Key facts
- Grayscale has filed an amended S-3 form with the SEC for its Zcash ETF.
- The ETF is intended to convert the Grayscale Zcash Trust into a spot ETF.
- Shares are planned to be listed on NYSE Arca under the ticker ZCSH.
- The ETF will primarily use cash for creations and redemptions.
- Discussions are underway for DCG International Investments to contribute 200,000 ZEC tokens.
Grayscale has taken a step closer to launching its Zcash ETF by filing an amendment to its S-3 registration statement with the U.S. Securities and Exchange Commission (SEC). The proposed exchange-traded fund aims to convert the Grayscale Zcash Trust into a spot ETF, with plans to list shares on NYSE Arca under the ticker ZCSH.
The latest filing indicates that share creations and redemptions will primarily be conducted via cash orders, though an in-kind creation option remains available. Notably, the trust has updated its language to reflect that in-kind redemptions will not be permitted.
Furthermore, Grayscale is reportedly in discussions with DCG International Investments Ltd, an indirect subsidiary of its parent company Digital Currency Group (DCG). These discussions involve a potential arrangement where DCG International Investments could acquire ETF shares in exchange for 200,000 ZEC tokens, though these talks are non-binding.
In response to the news and other developments, the price of ZEC has seen a modest increase of over 2% in the past 24 hours, trading around $510.70. However, trading volume has decreased by 16% during the same period. Analysts are watching for potential resistance levels at $520 and $550 for the privacy coin.