Grayscale submits the first spot ETF application for a privacy coin, Multicoin Capital discloses its position in ZEC.

According to ChainCatcher, Grayscale has submitted an application for a Zcash spot ETF, aiming to convert its existing Zcash Trust into a spot product, becoming the first privacy coin ETF seeking a US listing. Meanwhile, Multicoin Capital disclosed that it has been accumulating ZEC since February. Co-founder Tushar Jain linked the investment rationale to the proposed wealth tax legislation in the US, believing that increased government monitoring of private financial holdings will drive structural demand for assets that mathematically shield regulation.

However, this application has also triggered institutional custody challenges: about 30% of Zcash's supply is located in the shielded address pool, the highest in history, whereas ETF custody virtually requires the use of transparent address pools to meet auditing and proof of balance requirements. Previously, the SEC concluded its long-term review of Zcash in January 2026 without taking enforcement action, significantly reducing regulatory uncertainty.