Winklevoss Brothers Establish Zcash Treasury with $50 Million Investment Translation: Winklevoss Brothers Establish Zcash Treasury with $50 Million Investment

The Winklevoss twins’ fund, Winklevoss Capital, has invested over $50 million into Cypherpunk, a company focused on accumulating the private cryptocurrency Zcash (ZEC).

«Privacy is a fundamental aspect of many of our freedoms. It marks the boundary where the power of the state and corporations ends, and personal liberties and sovereignty begin. As our lives increasingly move online, privacy has become a rare, dwindling asset. This is why we founded Cypherpunk,» Tyler Winklevoss stated in a launch announcement.

The company has already begun accumulating ZEC at a «significant discount to its true long-term value.» At the time of its inception, its balance was 203,775 ZEC (approximately 1.25% of the total supply).

The tokens were acquired at an average price of around $245, utilizing all the initial investments from Winklevoss Capital.

Cypherpunk aims to rapidly amass ZEC, striving to increase its treasury to 5% of the total supply — roughly 819,000 tokens.

«Since Zcash launched nine years ago, we have observed its highly symbiotic relationship with Bitcoin. Zcash is a fork of Bitcoin, so they share the same tokenomics: both have a capped supply of 21 million coins. If BTC is digital gold, then ZEC is encrypted Bitcoin or digital cash,» Tyler noted.

At the time of writing, Cypherpunk is traded on Nasdaq under the ticker LPTX, but it will soon receive a new ticker — CYPH. According to MarketWatch, the company was previously known as Leap Therapeutics Inc and focused on biopharmaceuticals.

It’s likely that the firm has become a SPAC (special-purpose acquisition company) vehicle for a streamlined market entry through acquisition. This strategy has been employed by several organizations affiliated with Donald Trump, Tron Inc, the cloud mining service provider BitFuFu, and many others.

Following the announcement of Zcash accumulation, Cypherpunk’s stock surged 368% during the last trading session.

In the remainder of his post, Tyler Winklevoss highlighted the benefits of ZEC’s privacy. Toward the end, he predicted Bitcoin’s price reaching $1 million within the next five to ten years, along with a parallel rise in Zcash.

It is worth noting that amidst the anonymous coin’s surge of 1500% over two months, analysts have warned of a potential price collapse.

Co-founder of BitMEX, Arthur Hayes has urged against holding ZEC on centralized exchanges in favor of non-custodial storage.