Grayscale Zcash ETF Surpasses $1 Billion as Investment Inflows Slow
The Grayscale Zcash ETF has reached an estimated $996 million in assets, propelled by both investment inflows and existing holdings of ZEC tokens. The fund's growth has been impressive since its launch on August 25, with a total of around $306 million in cumulative investments.
The ETF's performance is influenced not only by new investments but also by the market value of the underlying asset, ZEC. An increase in the price of ZEC can lead to an increase in the fund's assets even without additional cash flow from investors.
Regulated financial products are becoming increasingly present in the Zcash space, with 21Shares announcing the creation of an exchange-traded product based on physical backing of Zcash. This new instrument is traded on the Euronext Paris and Amsterdam stock exchanges with a 2.5% annual fee.