CashZ Wallet Launches After Ex-Zcash Developers Split From ECC: What Changes Now?

This article was first published on The Bit Journal.

There has been a major shake-up in the Zcash community since the beginning of January 2026 as most of the core developers from Electric Coin Company (ECC) resigned and claimed that they will be releasing a new wallet called CashZ.

Driven by governance conflicts, this event has informed market reaction and ecosystem sentiment. The community is keen to know what has changed, what remains the same and what this means for Zcash users.

Core Developers Depart from ECC and Create CashZ

On January 8, 2026, most of the ECC’s main development team resigned together from the nonprofit-governed organization. This group, which includes former ECC CEO Josh Swihart, formed a new for-profit company to keep building tools for Zcash, namely the CashZ wallet. 

The departure followed disagreements with the nonprofit board Bootstrap, which serves as a nonprofit board to oversee Electric Coin Company’s operations and governance. 

Developers said the transition was necessary to allow quicker decision-making and to get incentives in line for the kind of growth and innovation that doesn’t mesh with the tenets of nonprofit compliance.

Swihart clarified in a public statement that the team remains committed to Zcash and is “100% focused on full-stack Zcash development,” indicating that they are not creating a new token, but rather expanding wallet support.

CashZ Wallet: Built from Zashi, No New Token

The CashZ wallet, code-named and developed by the former ECC engineers, uses the existing Zashi codebase, which was the flagship Zcash wallet previously built under ECC.

At launch, which should be in a few weeks, users on the Zashi wallet are expected to migrate to CashZ with little disruption.

Unlike forks or new coins, CashZ is not a new asset, nor is it making any changes to the Zcash protocol. The continuation approach is in order to allow Zcash users to continue using their wallets and other tools/systems they use with Zcash and maintain compatibility.

The official CashZ website emphasizes this continuity: “We aren’t launching any new coins, we’re just scaling Zcash.”

Governance Dispute And What Matters

The developers’ departure revolved around a governance dispute with Bootstrap over nonprofit oversight as well as stifled operational flexibility. 

The nonprofit structure limited hiring, financing and the team’s capacity to act quickly in a competitive environment, according to Swihart.

The organizational friction led to making a choice of creating new entity in which strategic and commercial decision can be made more rapid.

The dispute was not fundamental to  Zcash technology or mission, but instead a structural governance matter.

Many members of the community have since argued back and forth on whether this split is a risk for fragmentation or just something that privacy-enabling tools need to do when they’re scaled up.

As an open-source blockchain, the Zcash protocol, however, is unaffected by such changes to organizational structure since its consensus rules and network infrastructure are fundamentally decentralized.

Immediate Market Reaction and Community Response

The news of the team’s exit and CashZ announcement triggered speculative trading of Zcash’s token (ZEC) almost immediately. A sharp plunge in ZEC’s market price was recorded amid confusion and rumors about the exit from the project. 

Subsequent messages from the developers settled markets down as investors and users recognized the continuity in development efforts. 

Community reactions have been mixed. Some of its members see the move as an affront to accepted governance norms, while others see it simply as a positive evolution that gives developers clearer incentives and faster product cycles. 

The debates center around trust, decentralization and what coordination should look like between CashZ, Bootstrap and the larger Zcash Foundation.

What’s in Store for CashZ and Zcash Users?

With CashZ’s public waitlist now open on cashz.org, early adopters can sign up to access the new wallet before it becomes public. Users on the Zashi wallet should expect a migration path without their private keys being replaced and functionalities degraded; there would be no forcing the users to follow complex chain transitions.

Areas to watch in the coming weeks include: formal rollout schedule, will independent security audits be required?, distribution channels (e.g., verified app store listings), and how governance dynamics continue to unfold between CashZ and nonprofit oversight bodies. 

Conclusion

The Zcash CashZ wallet launch demonstrates an evolution in governance and organizational models in cryptocurrency projects. 

The Electric Coin Company’s core developers quit over differences in structural governance with their previous employer and ended up starting a new company to build CashZ from the existing Zashi codebase. 

The transition does not see any new tokens or protocol updates, but it marks a switch in development into startup mode, focused more rigorously on scalability and faster innovation. 

The Zcash blockchain network is still running independently, and the users are anticipated to be offered with extended wallet solutions as they closely watch the shifting infrastructure of this ecosystem.

Glossary

Zcash (ZEC): A privacy coin that uses zero-knowledge proofs for transactions.

Zashi Wallet: A self-hosted Zcash wallet created by the ECC and its prior team.

CashZ Wallet: A new Zcash wallet announced by the former ECC developers using the Zashi code base.

Electric Coin Company (ECC): The organization that historically built the Zcash technology and tools.

Bootstrap: The nonprofit board that governed ECC’s operations and decision-making structures.

Frequently Asked Questions About Zcash CashZ Wallet Launch

What is the CashZ wallet?

CashZ is a new Zcash Wallet being built by developers that used to work at ECC with the current Zashi codebase, built for easy migration process and better market adoption.

Does CashZ create a new cryptocurrency?

No. CashZ wallet is not issuing a new token or cryptocurrency. It is still very much centred around the current Zcash network.

Why did the ECC team leave?

The team departed because of disagreements with Bootstrap about the governance of a nonprofit and restrictions on operations.

Is Zcash development continuing?

Yes. Developers have stated that Zcash development is still active, and CashZ is part of this continued development.

What if users already use Zashi?

Existing Zashi users should make sure to sign up for the waitlist of CashZ, as there should be some upgrade path offered when this new wallet is available.

References

cashz

Josh Swihart

X

BTCTurtle

Read More: CashZ Wallet Launches After Ex-Zcash Developers Split From ECC: What Changes Now?">CashZ Wallet Launches After Ex-Zcash Developers Split From ECC: What Changes Now?