Grayscale Files for First U.S. Spot ETF Tied to Privacy Coin Zcash

Grayscale has filed to launch a spot Zcash (ZEC) ETF, seeking to convert its existing Zcash trust into a spot product. If approved, it would be the first U.S.-listed ETF offering exposure to a privacy coin. Multicoin Capital said it has been steadily accumulating ZEC since February. Co-founder Tushar Jain tied the thesis to proposed U.S. wealth tax legislation, arguing that greater government scrutiny of private financial holdings could create structural demand for assets that are mathematically shielded. The filing also highlights custody and compliance hurdles. Around 30% of Zcash's supply now sits in shielded address pools, the highest level on record, while ETF custodianship is widely expected to rely on transparent address pools to satisfy auditing and proof-of-reserves requirements. Regulatory uncertainty has eased after the SEC wrapped up its long-running review of Zcash in January 2026 without taking enforcement action.