Deep Dive
1. Network Upgrade 6.1 (November 2025)
Overview: NU6.1 activated on testnet at block height 3,536,500, introducing fixes for Orchard shielded transaction balance calculations and enforcing stricter consensus rules.
The upgrade addresses a critical bug where unshielding Orchard notes (private transactions) weren’t accurately reflected in wallet balances via RPC methods like getbalance. It also sets the stage for future mainnet activation after testnet validation.
What this means: This is bullish for ZEC because it strengthens auditability of shielded transactions while maintaining privacy, reducing risks of balance calculation errors for developers and users. (Source)
2. Ztarknet Layer-2 Rollup (November 2025)
Overview: Ztarknet, a Starknet-inspired L2, enables programmable smart contracts on Zcash while preserving shielded privacy via Circle-STARK proofs.
Transactions settle on Zcash’s base layer, keeping shielded pools untouched. The Rust-based stack (Zebra node, Madara sequencer) supports Cairo contracts, aiming for thousands of private transactions per second.
What this means: This is neutral-to-bullish for ZEC as it expands use cases (DeFi, swaps) without compromising core privacy features, though adoption depends on developer uptake. (Source)
3. zcashd Deprecation (April 2025)
Overview: The legacy zcashd node software is being phased out in favor of Zebra (Rust-based node) and Zallet (new wallet), with full migration planned for 2025.
Key RPC methods like createrawtransaction and signrawtransaction are deprecated, while wallet-specific features shift to Zallet. Users must opt into acknowledging this change via config files.
What this means: This is neutral for ZEC, as the transition aims to modernize infrastructure but may disrupt services relying on deprecated RPC methods during migration. (Source)
Conclusion
Zcash’s latest codebase updates emphasize scalability (Ztarknet), privacy integrity (NU6.1), and infrastructure modernization (Zebra/Zallet). These changes position ZEC as a privacy-first platform with expanding utility, though adoption hinges on seamless migration and developer engagement. How will Zcash balance regulatory scrutiny with its shielded transaction growth?