Grayscale’s Zcash ETF Tops $1 Billion in Assets Within 30 Trading Days

Grayscale’s Zcash exchange-traded fund surpassed $1 billion in assets under management within 30 trading days of its launch. The firm said the crypto ETF market, once concentrated in Bitcoin and Ether, is broadening to include a wider range of assets.

The Block reported on Oct. 7 that Krista Lynch, Grayscale’s managing director for trading and capital markets, highlighted the performance of the Zcash ETF, ticker ZCSH, at the Token2049 conference in Singapore. “The Zcash ETF ranks in the top 1% of ETFs launched over the past 10 years based on first-month performance,” Lynch said.

Lynch said the U.S. Securities and Exchange Commission’s standard listing criteria laid the groundwork for broader product offerings. The framework covers about 15 tokens, she said, giving issuers more room to choose products based on investor demand and their own judgment. In January, Grayscale selected 27 assets across four sectors — AI, decentralized finance, consumer and infrastructure — for review as potential ETF launches.

The firm is also moving to tokenize existing funds. Last week, after the SEC introduced an innovation exemption provision, Grayscale applied to tokenize two Bitcoin and Ether covered-call funds. Both products are funds governed by the Investment Company Act.

Lynch called the innovation exemption a “consolation prize” after the Clarity Act failed to pass, but said it still provides a path for the industry to make progress in tokenization. Last month, Grayscale joined other crypto companies in asking the SEC to shorten ETF review periods and allow confidential draft filings.