confidence in the coin among traders. According to CoinMarketCap at press time, the coin is trading at $421.77 with a 12.45% decrease in rate. The market cap …
Zcash price today: ZEC is massively under sales pressureZcash ($ZEC) is under strong pressure.The Privacy Coin has fallen by around 21% in the last 24 hours, losing approximately $1.6 billion in market capitalization.ZEC price in USD - TradingViewThe crash hit ZEC in a phase where the crypto market is already weakening – which also boosts sales at Altcoins.Why did ZCash crash?The sudden crash followed the confirmation that the entire Zcash core …
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