Privacy coins monero and zcash have seen smaller percentage losses against the US dollar this week, unlike crypto assets like bitcoin, ethereum and solana. In seven-day data, zcash is down 5.6% against the USD, while monero is down 6.1%.
Privacy coins may have avoided some of this week’s market carnage, but are still down 62% from 9 months ago
At the time of this writing, the total market capitalization of all privacy coins is approximately $5.55 billion. Monero (XMR) leads the pack with a market cap of around $2.64 billion, or 47.5% of the total privacy coin economy. Zcash (ZEC) is the second largest privacy coin by market capitalization, ZEC’s total market cap today is $789 million.
Behind XMR and ZEC are privacy tokens such as certified (DCR), nucypher (NU), secret (SCRT), horizen (ZEN), ergo (ERG), digibyte (DGB), and beldex (BDX), respectively. This week’s top privacy coin double-digit earners include Deeronion (ONION), litecash (CASH), pivx (PIVX), and Masari (MSR). In terms of percentage loss, the week’s top privacy coin losers include tokens such as zclassic (ZCL), lethean (LTHN), and phore (PHR).
The top five privacy coin crypto assets account for most of the $5.55 billion in privacy coin value, and each token offers different privacy techniques. XMR is a cryptocurrency token with a blockchain protocol that is not decoupled from Bitcoin. XMR uses ring signatures, secret transaction rings, hidden addresses, bullet proofs, and Dandelion++. The ZEC network can protect transactions using zero-knowledge proofs called zk-SNARKs.
Decred (DCR) uses a Coinjoin hybrid method to hash transactions. NuCypher (NU) deploys Proxy Re-Encryption (PRE) technology to encrypt private key owner information. Similar to NU, the SCRT blockchain combines key management techniques, Trusted Execution Environment (TEE) schemes with encryption to increase privacy.
While privacy coins took a bit of a beating this week compared to ETH or BTC, they still lost very little value over the past year. Four months ago, the privacy cryptocurrency economy was worth more than $10.7 billion. The total market cap of XMR was $4.13 billion and that of ZEC was $1.84 billion on April 28, 2022. Nine months ago, on November 6, 2021, the privacy token economy was $14.9 billion.
At that time in November 2021, NU was not in the top five, as horizen (ZEN) was the fifth largest privacy coin by market value. The total market cap of XMR was $4.69 billion. ZEC’s market capitalization on November 6, 2021 was slightly higher than it was on April 28, 2022 at $1.94 billion. In the year In November 2021, the market value of XMR and ZEC was greater than the economic value of the privacy coin today.
What do you think about the privacy coin market action in the near future? Let us know what you think about this in the comments section below.
Image credits: Shutterstock, Pixabay, Wiki Commons
DisclaimerThis article is for informational purposes only. It is not an offer or solicitation to buy or sell, or a recommendation or endorsement of any products, services or companies. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the Company nor the Author shall be liable, directly or indirectly, for any damages or losses arising out of the use of or reliance on any content, goods or services referred to in this paragraph.