Winklevoss Files for Spot Zcash ETF on Nasdaq Under Ticker WINK

TLDR

• Winklevoss Asset Services has filed with the SEC for a spot Zcash ETF that would trade on Nasdaq under the ticker WINK.
• Gemini Trust Company would hold the ZEC, and authorized participants would use only cash to create and redeem shares.
• Cypherpunk Technologies is named in the filing and bought a $33.33 million Zcash mining fleet in August.
• ZEC rose more than 5% in 24 hours and traded above $1,375 after the filing.
• The Zcash team will decide on the NU7 upgrade activation height on October 20, with a launch planned for November 5.

Winklevoss Asset Services has filed for a spot Zcash ETF with the US Securities and Exchange Commission. The fund would hold ZEC directly and seek a Nasdaq listing under the ticker WINK.

The filing was made through an S-1 registration statement. The fund would not use futures or other derivatives to track the price of ZEC.

Gemini Trust Company would act as custodian for the fund. Authorized participants would use cash, not ZEC, to create and redeem shares.

How the Spot Zcash ETF Would Work

Under the proposed structure, Gemini would hold the ZEC that backs the ETF shares. Authorized participants would buy and sell shares using cash only.

Winklevoss Asset Services would then use that cash to trade ZEC as the fund requires. This setup gives the fund direct exposure to the token.

The filing also names Cypherpunk Technologies as a provider of services tied to the Zcash network. Its role is separate from Gemini’s custody duties.

The registration does not mean the fund can begin trading. The product still needs SEC approval before it can list.

Cypherpunk Technologies already had ties to Zcash before the filing. In August, the Nasdaq-listed company said it bought a Zcash mining fleet and hosting deals.

The deal was worth $33.33 million and was made with companies linked to Winklevoss Capital. The fleet of Bitmain Z15 Pro machines runs in US facilities.

Cypherpunk estimated the equipment made up about 18% of computing power on the Zcash network. It expected monthly output of around 7,800 ZEC, depending on mining difficulty and competition.

Payment was made through a pre-funded warrant on 43,290,042 common shares. The shares were valued at $0.77 each, with an exercise price of $0.001.

ZEC Price and the NU7 Upgrade

ZEC rose more than 5% over 24 hours after the filing and traded above $1,375, according to CoinMarketCap. The wider crypto market gained nearly 1% over the same period.

The token climbed from around $1,290 to $1,350, then pulled back to about $1,320. It later rose again toward $1,380.

Market data showed resistance at $1,375 to $1,380. Support sat near $1,355 to $1,360, with a lower level at $1,340 to $1,345.

The proposed NU7 upgrade would cut the target block time from 75 seconds to 25 seconds. Daily ZEC issuance would stay the same because the block reward would also be reduced.

The upgrade would also disable version 4 transactions at activation. This would block further spending from the older Sprout pool, since version 5 transactions cannot do that.

The Zcash team is set to decide on the NU7 mainnet activation height on October 20. A launch planned for November 5 depends on the results of the testnet review.

The post Winklevoss Files for Spot Zcash ETF on Nasdaq Under Ticker WINK appeared first on Blockonomi.