Is Grayscale ZEC ETF Proposal the Beginning of the End for a Free ZCash?

Core Viewpoint - Grayscale is seeking to launch the first US Zcash ETF, aiming to provide regulated, exchange-traded access to ZEC, a privacy-focused cryptocurrency [1][3]. Group 1: ETF Details - Grayscale filed a Form S-3 with the US Securities and Exchange Commission to convert the Grayscale Zcash Trust into an ETF, which would trade on NYSE Arca under the ticker ZCSH [1]. - The ETF is designed to track CoinDesk's Zcash Price Index (ZCX) [1]. - Upon regulatory approval, the product will be renamed to Grayscale Zcash Trust ETF [5]. Group 2: Asset Management - Coinbase Custody will hold the underlying ZEC assets, while Coinbase, Inc. will act as the prime broker, and BNY Mellon will serve as the transfer agent and administrator [2]. - As of November 25, the trust held approximately 394,400 ZEC, valued at around $199 million based on that day's prices [6]. Group 3: Market Context - The filing comes after a challenging year for ZEC, but the token has recently shown strong gains, trading near $513 with a 5% increase [4]. - The renewed interest in privacy-focused transactions coincides with the ETF proposal, reflecting ZEC's regained momentum [4][7]. Group 4: Operational Mechanics - The ETF aims for its share price to reflect the value of the trust's ZEC holdings, minus fees, using the ZCX index as a benchmark [6]. - New shares and redemptions will occur in blocks of 10,000, with cash orders managed by a liquidity provider [6]. - In-kind creations require regulatory approval, which is not yet granted [7].