According to Coingecko data, the privacy coin market saw a general rise today (10th), with Zcash, Dash, Railgun, Verge, Tornado Cash, and other top-ranked coins experiencing substantial increases.
What Happened to Privacy Coins?
However, why has privacy coins, long a favorite tool for money laundering and favored by hackers, suddenly exploded in popularity? What are the reasons behind this?
According to research, this may simply stem from a famous person's words. On October 1, Naval Ravikant, a well-known Silicon Valley entrepreneur and angel investor, wrote on the X platform:
Bitcoin is insurance against fiat currencies.
Zcash is insurance against Bitcoin.
The community interpreted Naval Ravikant's meaning as meaning that Bitcoin has been recognized as an effective tool to hedge against the depreciation of fiat currencies. Privacy coins, as extremely special cryptocurrencies, can provide protection for Bitcoin traders, preventing the advantage of blockchain transparency from becoming a defect that troubles coin holders.
Naval Ravikant's words carry great weight, especially for Zcash. After being mentioned by Naval Ravikant, the price of the coin rose rapidly. In just ten days, its price has risen from US$70 to US$240, an increase of more than 200%.
