Why have privacy coins suddenly become active again this year? At the beginning of the year, I thought this sector would remain dormant, but unexpectedly, Q4 has brought a small高潮.

After reviewing the data, I realized that the entire 2025 privacy coin ecosystem has been quite remarkable. The gains of established names like Zcash, Monero, and Dash are not insignificant, and privacy-related tokens have become regulars in the top 20 in Grayscale’s reports. Even more interestingly, when BTC and ETH are in a correction, these coins can still move upward against the trend. The proportion of shielded transactions in Zcash is increasing, large institutions like Grayscale are starting to build positions, and Dash’s daily trading volume has doubled—this isn’t a crazy speculative surge, but rather capital rationally deploying.

Why is this happening? Simply put, regulatory and environmental scrutiny is tightening, on-chain data is becoming more transparent, and privacy features are shifting from "optional" to "essential." Institutions have also realized this and are beginning to treat compliant privacy tools as part of their asset allocation. Short-term volatility is still likely, but this narrative framework feels increasingly solid, especially with genuine institutional capital entering the scene.

Seeing these privacy projects that have experienced ups and downs regain attention is quite emotional. The market indeed values cycles, but this round seems to focus more on actual value rather than just storytelling. As the year ends, everyone stay safe during the New Year, and just keep observing. 🚀