VanEck CEO Questions Bitcoin’s Privacy, Highlights Zcash as an Alternative
VanEck CEO Jan van Eck has raised concerns over Bitcoin’s encryption and privacy, suggesting that some long-term holders are exploring Zcash as the market reevaluates Bitcoin’s long-term prospects.
Speaking on CNBC’s Power Lunch with Brian Sullivan on Friday, van Eck emphasized that these issues go beyond short-term price movements. “There’s something else going on within the Bitcoin community that non-crypto people need to know about,” he said.
He added that VanEck evaluates Bitcoin like any traditional asset. “We will walk away from Bitcoin if we think the thesis is fundamentally broken. We don’t right now, but you always have to look at the underlying technology and the crypto.”
While van Eck did not explicitly define the “Bitcoin thesis,” his remarks highlighted concerns around long-term viability, including the strength of its cryptography, resilience against quantum computing, and whether its privacy model meets user expectations. He described questions of “enough encryption” and “enough privacy” as increasingly central in parts of the Bitcoin community.
Privacy Coins Gain Attention
Van Eck noted that some Bitcoin maximalists are now exploring Zcash, calling it “sort of related to Bitcoin with a lot more privacy.” He stressed that Bitcoin’s transparent ledger can conflict with rising expectations for transaction confidentiality: “When you move money around on the Bitcoin blockchain, you can see it. You can see it move from one wallet to another.”
Following the interview, van Eck summarized on X that the current Bitcoin bear market reflects “the onchain reality of the halving cycle (bearish for 2026), quantum-breaking-encryption concerns, and the better privacy of Zcash.” He also referenced VanEck portfolio manager Pranav Kanade’s advice to “dollar cost average into bear markets.”
At the time of the interview, Bitcoin traded around $84,643. By Nov. 23, 9:15 a.m. UTC, it had risen to $86,204, up 2.4% in 24 hours, but still down 7.7% year-to-date and 31.6% below its all-time high of $126,080 on Oct. 6, 2025.
Mixed Industry Reactions
Reactions were divided.
- Some supported van Eck’s concerns about quantum risks. Ethereum co-creator Vitalik Buterin warned that quantum computing could threaten elliptic curve cryptography. Quantum researcher Scott Aaronson noted that a fault-tolerant quantum computer capable of running Shor’s algorithm could potentially appear before the 2028 U.S. presidential election.
- Others disagreed. Samson Mow, CEO of JAN3, rejected the notion that Bitcoin maximalists are turning to privacy coins, tweeting: “You wouldn’t be able to point out a Bitcoin Maxi even if they were standing in front of you… stay in your lane and push the latest shitcoin narrative.”
Zcash Surges Amid Privacy Debate
Privacy-focused Zcash has gained traction. ZEC is now the 13th-largest cryptocurrency, with a market capitalization of $9.43 billion and a price of $578.35—up 17.3% in 24 hours, 121.3% over 30 days, and 930% year-to-date. By comparison, ZEC traded near $55.06 on Sept. 24.
Van Eck’s comments, alongside broader discussions about encryption, privacy, and quantum-readiness, indicate that debates over Bitcoin’s long-term architecture are likely to intensify as 2026 approaches, particularly as traders reassess the halving cycle’s impact on the market.
