Shares of the Winklevoss-backed firm fell after a Zcash vulnerability raised concerns over its $102 million ZEC holdings.
Cypherpunk Technologies (CYPH) plunged 37% to 59 cents on Friday, erasing gains after a Zcash bug sparked fears over its $102 million ZEC holdings. The decline marked the stock’s lowest level since early March, recovering slightly from an intraday low of 53 cents.
The sell-off followed reports of a vulnerability in Zcash’s privacy protocol, which could have allowed counterfeit coins to flood the market. Cameron Winklevoss defended Zcash, calling bugs inevitable but emphasizing the network’s focus on security.
Broader crypto pressure weighed on Gemini (GEMI), which fell 4.4% to $4.41, while the Nasdaq slid over 2% amid U.S. market weakness.