Finst

Winklevoss Puts Bitcoin and Zcash in Focus After AI Sell-Off

Winklevoss links the AI pullback to a rotation into Bitcoin and privacy coin Zcash, while Asian chip stocks come under pressure.

By Luc Vesters
• 2 min read
Winklevoss Puts Bitcoin and Zcash in Focus After AI Sell-Off

Key Takeaways

  • Cameron Winklevoss said the AI trade is over and urged investors to rotate into Bitcoin and Zcash.
  • That call came alongside a sharp sell-off in Asian chip stocks, with steep losses for the Kospi, Samsung, and SK Hynix.
  • Zcash has risen about 1,033% over the past year and is nearing a market value of $10 billion.

Gemini co-founder Cameron Winklevoss on Tuesday said the AI trade is over and told investors to move into Bitcoin and Zcash. His comment landed during a steep drop in Asian chip stocks, after South Korea’s Kospi closed 10.84% lower and was briefly halted by a circuit breaker.

Chip Sector Sets the Tone

The Kospi finished the session at 6,023.66 points. Samsung Electronics dropped 13.4%, while SK Hynix fell 14.7%. In Japan, the Nikkei 225 lost about 4%, Tokyo Electron declined 10.96%, and memory chip maker Kioxia sank more than 18%.

The pressure appeared to come mostly from China-related developments. Changxin Memory Technologies, the Hefei-based DRAM maker known as CXMT, surged 466% in its Shanghai STAR Market debut on Monday, lifting its valuation to about 3.3 trillion yuan. Around the same time, reports said a Chinese state-backed company has begun making immersion deep ultraviolet, or DUV, lithography machines, the same type of equipment covered by Western export controls.

Winklevoss Chooses BTC and Zcash

Winklevoss linked that volatility to his broader view of the market. Bitcoin is a familiar pick for him, but Zcash is drawing fresh attention as a privacy-focused coin. That lines up with how the Winklevoss twins have approached crypto for years: they were among the best-known early Bitcoin backers after buying about 120,000 BTC in 2012 at roughly $8 (€7.04) each.

The renewed interest in Zcash also fits its recent price run. The token is up about 1,033% over the past year, and its market value is now approaching $10 billion (€8.8 billion). Back in April, Winklevoss said investors who are bullish on AI and quantum computing should also be bullish on Zcash. He later defended the coin after a bug in the Orchard shielded pool, and the twins have since funded protocol work on their own.

Why This Matters

For European crypto readers, the key point is that this is not just a Bitcoin call. It is also a bet on a privacy coin that has already had a huge run. That makes Winklevoss’s comment more than a simple market take, since it shows how quickly money and narratives can move between AI, semiconductors, and crypto. Still, it is only his view, not proof that the market has already made a lasting turn. Bitcoin was previously weighed down by the same flow of capital into AI stocks, which adds more context to the current shift.

Disclaimer: This content is for informational purposes only and does not constitute financial, investment, legal, or tax advice. The information provided may be incomplete, inaccurate, or outdated and should not be relied upon as such. Nothing on this website should be considered a recommendation to buy, sell, or hold any cryptocurrency. Investing in crypto-assets involves risk of loss.