Multicoin Capital has been accumulating a large position in Zcash since February, believing that the demand for privacy assets will accelerate

Tushar Jain, co-founder of Multicoin Capital, disclosed on social media that he has significantly increased his holdings in the privacy coin Zcash since the beginning of this year. Multicoin Capital pointed out that Zcash has returned to the "cypherpunk" ideals on which cryptocurrency was founded. The proposed wealth confiscation bill in California is a warning signal.

As the trend of confiscating private wealth through political means continues to grow, individuals and institutions will increasingly seek private assets that can protect their interests. Additionally, while Bitcoin has censorship resistance and cannot be frozen or blocked from use, this does not prevent governments from confiscating known held assets through wealth taxes. Therefore, assets that truly possess privacy, censorship resistance, and seizure resistance have a clear product-market fit, and the related demand is accelerating. In their view, ZEC is the most direct vehicle to express this investment theme in the public market.