Zcash Faces Massive 36% Crash In 1 Day After Bug Detection

Zcash has been in a shaky situation for some time now. Recently, the project’s creator was arrested. confirmed It was revealed that Orchard had a serious bug which allowed it to mint unlimited ZEC counterfeits. It was active as of May 20, 2022. The patch was applied on June 1, 2020. This bug was present in the software for four full years. Zcash’s price has plummeted after this revelation. CoinGecko shows ZEC’s stock price fell by 36% over the last 24 hour. The asset is still up nearly 660% since June 2025, despite the recent dip.

Zcash Price Drop: Will it Spiral?

Orchard was active for 4 years, which is a serious breach of security. The bug was identified only after the Claude Opus 4.8 upgrade. It is not only the bug that has created a buzz in the community, but also the fact that it could create unlimited Zcash (ZEC).

Zcash’s (ZEC) 2026 crisis is not its first. In January of this year, the Electric Coin Company’s (ECC) entire development team resigned in masse. ECC developed Zcash. Due to internal disagreements, the team left. ECC CEO Josh Swihart stated that working with integrity was impossible on the platform. ZEC suffered a price drop after ECC left the project, but quickly recovered.

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Zcash, or ZEC for short, is a cryptocurrency that focuses on privacy. It has experienced incredible growth in recent months even though ECC was removed earlier this summer. This rise is most likely due an increase in demand for privacy-focused coins. The increased surveillance of financial transactions is causing more and more concern among people. A mass capital movement into privacy cryptocurrency was fueled by this sentiment. Monero (XMR) and other privacy-focused coins also saw significant gains. XMR may benefit significantly from ZEC’s most recent crisis.