THORChain soft-launches ZEC support with advisory that shallow liquidity may increase slippage on large trades.
Tech & Launches ·
THORChain has initiated a soft launch of Zcash (ZEC) support, accompanied by a notice that limited liquidity in the newly added asset may result in higher slippage for large trades. The soft-launch approach allows the protocol to gradually introduce ZEC trading while monitoring market depth and execution quality. This advisory reflects a standard precaution for adding assets with initially shallow order books to a cross-chain liquidity protocol.
The warning targets traders executing outsized positions, where insufficient liquidity can cause prices to move significantly during execution. On THORChain, slippage emerges as counterparties drain available liquidity at successive price tiers; with ZEC trading in its early stages, the spread between bid and ask quotes may widen sharply for sizable orders. The soft-launch structure gives the protocol time to attract liquidity providers and stabilize pricing before moving to full operational status.
The long-term trajectory of ZEC integration remains to be seen, including whether liquidity will deepen organically or require incentive mechanisms, and how the asset will rank among THORChain's broader cross-chain offerings.