Charles Hoskinson Reacts as Winklevoss Twins back Zcash

Winklevoss twins invested $50 million in Zcash via treasury firm Cypherpunk Technologies, aiming to acquire 5% ZEC supply.
Cardano Midnight positions itself as a top competitor to Zcash, following recent network improvements and partnerships.

Cardano founder Charles Hoskinson recently reacted to reports that confirmed the Winkevoss twins invested $50 million in Zcash (ZEC). His comments come amid the latest ZEC price rally despite the ongoing crypto market bloodbath.

Winklevoss Twins to Acquire 5% of Zcash Supply

In an X post, Hoskinson shared a sarcastic Batman GIF with a bold inscription, “Interesting… Very interesting.”

Hoskinson reacted to news of the Winklevoss twins’ $50 million investment in Zcash via their new treasury firm Cypherpunk Technologies. The firm aims to hold 5% of the total ZEC supply for long-term privacy-focused accumulation.

Hoskinson’s GIF is a classic expression of ironic doubt, implying the announcement is more theatrical than transformative.

Reaction to Zcash Treasury Push | Source: Charles Hoskinson

The Wisemen Alpha, a crypto analysis account on X, spotlighted the $50 investments. They celebrated Cameron and Tyler Winklevoss, hailing the investment as the biggest validation signal for privacy crypto.

The post elevated Zcash above Bitcoin and, by extension, other privacy solutions like Cardano Midnight Network. Hoskinson, a vocal crypto proponent, likely saw this as overblown marketing.

The Wisemen Alpha emphasized that the Winklevoss twins are not random investors. They reiterated the Winklevoss twins’ legendary early Bitcoin foresight.

In 2013, Cameron and Tyler bought 70,000 BTC when it traded under $150 per coin. As such, they turned a $65 million Facebook settlement into a $6 billion Bitcoin empire. The twins quickly became the first Bitcoin billionaires before anyone took crypto seriously.

The Wisemen Alpha thinks their investments in Zcash mirror their early Bitcoin accumulation strategy.

The post delved deeper into Zcash’s quantum resistance. It pointed out that the Zcash zero-knowledge proofs are 10- 20x more quantum-resistant than the Bitcoin transparent ledger.

Thus, they argued that capital will shift to quantum-resistant chains before the actual threat arrives, when the quantum threat gets priced in around 2027-2030. To them, the Winklevoss twins are buying the insurance policy before everyone gets in.

Zcash Faces Tough Competition from Cardano

While this argument is technically sound, Zcash faces tough competition from Cardano in aggressively pursuing post-quantum cryptography.

As highlighted in our previous article, the Cardano Foundation has officially launched Veridian, an open-source digital identity platform. Veridian ensures post-quantum security and privacy with open protocols and a public infrastructure foundation.

Thus, Hoskinson’s GIF subtly mocks the idea that they are discovering quantum insurance now, when Cardano has been building it.

Besides, Yoon Auh, founder of post-quantum cryptography firm BOLTS Technologies, recently cautioned against false claims. In a previous article, we discussed that Yoon warned that even a single false claim about quantum computers compromising Bitcoin could trigger a market-wide panic.

Moreover, replies from ADA enthusiasts highlight Midnight, the upcoming privacy sidechain on Cardano, as a superior alternative. The Midnight Network has quantum-proof features like Starstream, positioning it as an under-the-radar play in the privacy landscape.

These discussions came shortly after Cardano’s Midnight Foundation collaborated with Google Cloud to advance privacy-enhancing infrastructure.

Also, Hoskinson disclosed earlier that Midnight aims to connect Cardano and XRP ecosystems, focusing on technical upgrades and decentralized finance (DeFi).

Recommended for you:

This article is provided for informational purposes only and is not intended as investment advice. The content does not constitute a recommendation to buy, sell, or hold any securities or financial instruments. Readers should conduct their own research and consult with financial advisors before making investment decisions. The information presented may not be current and could become outdated.