Grayscale Debuts First-Ever Spot ETF for Altcoin Zcash
Grayscale has launched its first-ever spot exchange-traded fund (ETF) for an altcoin, focusing on the privacy-focused cryptocurrency Zcash ($ZEC). The new ETF, named ZCSH, began trading on the NYSE Arca today. Grayscale created ZCSH by converting its existing Grayscale Zcash Trust into an ETF.
The trust had approximately $314 million in assets under management as of August 24, with about 387,200 units of ZEC in its portfolio. The annual management fee for the new ETF is set at 2.5%, and revenue from these fees will be used to support the Zcash ecosystem and fund marketing activities.
Grayscale views Zcash as a leading digital currency that offers financial privacy by allowing users to choose whether or not to keep their transaction details private. The company notes that while Bitcoin transactions are publicly traceable, Zcash has a limited supply of 21 million units and a proof-of-work consensus mechanism.