Zcash Plunges 37% on Critical Privacy Bug; Bitcoin Nears $60K as AI Selloff Hits Crypto
Zcash (ZEC) dropped 37% after Shielded Labs disclosed a critical bug in the Orchard shielded pool that could allow unlimited, undetectable counterfeit tokens. The vulnerability existed since May 2022 and was found on May 29 using an AI model. Arthur Hayes sold his entire ZEC position, declaring the privacy thesis 'dead.' Bitcoin fell to $62,000, nearing the $60,000 support, amid a broader crypto selloff driven by disappointing AI-chip sales outlook from Broadcom and profit-taking in AI-related bets. Bitcoin treasury companies have lost $62 billion in market value since October, with Strategy selling 32 BTC for dividend obligations and Forward Industries depositing $31.87 million in SOL to Coinbase Prime, now $1.13 billion underwater on its Solana bet. Keel Infrastructure (formerly Bitfarms) shares fell 8% after pricing a $400M convertible note for AI infrastructure. Additionally, Binance's Pre-IPO perpetuals reached $400M cumulative volume within days of launch.
Key facts
- Zcash drops 37% after critical Orchard pool bug allowing counterfeit tokens.
- Bitcoin nears $60,000 amid AI selloff and $4.7B ETF outflows.
- Forward Industries deposits $31.87M SOL to Coinbase, $1.13B underwater.
- Keel shares fall 8% on $400M convertible note for AI infrastructure.
- Binance Pre-IPO perps hit $400M volume, SPACEX dominates 79%.