Publication Date: September 24, 2026

While Bitcoin remains well below its record high from October 2025, one segment of the crypto market has actually risen sharply: privacy coins. According to data from Glassnode, this sector is now 213 percent higher than it was during the previous market peak.

Zcash stands out in particular. The price of ZEC has risen approximately 25-fold in one year, and the coin is now among the largest cryptocurrencies in the world. At the same time, Zcash is becoming increasingly accessible to traditional investors. This is happening just as Europe is preparing stricter regulations for privacy coins.

What are privacy coins?

With cryptocurrencies like Bitcoin, transactions are publicly visible on the blockchain. Names aren’t directly listed there, but wallet addresses and amounts are visible.

Privacy coins were developed to give users more privacy. Monero hides transactions by default. With Zcash, users can choose for themselves whether to conduct a transaction publicly or privately.

That difference is important. Zcash combines the ability to maintain privacy with the option to keep transactions visible. As a result, the coin appears to better align with the requirements of regulated financial institutions.

Why is Zcash rising so sharply?

Zcash’s rise is partly driven by growing interest from traditional investors. Since August, a Zcash fund from Grayscale has been trading on the stock exchange in the United States. This allows investors to gain exposure to Zcash through a regular investment account without having to hold the cryptocurrency themselves.

Zcash has also become more accessible in Europe. This week, 21Shares listed a Zcash ETP (an exchange-traded product that tracks the price of Zcash) on Euronext Amsterdam and Paris. The ETP is physically backed by ZEC, so investors do not need to use their own crypto wallet.

In addition, Zcash is working on a technical update designed to process transactions more quickly. This combination of improved accessibility and further development of the network has heightened interest in the coin.

Europe Tightens Regulations

This growing interest is countered by new European regulations. Starting July 10, 2027, stricter European anti-money laundering rules will take effect. These rules explicitly mentioncryptocurrencies with features that canfurther obscuretransactions .

This does not mean that owning Zcash or Monero will be prohibited. The rules primarily target regulated crypto platforms and financial service providers. Starting in 2027, they may face restrictions on offering and holding privacy coins.

For European investors, this could mean that it will become more difficult in the future to purchase these coins directly through a regulated crypto platform.

Interestingly, Zcash is simultaneously being offered via a listed product on Euronext. Because investors do not purchase ZEC directly through such a product, a different legal situation may apply. It is not yet entirely clear exactly how the European rules will ultimately be applied to these products.

Conclusion

Privacy coins are among the most notable sectors in the crypto industry in 2026, with Zcash playing a key role. The coin is benefiting from new exchange-traded products, further network development, and growing investor interest. At the same time, due to its sharp price rise and relatively small market, Zcash remains vulnerable to significant price fluctuations.

At the same time, a unique situation is emerging in Europe. Zcash is becoming increasingly accessible through traditional exchanges, while crypto platforms will likely face stricter restrictions starting in July 2027. In the coming months, therefore, it will not only be the price that is worth watching. In particular, the way European regulators apply the new rules could be decisive for the future of Zcash and other privacy coins.

Disclaimer: Investing involves risks. Our analysts are not financial advisors. Always consult an advisor when making financial decisions. The information and tips on this website are based on our analysts’ own insights and experiences. They are therefore intended for educational purposes only.