What shielded Zcash actually hides, and what it doesn't
Sender, receiver and amount are private. Here's where the edges are.
Oct 20, 2026 · 6 min read · ZCode team
Fig. 01 — hover the figure
Zcash has two kinds of addresses. Transparent addresses work like Bitcoin: anyone can see who sent what to whom. Shielded addresses use zero-knowledge proofs, so the chain records that a valid payment happened without revealing the sender, the receiver or the amount.
What stays private
- Who paid, and who was paid.
- How much moved.
- An optional encrypted memo that only the receiver can read.
What can still leak
- Moving money between transparent and shielded addresses is visible at the boundary.
- Timing: a payment that lands right after you click Top up says something to anyone watching both.
- Your network: the server you connect to sees your IP address unless you hide it.
Why ZCode only accepts shielded payments
Every ZCode invoice uses a fresh shielded address with no transparent option, so nobody can accidentally pay in a way that's visible on-chain. It also means most exchanges can't pay us directly: move your ZEC into a shielded wallet first.