The reason behind the record surge of the privacy cryptocurrency XMR has been named
Monero (XMR) rose 15.5% in a single day, 33% over the week, and approximately 186% over the past year. This marks the highest level reached by the coin in the last eight years, since its breakout to $542 in January 2018. Monero currently ranks 12th among cryptocurrencies by market capitalization. To enter the top ten largest crypto assets, Monero needs to surpass Bitcoin Cash (BCH) and Cardano (ADA).
Merkle Tree Capital investment director Ryan McMillin explained that the popularity of cryptocurrencies that enhance transaction anonymity and allow users to send and receive assets without revealing their identity is increasing. However, McMillin warned that many privacy coins can be subject to sharp volatility because they are not traded on regulated exchanges.
Recently, Ethereum co-founder Vitalik Buterin called privacy a fundamental human right. Buterin insists that surveillance of people, including monitoring their transactions, violates human rights.
The rise in XMR can also be attributed to a sharp shift of capital away from another privacy-focused cryptocurrency, Zcash (ZEC), which recently experienced a major decline. This was caused by disagreements between the Electric Coin Company (ECC) development team and other members of the Zcash community over governance issues. Following the split, Zcash fell by approximately 25% over the week. ZEC is currently trading at $405, with a market capitalization of $6.6 billion.
See also: "Santiment: weak network growth prevents Solana from rising above $145"
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