THORChain, a decentralized exchange, has launched native Zcash (ZEC) swaps, allowing users to trade ZEC against assets across supported blockchain networks without relying on wrapped tokens or centralized exchanges.
The feature follows THORChain's version 3.20 update, which added support for Zcash and Monero to the protocol. The Zcash liquidity pool currently holds more than $50,000, enabling the network to process live ZEC swaps.
The pool is operating in a soft-launch phase while the network monitors performance. Trading may be temporarily paused if issues arise. The current pool size supports trades in the five-figure range, though larger transactions will experience higher slippage and longer settlement times until liquidity grows.
Protocol-Owned Liquidity (POL), introduced in the 3.20 upgrade, will automatically add liquidity to the Zcash pool when fee and depth ratios are sufficient. Under this mechanism, 20% of liquidity fees are deployed into supported pools, enabling larger swaps with reduced price impact as the ZEC pool grows.
The integration provides Zcash holders direct access to the broader crypto market using native assets. Users can swap ZEC against Bitcoin (BTC), Ethereum (ETH), stablecoins, and other supported assets without depositing funds with a centralized custodian or converting to wrapped versions on other networks.
Zcash becomes the 14th native blockchain integrated into THORChain's cross-chain liquidity network. Rather than routing assets through bridges or requiring users to forfeit custody, THORChain settles swaps using native assets on their respective blockchains.
The soft-launch phase allows the network to test Zcash swaps under real market conditions as liquidity develops.
