Zcash Token Outperforms Bitcoin To Hit Six-Month High After SEC Closes Three-Year Probe

• Zcash surged to its highest level since November after the SEC formally closed its investigation into the Zcash Foundation.
• According to the non profit, the SEC ended the probe without recommending enforcement action, fines or operational changes to the project.
• The Zcash Foundation reported holding $36.7 million in liquid assets at the end of the first quarter while continuing development on Network Upgrade 7.

Zcash (ZEC) led gains among crypto majors and hit a six-month high on Wednesday afternoon after the non-profit behind the token said that the U.S. Security and Exchange Commission’s (SEC) probe into the foundation had formally closed its investigation into the project.

ZEC’s price rose more than 12% to hit $646.80, its highest level since November, amid the broader rally in the cryptocurrency market. Retail sentiment around the privacy-focused token improved to ‘bullish’ from ‘neutral’ territory over the past day and chatter rose to ‘high’ from ‘normal’ levels. 

The token is also the top performer in weekly gains among crypto majors, up over 20% in the last seven days, according to CoinGecko data — second only to Hyperliquid (HYPE), which has gained over 30% in the same period. 

Meanwhile, Bitcoin (BTC) fell 1.7% in the last seven days. Leading altcoin Ethereum (ETH) saw a steeper drop of nearly 5%. On Wednesday afternoon, Bitcoin’s price edged 0.85 higher to around $77,400, while Ethereum’s price moved 1% higher to over $2,100.

SEC Closes Zcash Investigation Without Enforcement Action

The rally comes after the Zcash Foundation announced in its first quarter (Q1) earnings on Tuesday that the SEC had officially ended its investigation into the organization after nearly three years. The agency did not recommend any enforcement action, fines, or regulatory changes. 

The foundation said the first quarter of 2026 had been “one of the most consequential” periods in its history, citing regulatory clarity, governance progress and infrastructure development.

ZCash Foundation’s Q1 Performance

The Zcash Foundation reported holding approximately $36.7 million in liquid assets at the end of the first quarter, with average monthly operating expenses of roughly $272,500.

Executive Director Alex Bornstein said the organization spent the quarter advancing key technical and governance initiatives while preparing for Network Upgrade 7. The foundation also said its near-term priorities include continued work on the Z3 stack, Zebra performance benchmarking and broader protocol implementation efforts.

ZEC’s price has gained more than 27% year to date and has surged over 1,500% during the past 12 months. The token has more than doubled over the last month alone.

Read also: Ethereum Climbs After Five-Day Slide, But Wintermute Warns ETH Is ‘Wrong Asset’ For Current Macro Backdrop

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