Cypherpunk Acquires 18% of Zcash Network for $33.3 Million

Cypherpunk Technologies has finalized a $33.3 million agreement with Winklevoss Capital to acquire a Zcash mining operation in the United States. Announced on August 18, this deal makes Cypherpunk the world's largest mining operator on the ZEC network, controlling approximately 18% of the total hashrate. The acquired infrastructure is already operational, producing around 4.2 GSol/s, which is nearly one-fifth of the computational power securing the Zcash network. This concentration raises concerns about centralization within a community that values decentralization. Institutional appetite for Zcash has increased this year, supported by figures like Arthur Hayes. As of August 18, Cypherpunk held 323,394 ZEC, representing about 1.92% of the circulating supply, with a target of 5%. Approximately 43,800 ZEC are distributed each month to miners, making mining more profitable than direct purchases on the market.

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