In a notable show of support for privacy-focused blockchain infrastructure, Gemini founders Tyler and Cameron Winklevoss have donated 3,221 ZEC to Shielded Labs. Shielded is an independent organization that supports protocol-level development of the Zcash network.
The donation comes at a delicate moment for the Zcash ecosystem, after its developer team which has recently been navigating internal governance tensions and developer resignations.
Shielded Labs confirmed the contribution in a post on X, stating that the funds, valued at roughly $1.2 million, will be allocated toward several core initiatives. This includes the Network Sustainability Mechanism (NSM), Crosslink, and the development of dynamic fees.
With this investment, Shielded Labs aims to enhance the long-term security, sustainability, and scalability of the Zcash protocol.
How Shielded Labs and Zcash Are Connected
Shielded Labs independent organization based in Switzerland. It supports the Zcash network at the protocol level. Shielded works on core infrastructure that keeps Zcash private, secure, and sustainable. The organization focuses on shielded transactions, fee mechanisms, and long-term network upgrades.
But Shielded Labs does not run Zcash, issue ZEC, or control the network.
Instead, Shielded Labs funds and coordinates protocol-level work that benefits Zcash, including research, engineering, and collaboration on core upgrades.
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Amid ZCash Rift
The timing of the donation is particularly significant. In recent weeks, reports have surfaced that the core developer team behind Zcash stepped down following disagreements with the network’s governing and funding entities.
The departures have sparked broader discussions within the community about governance, funding structures, and the future direction. It becames all the more important as web3 keeps doubling down on privacy with Zcash being one of crypto’s longest-running privacy networks.
Against this backdrop, the Winklevoss twins’ decision to inject fresh capital into Zcash-related development comes as a vote of confidence in the network’s underlying mission. This is all despite the ongoing internal challenges.
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“A healthy Zcash ecosystem depends on multiple independent organizations contributing at the protocol level,” Tyler Winklevoss said in a statement shared by Shielded Labs. “Shielded Labs plays an important role in that effort, and we’re glad to support their work.” Cameron Winklevoss echoed the sentiment.
Interestingly, this marks the second time the Gemini founders have backed Shielded Labs. In 2023, the brothers made an earlier donation that helped establish a dedicated Crosslink task force. Last year only they announced ZCash treasury – Cypherpunk DAT – to show their support to Zcash’s technical evolution.
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Sneha Agrawal 
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