Privacy coins are gaining ground in Europe’s traditional markets. 21Shares has launched the continent’s first Zcash Exchange Traded Product (ETP), which is now officially trading on Euronext Paris and Amsterdam.
The listing opens a licensed investment avenue for a crypto asset distinct from most other coins. Zcash is specifically designed as a privacy coin that allows users to shield balances and their entire transaction histories from the public. This approach stands in direct contrast to the public ledger design of Bitcoin or Ethereum, where all transactions remain transparent by default.
That shielded design has fueled a “private Bitcoin” trading narrative across global crypto markets. Bets on that narrative have driven the native token (ZEC) to surge more than 2,700% year-to-date, momentum that 21Shares is now capitalizing on to enter stock exchanges.
A Premium Fee for Institutional Access
Despite carrying the prominent Zcash name, the ETP launch began on a modest scale. On its first trading day, the product had only 5,000 outstanding shares in the market. With a net asset value hovering around $20.04 per unit, initial assets under management (AUM) stood at roughly $100,000.
Investors looking to enter via regulated rails will also pay a premium. Trading under the ticker ZCASH, the ETP charges an annual management fee of 2.5%. That figure sits well above the average fees charged on comparable products for major cryptocurrencies like Bitcoin or Ether on the same exchanges.
The higher fee structure is tied to the asset backing model. The ZCASH ETP is physically backed, meaning the issuer must purchase and hold underlying Zcash assets in reserve for every unit issued. To safeguard these crypto holdings, BitGo has been appointed as the official custodian.
Two Distinct Currency Lines
21Shares opened two concurrent trading lines in Europe to maximize institutional reach. On Euronext Paris, investors can buy and sell the ZCASH ETP in euros. Meanwhile, on Euronext Amsterdam, the product is offered in US dollar denomination.
The listing marks a shifting status for Zcash. In spot markets, ZEC was previously often viewed merely as a rotation asset for speculators seeking new plays, trailing the likes of Bitcoin Cash, which had rallied 28%. On the network front, developers recently deployed the NU7 upgrade, cutting block times down to 25 seconds.
Now, with an ETP arriving on European exchanges, the privacy coin is gaining recognition as a regulated investment vehicle. Institutional access is open to participants seeking exposure to ZEC without having to manage their own private keys.
Reported by Decrypt.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
