Grayscale: ZEC is currently still undervalued and may have the potential to challenge Bitcoin's market share

Grayscale Research stated that Zcash (ZEC), as a decentralized digital currency with privacy features similar to Bitcoin, is expected to pose a real challenge to Bitcoin's network effects.

Grayscale believes that Zcash has advantages such as financial privacy not available with Bitcoin, ongoing development to address network security risks like quantum computing, and cross-chain connectivity through "intention" technology. These features may become increasingly important in the AI-driven surveillance era.

Grayscale pointed out that ZEC has increased approximately 19 times over the past year, but its current market capitalization is still less than 1% of Bitcoin's. The institution believes this indicates that there is still competitive space in the currency-like crypto asset sector, and Zcash may continue to expand its market share. However, Grayscale also emphasizes that investing in Zcash is high-risk, and even if it successfully challenges Bitcoin, it is unlikely to rise in a straight line.