Ledger now allows Zcash (ZEC) owners to manage private balances directly within its desktop application, Ledger Wallet. This update coincides with a period where ZEC is trading 84% higher than it was a month ago.
Known for producing hardware wallets—compact physical devices that store cryptocurrency keys offline—Ledger previously required its users to rely on a separate third-party application to maintain private ZEC holdings.
What Changes for Zcash Holders on Ledger
Zcash provides users with two distinct types of balances:
- Transparent balances, which operate publicly similar to Bitcoin.
- Private, or shielded, balances that conceal both the transaction amounts and the addresses involved.
According to official support documentation from Ledger, a single account can now accommodate both balance types.
These private funds will only be visible if they reside in Ironwood, the updated privacy pool introduced by Zcash in July. Ironwood was implemented to replace a previous pool following the discovery of a flaw by researcher Taylor Hornby, as detailed in reports on the Ironwood upgrade.
Charles Guillemet, the Chief Technology Officer at Ledger, emphasized that sensitive private data remains entirely on the user’s computer.
“Privacy here is not a server setting. To keep your shielded balance private, the scanning and the transaction building happen on your machine: your unified viewing key is stored locally and is never shared with anyone, including us,” Guillemet wrote.
A viewing key enables software to access a wallet’s transaction history, a process that simpler wallets occasionally offload to external servers.
Nevertheless, certain restrictions apply. Private ZEC cannot be exchanged or swapped without first converting it to a transparent balance, and the original Nano S device is incapable of supporting this functionality.
Furthermore, an older application developed by Zondax is scheduled for retirement on November 5, requiring current users to transfer their funds beforehand.
Where ZEC’s Rally Stands
At the time of writing, ZEC was priced at $1,516, marking a nearly 3% decline over the preceding 24 hours. Even so, the cryptocurrency has gained 23% across seven days and over 84% throughout the past month, placing it ninth in overall market capitalization.
Inflows into Zcash investment vehicles have also grown. Zcash exchange-traded funds brought in $98.2 million during the week leading up to September 18, representing the highest weekly inflow among 14 different crypto products.
Certain supporters believe the asset still has room for further growth.
ZEC reached a 24-hour peak of $1,658.86 before pulling back to trade below $1,530. Meanwhile, Ledger has engaged its audience by asking followers whether they prefer holding their ZEC in shielded or transparent formats.
Frequently Asked Questions
What is the main update regarding Ledger and Zcash?
Ledger now allows users to manage private (shielded) Zcash balances directly inside the official Ledger Wallet desktop app without needing a third-party application.
Where must private ZEC be stored to work with the new Ledger feature?
Private funds must reside in Ironwood, the privacy pool launched by Zcash in July.
Can private ZEC be swapped directly?
No, private ZEC cannot be swapped without first converting it into a transparent balance.
Will all Ledger hardware models support this update?
No, the original Nano S model cannot run this new private balance feature.
What is happening to the older Zondax Zcash app?
The older app developed by Zondax will be discontinued on November 5, meaning users must migrate their funds prior to that date.
