Grayscale argues that Zcash could take on Bitcoin’s network effects as privacy becomes a bigger deal for crypto users, according to Cointelegraph. The firm says growing interest in anonymous transactions is a key part of the ZEC investment case.

ZEC’s Massive Run This Year

According to the report, ZEC has pumped about 19x over the past year. That kind of move stands out among altcoins and shows investors are paying serious attention to privacy-focused plays.

Market Cap and Room to Grow

Even after this rally, Zcash’s market cap is still less than 1% of Bitcoin’s. Grayscale thinks that tiny share leaves plenty of upside if ZEC keeps catching up to the OG crypto’s dominance.

Privacy Demand as a Catalyst

Tying Zcash’s potential to the growing push for privacy, Grayscale points to ZEC’s shot at competing with Bitcoin’s network effects. Their view is backed by ZEC’s wild performance this year and how small its slice of the BTC market still is.