Grayscale requests the launch of a Zcash ETF after a 1,000% increase in the price of the privacy coin.

Source: PortaldoBitcoin Original Title: Grayscale requests launch of Zcash ETF after 1,000% surge in privacy coin price Original Link: The crypto asset manager Grayscale Investments has joined the Zcash trend by requesting the creation of an ETF that would give investors exposure to the privacy coin.

A document submitted on Wednesday to the U.S. Securities and Exchange Commission (SEC) shows that Grayscale wants to convert the Grayscale Zcash Trust into an ETF. If approved, it would be the first ETF to offer exposure to the currency.

Zcash allows users to send and receive money privately, encrypting transaction information through zero-knowledge proofs — a cryptographic method that proves something is known without directly revealing the known information.

The value of the currency skyrocketed nearly 1,000% in the last year, as major names in the crypto sector promoted their use cases on social media.

“Although Zcash is similar to Bitcoin, there are several important differences between the Zcash Network and the Bitcoin network,” said Grayscale in their document. “The fundamental difference between Bitcoin and Zcash is that Zcash offers selective privacy-preserving features.”

Zcash began to rise in September amid concerns about the government's ability to track Bitcoin users due to the transparent nature of BTC. Crypto entrepreneurs like Naval Ravikant and Arthur Hayes wrote about how useful the currency was, and it continued to appreciate in recent weeks, even with Bitcoin's decline.

Grayscale has already converted several of its trusts into ETFs. As trusts, these investment vehicles made it difficult for investors to redeem shares. ETFs are products that allow investors to quickly withdraw.

Grayscale had already converted its Bitcoin and Ethereum trusts into spot ETFs earlier this year after SEC approval. The funds have been extremely successful.

The company also has ETFs of Solana, Dogecoin, and XRP currently in the market.

Zcash (ZEC) is currently trading at $519, according to data from CoinGecko. In the last 30 days, the asset has risen by 44%. Nevertheless, the coin remains well below its record of $3,192 set in 2016.