Dragonfly Partners: The Zcash vulnerability incident has been overinterpreted by the market, and most holders will not be affected

Dragonfly Managing Partner Haseeb published a statement regarding the recently patched Zcash vulnerability, indicating that there are many misunderstandings in the market about this event. He pointed out that even if the vulnerability had been exploited before it was fixed, attackers could only profit by faking ZEC in the privacy pool, and these tokens must first be converted from a privacy address to a transparent address to enter mainstream trading platforms.

Since the supply of ZEC in transparent addresses can be publicly verified, any abnormal transfers exceeding the maximum supply will be detected and blocked, so the vast majority of investors holding transparent ZEC and exchange users will not be affected.

Haseeb stated that the Zcash team plans to introduce a new "Turnstile" mechanism and a brand new privacy pool in future upgrades to verify that there is no inflation issue in the current privacy pool. He also mentioned that formally verified cryptographic systems can reduce implementation errors from a design perspective. Haseeb finally disclosed that Dragonfly still holds ZEC, and he is also a ZODL investor.

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