Grayscale reports crypto ETF market entering new phase with Zcash ETF surpassing $1 billion in assets; company pursuing SEC innovation exemption for tokenized covered-call funds.
Regulation & Gov ·
Grayscale's Zcash ETF has surpassed $1 billion in assets, according to the firm, marking what it characterizes as a shift in the cryptocurrency ETF landscape. The milestone reflects growing investor interest in digital assets beyond the two largest cryptocurrencies by market capitalization.
The company is pursuing an SEC innovation exemption to establish tokenized covered-call funds, a strategy that emerged after legislative efforts stalled. This regulatory pathway represents an alternative approach for Grayscale to expand its product offerings in the current environment.
The significance of the Zcash ETF threshold lies in what it suggests about diversification within the crypto ETF market. However, details about the timeline for the covered-call fund tokenization and the regulatory outcomes remain undisclosed.