Cypherpunk Technologies, a Zcash treasury company backed by Cameron and Tyler Winklevoss, said it plans to shift its focus to its cancer drug candidate after posting a net loss of $37.8 million for the first six months of 2026.
The company said, 「We expect to continue to incur operating losses for the foreseeable future.」 It also acknowledged that unless the price of ZEC rebounds soon, it will need to raise substantial capital to fund upcoming U.S. Food and Drug Administration, or FDA, trials.
ZEC holdings exceed the company’s market value
Cypherpunk holds about $157 million worth of ZEC, but Nasdaq traders value the entire company at only $74 million.
That puts the stock at 0.47x base mNAV. The report said it is not surprising that crypto treasury stocks continue to trade below the value of their holdings.
If prefunded warrants and other incentives are included in the company’s stated enterprise value mNAV, the multiple shown on its homepage rises to 0.96x. Even then, it remains below the value of the company’s ZEC position.
Winklevoss brothers helped build the ZEC story
Cameron and Tyler Winklevoss were described as the billionaires who helped build the company’s ZEC brand.
Cypherpunk originally acquired ZEC at an average purchase price of $341.84, well below the current market price of $486.
The stock reached $3.70 last November and has since fallen back below $0.69 a share. The report also said the stock is down 40% this year and 96% over the past five years.
Gemini, the exchange controlled by the Winklevoss twins, serves as the custodian for the company’s ZEC.
Cancer program adds a heavier funding burden
Cypherpunk’s cancer candidate is sirexatamab, an anti-DKK1 antibody. In a randomized Phase 2 study, the drug failed to beat the control arm on progression-free survival across all patients.
The company attributed that result to insufficient power in the final analysis.
Its digital-asset treasury business has not provided relief either. The report said ZEC is flat for the year, so the token has not helped on that front.
Still, the FDA granted Fast Track designation to the candidate in May, a status that speeds up regulatory review. The regulator also agreed to a Phase 3 colorectal cancer trial design involving about 270 patients.
Onsi said the company is 「conducting a strategic process to determine the best path forward for sirexatamab, whether as a separately financed spinout company or together with partners equally committed to cancer patients.」
Early goal was 5% of ZEC supply, current share is 1.92%
At launch, Tyler Winklevoss wrote: 「We plan to continue to rapidly accumulate ZEC and have Cypherpunk hold at least 5% of the total ZEC supply.」
Nine months later, the company now holds 323,394 ZEC, equal to 1.92% of circulating supply.
As of June 30, Cypherpunk had $7.6 million in cash and cash equivalents, an accumulated deficit of $500 million, a loss-making business, and an expensive path ahead if it wants to take its drug candidate through the FDA approval process.