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- Winklevoss Asset Services filed with the SEC to launch a spot Zcash exchange-traded fund.
- The proposed fund would hold ZEC directly, name Gemini Trust Company as custodian, and charge a 0.25% annual fee.
- The application remains at an early regulatory stage without a launch date or SEC approval.
Winklevoss Asset Services has filed with the U.S. Securities and Exchange Commission to launch a spot Zcash exchange-traded fund as ZEC traded around $1,317 on Oct. 7.
The proposed Winklevoss Zcash ETF would hold ZEC directly and seek a Nasdaq listing under the ticker WINK, adding another U.S. exchange-traded product application tied to the privacy-focused cryptocurrency.
WINK Would Hold ZEC Directly With Gemini as Custodian
The Oct. 6 S-1 filing names Gemini Trust Company as custodian for the ZEC held by the fund. Winklevoss Asset Services would serve as sponsor and charge an annual fee equal to 0.25% of the trust’s ZEC holdings.
Authorized participants could create and redeem baskets using either cash or ZEC. Cash creations would be used to purchase the corresponding cryptocurrency, while in-kind transactions would allow ZEC to move directly into or out of the trust.
Cypherpunk Technologies would serve as the fund’s Zcash ecosystem partner, advising on protocol developments, coinholder polling and other network matters.
Winklevoss Capital Shows Interest in Up to $100M Of WINK
Winklevoss Capital Fund and its affiliates have indicated nonbinding interest in purchasing up to $100 million of WINK shares after launch. The filing says the expression of interest is not a commitment, meaning the affiliates could ultimately purchase more, less or none of the proposed amount.
WINK would enter a market where Grayscale already operates a Zcash ETF following the August conversion of its existing trust. Bitwise has also filed for a ZEC Strategy ETF offering direct and indirect exposure to the asset.
ZEC Remains Below Sept. 26 Peak Near $1,653
ZEC traded around $1,317 on Oct. 7 after reaching about $1,653 on Sept. 26. The Winklevoss application remains at an early regulatory stage. Filing an S-1 does not mean the SEC has approved the fund, and the registration statement does not provide a launch date.
WINK can begin trading only after the required registration and exchange-listing approvals are completed.
