Grayscale files for an ETF privacy-focused: Zcash to be included among the fund’s assets.
On February 20th, the American digital asset management company Grayscale Investments filed a formal request with the Securities and Exchange Commission for the approval of the Grayscale Privacy ETF. The proposal was submitted by David LaValle, the company’s Global Head of ETFs.
Objectives of the ETF
The purpose of the Grayscale Privacy ETF is to replicate the performance of five specific technological subcategories. Included in the fund will be companies engaged in data security, protection and privacy, cybersecurity services, companies involved in the development of blockchain solutions, artificial intelligence, and edge computing. The index will also allocate 10% of the fund to passive investment in privacy-focused digital assets. Therefore, the ETF will hold a portion of the Grayscale Zcash Trust (ZCSH), which passively invests in Zcash.
Criteria for inclusion in the ETF
Inclusion in the ETF will be based on specific criteria. Privacy-focused digital assets require corresponding publicly tradable securities in the United States. Companies must be listed on both US and non-US developed markets, or on the stock markets of emerging countries. Additionally, such companies must have a minimum market capitalization of $250 million and must meet certain liquidity criteria.
