Update
Zcash Drops 11% Amid Leverage Build-Up and AI Encryption Concerns
Cryptocurrency Zcash has fallen 11% over the past 24 hours, with a market capitalization of $18.5 billion. Experts attribute the drop to a build-up in leverage and growing concerns about AI potentially breaking crypto encryption. Senior researcher Luke Nolan from CoinShares notes that Zcash's recent price increase of 460% from March lows has led to a significant leverage buildup, which has amplified losses during the recent drop. Other industry experts, including Vitalik Buterin and Justin Drake, have raised concerns about the need for the industry to prepare for 'bunker mode' due to potential AI-driven cryptography attacks. Zcash's quantum-proof and AI-proof roadmap, initiated by Zakura, a full node developer, reflects the market's focus on the privacy sector, despite the recent pullback.