Foundry Launches Zcash Mining Pool as Privacy Coins Gain Traction
As Zcash rebounds from earlier turbulence, Foundry Digital—which commands 30.1% of global Bitcoin hashrate—is entering the privacy coin space with a dedicated mining pool. The move signals institutional confidence in privacy-preserving networks.
Key Takeaway
Top Bitcoin miner betting on privacy coins signals institutional shift toward transaction confidentiality.
Foundry Digital will launch a Zcash mining pool in April, marking the world's largest Bitcoin mining operator's first diversification beyond Bitcoin.
Foundry CEO Mike Colyer said Zcash has matured into an institutional-grade asset, but the mining infrastructure supporting it hasn't kept pace. The Rochester, New York-based firm believes the coin plays a critical role in advancing financial privacy.
Zcash trades more than 90% below its 2016 level. The coin hit nearly ₱41,644 ($700) last year when privacy tokens became the talk of crypto, drawing backing from Coinbase, Andreessen Horowitz, and Galaxy Digital. It now ranks as the 30th biggest coin by market value. BlockSpaceForce Head of Strategy Charles Chong told DL News that Foundry's move reflects growing confidence that privacy-preserving networks will remain an important part of the digital asset ecosystem, particularly as institutional participation continues to expand.
The timing follows major turbulence for Zcash. Developers quit en masse from Electric Coin Company in January, though they reassured the community that the protocol was unaffected. The SEC dropped a years-long investigation into the foundation promoting Zcash the same month. Earlier this week, former Electric Coin Company staffers raised ₱1.49 billion ($25 million) to continue work on Zcash, backed by Andreessen Horowitz and Paradigm.
Billionaire twins Cameron and Tyler Winklevoss backed a Zcash treasury company through Winklevoss Capital. Tyler Winklevoss claimed privacy has become a rare, vanishing commodity. AngelList founder Naval Ravikant wrote on X that Bitcoin is insurance against fiat, while Zcash is insurance against Bitcoin. HashKey Group Senior Researcher Tim Sun told DL News that large financial firms are increasingly comfortable operating on public blockchains, but they still require transaction privacy protections.
Digital Currency Group CEO Barry Silbert projects that 5% to 10% of Bitcoin over the next few years will move into privacy-focused cryptocurrencies.
This article was written based on reporting from Dlnews.
