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The Zcash Foundation closed the first quarter with $36.69 million in liquid assets, including $21 million in ZEC, $12.6 million in cash and USDC, and smaller positions in bitcoin and ETH. First-quarter operating expenses came in at roughly $817,000, with team compensation the largest line item — keeping the non-profit's burn well below the $1 million-per-quarter mark that has characterised recent disclosures.
The Foundation also helped ship the Zebra 4.0 upgrade during the quarter, alongside engineering work on FROST signature advances, Z3 stack progress, NU7 governance polling, and a set of AI-powered developer tools. Executive Director Alex Bornstein framed the report as evidence of disciplined stewardship rather than a balance-sheet flex: "This removes a significant regulatory overhang and allows us to move forward with clarity," he said, referring to the SEC's January closure of a years-long probe into the Foundation.
Why it matters
The headline number — $36.7M of liquid assets, $817K of operating expenses — is less interesting on its own than what it says about Zcash's non-profit posture versus its peers. The Uniswap Foundation has earmarked $106.2M for grants and incentives plus $26.3M for ops and employee token awards through January 2027; the Cardano Foundation has floated putting $100M of ADA toward native DeFi; the Polkadot Foundation spent $37M on marketing alone in 2024. The Zcash Foundation's quarterly burn is roughly the marketing line on a single Polkadot invoice.
That restraint sits against a turbulent governance backdrop. Earlier this year the entire staff of the Electric Coin Company quit to form a for-profit spinoff, Zcash Open Development Lab, which has since raised $25 million from Paradigm, a16z and other crypto investors to develop the Zodl wallet. Bornstein's response to the ECC fallout — that the network remains a decentralised open-source protocol no single entity controls — is the message the Q1 filing is built to back up. A lean balance sheet leaves the Foundation dependent on token-price performance rather than war-chest flexibility.
Frequently asked questions
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How much in liquid assets does the Zcash Foundation hold?
The Zcash Foundation closed Q1 with $36.69 million in liquid assets, including $21 million in ZEC, $12.6 million in cash and USDC, and smaller positions in bitcoin and ETH.
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What were the Zcash Foundation's Q1 operating expenses?
First-quarter operating expenses totaled roughly $817,000, with team compensation the largest line item. Capex-style spending has stayed below $1 million per quarter across recent filings.
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Did the SEC close its investigation into the Zcash Foundation?
Yes. The SEC closed its years-long probe of the Zcash Foundation in January, removing a regulatory cloud that had hung over the privacy project for multiple years.
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What is Zcash Open Development Lab and how is it funded?
Zcash Open Development Lab is the for-profit company formed earlier this year after the entire staff of Electric Coin Company quit. It has raised $25 million from Paradigm, a16z and other crypto investors to develop the Zodl wallet.
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How does the Zcash Foundation's burn compare to other crypto non-profits?
At roughly $817K per quarter, the Zcash Foundation's burn is a fraction of peers — the Uniswap Foundation has earmarked $106.2M for grants plus $26.3M for ops through January 2027, Cardano Foundation floated $100M of ADA toward DeFi, and Polkadot Foundation spent $37M on marketing alone in 2024.
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