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Grayscale’s Zcash ETF reached USD 1 billion in assets on September 24, less than a month after it began trading on NYSE Arca. The milestone reflects new investment, a rise in Zcash’s price and the value of ZEC that the fund already held.
Grayscale described the milestone as 'USD 1B in AUM.' That figure measures the value of the fund’s assets, rather than the amount investors added after its exchange listing. Data cited by SoSoValue put cumulative net inflows at USD 306.12 million as of September 24, against roughly USD 1 billion in net assets.
Even the inflow figure does not represent only cash purchases. A filing shows that DCG International Investments acquired about USD 100 million of ZCSH shares on September 8 in exchange for 85,705 ZEC. DCG belongs to Grayscale’s parent group. It supplied tokens through an in-kind transaction, rather than paying cash for those shares.
The reported net inflows therefore show demand for newly issued shares, but readers should treat 'new money' with care. Subtracting DCG’s transaction leaves roughly USD 206 million in other reported net inflows. That calculation does not establish how much outside investors paid in cash, since the figure is a net total and may include other transaction types.
ZCSH began exchange trading on August 25 as a conversion of the older Grayscale Zcash Trust. The trust had held ZEC before the ETF listing, so the exchange debut did not mark the start of its holdings. Earlier records identify the trust and its ZCSH ticker, while a September filing lists Grayscale Zcash Trust as the ETF’s former name.
ZEC’s price also rose sharply after the listing. According to CoinMarketCap data, the token was trading near USD 1,530 around the September 24 milestone, roughly twice its price when ETF trading began. A price rise increases the dollar value of ZEC already in the fund. It can lift assets under management without a matching rise in the number of tokens held.
That distinction matters when reading the USD 1 billion figure. Existing holdings contributed to the fund’s starting size, while changes in ZEC’s price changed their reported value. Net inflows track a separate measure: additions to the fund after accounting for withdrawals.
Grayscale has announced a three-for-one share split. Shareholders of record at the close on September 28 will receive two additional shares for each share held. The fund expects the split to take effect before trading opens on September 30, with ZCSH keeping the same ticker.
The filing says the net asset value per share should fall to about one-third of its earlier level as the share count triples. The split itself will not add ZEC or increase the total value of an investor’s holding. After it takes effect, ZEC’s price and changes in the fund’s holdings will continue to determine its assets under management.
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