Zcash Foundation Investigation Concludes: SEC Decision Triggers 12% Surge in ZEC Price

On Wednesday, the Zcash Foundation shared important news about its operations: the U.S. Securities and Exchange Commission (SEC) has completed its investigation into the public charity. This announcement has led to a significant rebound in the price of the Zcash native token (ZEC), reflecting a renewed sense of investor confidence, along with a 39% increase in trading volume over the last 24 hours.

Key Takeaways

The Zcash Foundation's SEC investigation has concluded without any recommended enforcement actions.
ZEC price surged by 12% to approximately $437.75 following the SEC's decision.
The foundation reiterated its commitment to transparency and user privacy.
Despite the recent price increase, ZEC remains significantly lower than its all-time high.

This article highlights the critical developments surrounding Zcash and its foundation amid ongoing regulatory changes in the cryptocurrency landscape, reassuring investors and enhancing market confidence.

Zcash

SEC Clears Zcash Foundation

The Zcash Foundation received a subpoena from the SEC on August 31, 2023, as part of a broader investigation labeled “In the Matter of Certain Crypto Asset Offerings (SF-04569).” Following a comprehensive review, the SEC stated that it does not plan to take any enforcement actions or suggest changes regarding the organization.

This announcement comes during a time of considerable regulatory shifts concerning digital assets, particularly under the Trump administration, which saw the appointment of the pro-crypto Paul Atkins as the SEC chairman. Notably, similar actions against companies like Uniswap (UNI), Coinbase (COIN), and Robinhood (HOOD) were also dismissed last year.

ZEC Price Rises Close to $440

In their response, the foundation expressed contentment with the SEC's decision, highlighting their commitment to transparency and adherence to regulatory standards. They also reaffirmed their mission to develop financial infrastructure that safeguards user privacy for the collective benefit.

Following this revelation, ZEC surged by 12%, reaching approximately $437.75 at the time of this writing. This rise is particularly notable, considering the cryptocurrency had recently fallen to a near one-month low of $363 last Saturday, demonstrating a remarkable turnaround.

Nonetheless, despite this recent uptick, Zcash's token still has a considerable journey ahead. The cryptocurrency remains 86% below its all-time peak of over $3,191, according to data from CoinGecko.

Zcash The 1-D chart illustrates ZEC’s price reaction to the SEC’s announcement. Source: ZECUSDT on TradingView.com

Featured image from DALL-E, chart from TradingView.com