Zcash (CRYPTO: ZEC) could emerge as one of crypto’s biggest outperformers this cycle as an asymmetric bet on rising demand for financial privacy, according to widely-followed analyst Taiki Maeda.

Why Zcash?

Maeda argues that Zcash’s similarities to Bitcoin (CRYPTO: BTC) combined with optional shielded transactions give it a potentially valuable niche.

Zcash has a maximum supply of 21 million tokens, four-year halving cycles and a proof-of-work mining system. Unlike BTC, however, users can choose between transparent and shielded addresses.

Maeda said on his podcast on Thursday that privacy represents one of Bitcoin’s biggest unresolved limitations and could eventually support Zcash becoming a secondary crypto store of value.

He sees the potential for ZEC to eventually reach 5% to 15% of BTC’s market valuation, compared with roughly 1% currently.

The trader said rising ZEC in Zcash’s shielded pool signals growing privacy adoption.

Maeda cited lower issuance, improving user experience and a strong holder base as adoption drivers.

How Is Zcash Attracting Capital

The Zcash thesis rests partly on Taiki’s broader bullish crypto outlook.

He says Bitcoin may be entering the early stages of another bull market as investors revive the currency-debasement trade and capital rotates toward stronger crypto assets.

Maeda expects TradFi inflows to support Bitcoin, while crypto-native investors shift toward store-of-value assets or tokens that generate returns for holders.

Zcash belongs in the former category.

Trader Doubles Down After 60% Crash

Maeda’s conviction comes despite suffering a significant loss in ZEC earlier this year.

He said he initially accumulated Zcash below $400 but sold after concerns surrounding a potential Orchard vulnerability sent the token down more than 60%.

After ZEC recovered toward pre-selloff levels, he rebuilt his position at higher prices, seeing the rebound as a sign of market confidence.

Maeda said he has since added both spot exposure and leveraged positions, while maintaining stop losses.

"I have put the majority of my net worth into this Zcash trade," he said.

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