Privacy Tokens Experience 9% Growth as Crypto Market Cools

Privacy Tokens Experience 9% Growth as Crypto Market Cools

In the past 24 hours, privacy tokens have experienced a 9% growth, coinciding with a slowdown in the broader cryptocurrency market after its recent strong performance.

Since June 15, when BlackRock filed for a Bitcoin spot ETF, the total market capitalization of the cryptocurrency market has increased by 18%, reaching a peak of $1.2 trillion on June 23. However, the market’s upward momentum was interrupted over the weekend, resulting in minor outflows and a temporary bottom at $1.17 trillion on Saturday. Since then, the market has remained relatively flat in terms of its 24-hour performance.

Prominent privacy tokens, including Monero, Zcash, and Mina, have demonstrated strong performance with gains of +2.17%, +4.89%, and +0.37% respectively. Among the top 10 tokens, the best-performing one in the last 24 hours is tomiNet, which saw a growth of 13.68%. Over the past 7 days, Keep Network has been leading the top 10 with a gain of 43.49%.

Privacy tokens utilize technologies like zero-knowledge proofs to obfuscate information such as sender and recipient details, providing users with a certain degree of anonymity.

On June 23, the Financial Action Task Force (FATF), an intergovernmental body responsible for combating money laundering and terrorist financing, expressed concerns that many jurisdictions have yet to adopt its policy standards for virtual assets (VAs) and virtual asset service providers (VASPs). More than half of these jurisdictions have not implemented the Travel Rule, prompting the FATF to call for global cooperation in closing these regulatory gaps.

The Travel Rule refers to policies aimed at preventing criminal and terrorist misuse within the digital asset sector, specifically requiring VASPs to share originator and beneficiary information for cryptocurrency transactions.

The European Union (EU) had previously proposed a bill to ban privacy tokens due to concerns about their potential use in money laundering.

On June 1, Binance announced the delisting of several privacy coins from its Spanish, French, and Polish markets, effective from June 26. The affected coins include Decred, Dash, Zcash, Horizen, PIVX, Navcoin, Secret, Verge, Firo, BEAM, Monero, and MobileCoin.