Edition #9Sunday, May 17, 2026

Zcash Weekly — May 17, 2026

Grayscale files world's first privacy coin spot ETF. WSJ front page features Zcash. NU7 coinholder polling launches via Zodl wallet. ZODL hires two new engineers in 48 hours. Vizor desktop wallet ships. KeepKey seeks grant for Orchard hardware signing.

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Grayscale Files World's First Privacy Coin Spot ETF

Grayscale Investments submitted Form S-3 with the SEC to convert its $200M+ Zcash Trust into a physically-backed spot ETF, trading on NYSE Arca as $ZCSH. If approved, it would be the first US spot ETF for a privacy-focused cryptocurrency. Coinbase Custody serves as custodian and Bank of New York Mellon as administrator. The filing came just 48 hours after the CLARITY Act cleared the Senate Banking Committee 15–9, which provides regulatory clarity for digital commodities — a framework that benefits ZEC's positioning. Grayscale has successfully converted 10 crypto trusts to ETFs since early 2024 with a 100% success rate. The trust currently trades at roughly a 7% discount to NAV, a gap an ETF structure would close. CryptoBriefing

CryptoBriefing

Zcash Hits the Wall Street Journal Front Page

The Wall Street Journal ran a major feature: "Crypto Die-Hards Think They've Found the Next Bitcoin" — profiling Zcash as the privacy coin capturing crypto's attention as users rotate out of Bitcoin into ZEC for shielded transactions. Barry Silbert told Forbes the same week that ZEC "feels like Bitcoin circa 2013." Combined with Cypherpunk ($CYPH) announcing the purchase of an additional 10,279 ZEC for $5M (~$486 average) — bringing their total holdings to ~1.88% of network supply — the institutional and mainstream narrative around Zcash has never been louder. ZEC is up over 1,100% in the past year. WSJ tweet

WSJ tweet

NU7 Coinholder Polling Launches — First In-Wallet Governance Vote

Josh Swihart posted the formal NU7 sentiment poll with 6 key questions covering NSM issuance smoothing, fee reissuance timing, Sprout deprecation, memo bundles (ZIP-231), faster block times (75s→25s via ZIP-218), and the overall NU7 schedule. Community feedback is open until May 25, with the actual vote running June 10–24.

For the first time, Zcash coinholders will vote directly inside the Zodl mobile wallet — 1 ZEC = 1 vote, with MPC-encrypted ballots and publicly auditable results. ValarDragon's team built the privacy-preserving voting mechanism using PIR snapshots. Keystone hardware wallet users are also supported. This is the most significant governance milestone for Zcash in 2026. Forum · jswihart tweet (85K+ impressions)

Forum

Ecosystem

ZODL Hires Two Engineers in 48 Hours.

Danny Willems (@dwillems42), former head of cryptography at o1Labs and a known privacy researcher joined ZODL full-time. Swihart called him "a gem." Within hours, Zcash_Harry, a Cosmos and Zcash contributor, also announced he was joining ZODL. Sean Bowe (ebfull) remarked the team "feels legendary." Two high-caliber hires in one week signal a scaling ZK research bench. Danny · Harry

Danny

Vizor Wallet Ships on macOS.

A beautifully crafted new desktop Zcash wallet launched with day-one Keystone hardware wallet support, multi-account management, and fully open-source code (Apache 2.0). Community reception was warm, with immediate demands for Linux support and mobile apps. The launch generated 66K+ impressions — a strong debut for the desktop wallet space. Tweet

Noir Wallet Previewed.

A new wallet project called Noir posted its first community preview on the forum — another entry into an increasingly competitive Zcash wallet landscape. Details are still emerging. Forum

Forum

ZecMap Launches Reward Program.

Batuhan's merchant discovery tool launched a community reward program — users who add businesses to ZecMap earn rewards. The goal: 1,000 listed businesses by Q4 2026. ZecMap's web version is live in English and Turkish, with Android/iOS apps coming soon. Forum

Forum

ZODL Summit — July Applications Open.

The twice-yearly gathering of Zcash contributors and ecosystem partners returns in July. Community applications are now open. jswihart tweet

jswihart tweet

CipherPay Launches In-Person Point of Sale.

CipherPay shipped a PWA-based Point-of-Sale mode, enabling any merchant with a smartphone to accept shielded Zcash payments in person — no app store required. Paired with Zodl, it turns any device into a ZEC payment terminal. Combined with the WooCommerce plugin for online stores, CipherPay now covers both in-person and e-commerce flows. cipherpay.app

cipherpay.app

$41M Synthetic ZEC on Solana.

Swihart flagged that $41M worth of synthetic ZEC traded on Solana in a single week — and reminded users that solZEC holders have no privacy. "Swap from solZEC to shielded ZEC on Zodl for private storage." Tweet

Zooko at Network State Conference.

Zooko delivered a five-minute unscripted talk at the Network State conference, disclosing a private conversation between Hal Finney and himself. Cypherpunk amplified the clip, and it picked up 65+ retweets — sparking spirited debate across crypto Twitter about Zcash's philosophical lineage.

@zcashesp Suspended.

The Zcash en Español account (yoditar's) was suspended by X/Twitter for alleged brand impersonation. The community has rallied behind the appeal. Forum

Forum

Governance & Grants

Grant Status (verified via GitHub API, May 17):

Approved:
| # | Grant | Status |
|---|-------|--------|
| 287 | Zcash in Internet Freedom Crowdfunding (Tor Project) | ✅ Approved ($50K tier) |
| 280 | Hito Hardware Wallet | ✅ Approved, startup payment completed |
| 269 | BTCPayServer Multi-Account + 0conf | ✅ Approved, Milestone 1 complete |
| 266 | Zcash Network School | ✅ Approved, startup payment completed |
| 265 | Zcash CIS Educational Media Initiative 2026 | ✅ Approved |

Declined (May 11 meeting):
Zush · Quiet Money (#281), TIBA Africa (#276), Mexico University Outreach (#284), KBCC Kenya (#286), Zcash Arabia (#289), Quantir (#288), Pesa ya Siri Tanzania (#290), Tachyon-Lite (#295), Rore UI Engine (#292) — all declined or did not meet criteria.

Under Review:
| # | Grant | Applicant |
|---|-------|-----------|
| 294 | BLINK: Bluetooth ZEC Payments for Nigeria | ONEONUORA |
| 293 | WalletConnect v2 + BazaarSwap | flynnthemaestro |
| 291 | Cypherpunk Policy Dinner Sponsorship | paulbrigner |

Newly Submitted (via Forum):
- KeepKey Orchard Signing ($135K) — KeepKey seeks to implement production-grade Orchard-only shielded signing on hardware, with a Least Authority audit. Demo firmware already exists. Third hardware wallet effort after Hito and Keystone. Forum

Q2 Retroactive Grants — Review Period Open:
The 30-day community review period is now active. Submissions include:
- ZODL Q1 2026 Protocol Development (#55700) — Tony Margarit filed on behalf of ZODL for Q1 core protocol work
- THORSwap/Metro (#55675) — $60K request citing $50M+ in native ZEC cross-chain swaps since Oct 2025
- CipherPay (#55612) — Retroactive grant for WooCommerce plugin and shielded payment infrastructure
- wh00hw HW SDK (#55550) — Hardware wallet SDK development
- ZAP1 Attestation Protocol (#55664) — Verification tooling by Zk-nd3r

Zooko tweeted calling for community attention: "Anonymous on-chain coin-weighted voting will be used to determine if these builders get retroactive grants."

Protocol & Development

Zodl 3.4.0 Shipped.

The latest Zodl wallet release shipped this week, per the ZecHub Ecosystem Digest. The update likely includes infrastructure prep for coinholder polling launching in June.

NU7 Poll Questions Finalized.

The 6 questions cover:
1. NSM issuance smoothing — halvings vs. smooth emission curve
2. When fee reissuance begins
3. Sprout v4 deprecation timing
4. Memo bundles (ZIP-231) — with a note that Ledger compatibility could delay this
5. Faster block times: 75s → 25s (ZIP-218) — 3× faster confirmations
6. Overall NU7 schedule with July 15 readiness deadline

Already confirmed for NU7: Orchard Quantum Recoverability, Explicit Fees, NSM fee burning, Extensible transaction format. Not in NU7: Project Tachyon (later upgrade), ZSAs (no clear community support).

ValarDragon NU7 Testnet Running.

The Valar Group announced a private NU7 testnet with NSM, Sprout deprecation, and 25-second block times. Going public "within the next week" — the first opportunity for wallets and applications to test upcoming protocol changes. Zooko tweet

Zooko tweet

zcash_primitives 0.27.1 Released.

A new patch version shipped on May 14 — wallet and application developers should audit their dependencies.

ECC Legacy Blog Posts Restored.

All historic Electric Coin Company blog posts are now available again at electriccoin.co/blog — a significant archive of Zcash development history. Forum

Forum

CLARITY Act Clears Senate Banking.

The Digital Commodity framework passed the Senate Banking Committee 15–9. Privacy coin implications are still being analyzed, but the regulatory clarity is broadly viewed as positive for ZEC's positioning. Coin Center's valkenburgh published analysis. [Forum discussion ongoing]

Tweets of the Week

"We're adding Zcash coinholder polling in @zodl_app with the first poll targeted for June. Soon, anyone using Zodl will be able to share their opinion on the direction of the Zcash protocol by voting their coins."
— @jswihart · link

"ZODL is gaining some really great employees! They should feel at home with such a legendary team."
— @ebfull · link

"The beauty of Zcash is it gets better as it grows. The more people join in, the more private and resilient it becomes. And unlike many other blockchains, Zcash can handle this growth just fine thanks to Tachyon."
— @cypherpunk · link

Forum Highlights

NU7 Sentiment Polling (#55713)

The most important thread on the forum right now. Josh Swihart posted 6 formal questions with community feedback open until May 25. Active discussion from developers, coinholders, and ecosystem builders. Multiple replies debating NSM, Sprout deprecation timing, and transparent transaction phase-out.

KeepKey Hardware Wallet Grant (#55711)

KeepKey introduced themselves with a $135K grant application for Orchard signing. ZODL dev nullcopy immediately asked about SLIP-39/Shamir support. Community engaging on technical feasibility.

ZecMap Reward Program (#55714)

Batuhan launched the community incentive program for merchant listings. Goal: 1,000 businesses by Q4. Multi-language support expanding.

@zcashesp Suspension (#55685)

Ongoing community support thread for the suspended Spanish-language Zcash account. 80+ views, multiple community members offering help.

THORSwap/Metro Retroactive Grant (#55675)

Discussion around THORSwap's $50M+ ZEC swap volume and the Metro.exchange superapp with native Zcash wallet support.

Privacy Corner

Why In-Wallet Governance Matters for Privacy

Zcash's new coinholder polling mechanism doesn't just give users a voice — it does so privately. Here's why that matters.

Traditional crypto governance (Snapshot, Tally, etc.) links your wallet address to your vote. Anyone watching the chain can see which addresses voted which way, how much weight they carry, and potentially correlate votes to real-world identities.

Zcash's approach is different. The Zodl polling system uses PIR (Private Information Retrieval) to take balance snapshots without revealing which addresses hold how much. Votes are MPC-encrypted — no single party (including ZODL) can see how individuals voted until results are published in aggregate.

Practical tip: When participating in the upcoming NU7 vote, you don't need to move your ZEC or expose your balance. Simply vote from within Zodl — your shielded balance is your ballot, and your preferences stay private. This is what governance looks like when privacy is the default, not a bolt-on.

Network Snapshot

ZEC Price

$547.47 · +7.2% (24h)

Market Cap

$9.11B · —

24h Volume

$418.1M · —

Block Height

3,345,963 · +8,133

Network Upgrade

NU6.1 (Zebra 4.4.1) · —

Chain Size

255.87 GB · +0.12 GB

Zcash Privacy Index

Privacy Score

31 · 31

Shielded Pool

5,153,901 ZEC · 5,151,542 ZEC

Shielded % of Supply

30.8% · 30.8%

Orchard % of Shielded

87.9% · 87.9%

Avg Shielded TX/Day

1,411 · 1,751

Privacy Metrics (Week-over-Week)

Privacy Score

31 · 31

Shielded Pool

5,153,901 ZEC · 5,151,542 ZEC

Shielded % of Supply

30.8% · 30.8%

Orchard % of Shielded

87.9% · 87.9%

Avg Shielded TX/Day

1,411 · 1,751

Cross-Chain Activity (24h)

Total Volume

$1.23M

Total Swaps

346

Top Inflow

Ethereum ($167K)

Top Inflow #2

NEAR ($113K)

All-Time Swaps

124,535

All-Time Volume

$1.53B

Network Health

Active Nodes

282

Countries

Tor Nodes

7d Node Change

+7.2%

Avg Block Time

74s

24h Transactions

4,905

The shielded pool gained 2,359 ZEC this week — a reversal from last week's slight decline — while shielded transactions per day dropped 19%. The pattern suggests larger, less frequent shielded transactions rather than the high-frequency smaller activity we saw during the WSJ/Grayscale news spike mid-week. Node count surged 7.2% week-over-week to 282 active nodes across 42 countries, the strongest infrastructure growth in months — likely driven by the institutional attention cycle. Cross-chain swap volume cooled to $1.2M/24h from last week's $3.8M, though all-time volume crossed $1.53B.

Live data at cipherscan.app/privacy

Tool Updates

CipherScan

No new features shipped this week. The CipherScan public API continues to serve as free infrastructure for Zcash builders — block data, privacy stats, transaction lookups, cross-chain tracking, and Zcash Names resolution, all without authentication. — cipherscan.app

CipherPay

CipherPay's Point-of-Sale mode is now live — a PWA that lets any merchant with a smartphone accept shielded Zcash payments in person. No app store, no gatekeepers: open it in a browser, pair with Zodl, and start accepting ZEC. Combined with the existing WooCommerce plugin for online stores, CipherPay now covers both in-person and e-commerce merchant flows. The Q2 retroactive grant application (#55612) is in the 30-day community review period. — cipherpay.app

What's Ahead