Zcash sees surge in ETF inflows amid community debate

Zcash (ZEC) has experienced a significant reversal in investment trends, with Grayscale’s Zcash ETF recording $41.1 million in inflows during the week ending October 23, 2026. This marks the fund's highest weekly intake since mid-September, following three consecutive weeks of net withdrawals totaling approximately $143.4 million.

The surge in Zcash-linked investment products comes as the broader cryptocurrency market shows mixed performance; while Bitcoin ETFs faced significant outflows in certain sessions, Zcash saw a price increase of nearly 7% during the same period.

Parallel to this financial activity, the Zcash community is engaged in a contentious debate regarding a $550,000 community grant. The proposal, led by Mylo Bennett and the ZECsy team, aims to fund outreach at adult industry events and workshops to promote privacy-focused payments. Supporters argue that the sector represents a logical use case for shielded transactions due to banking restrictions, while opponents express concerns regarding the potential impact on the project's public image and regulatory scrutiny.