This is some bad press for our beloved Zcash 
I hope the team at Grayscale are able to work through the SEC requirements and avoid having to liquidate their ZEC position. If there was a liquidation event, it would create an existential risk to the long term value proposition of ZEC at my estimate. They hold roughly 335,000 Zcash coins
How has this news been out for several days now and ZERO response from the team?
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Which team?
A couple things:
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There is a lot of speculation in this thread. I hope you all keep in mind that those speculating might not have access to facts, or have the expertise to make assertions. It’s purely speculation and suggest people treat it as such.
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We at ECC do not have anything to add to the information described in recent articles about Grayscale’s public filings. We remain focused on our work in support of the Zcash community, to contribute to Zcash and to support the ecosystem by providing education and tools in support of its global adoption.
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Some of the forceful language used by those paid by coinholders at zcon can only now be clouded with suspicion that they already knew that the current funding model raises issues with whether ZEC is a security.
If this issue hangs around for a few years, it will be interesting to see those paid by coinholders renew their funding by extending block reward.
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There is nothing new here. The June and August filings are public. The comments between the SEC and Grayscale aren’t yet public. The engagement isn’t specific to Zcash, but is specific to Grayscale.
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I agree with this assessment, the gusto applied by so many on the stage at Zcon about how passionate they are about not caring about ZEC price or about ZEC holders now looks like a cynically written script (to attempt to brush away regulator inquiries about what exactly Zcash is, and what are the aims of these protocol layer paid organizations). Maybe we’re closer to an inertia break than it appears from the outside
@joshs i’m stumped why you assert that the engagement isn’t specific to Zcash. It appears to be materially specific to Zcash, Stellar, and Horizen. Grayscale provides trusts for many other crypto project assets, none of which are part of the current engagements. If this context was not in part specific to Zcash, then the coverage would be around the entire umbrella of trusts provided by Grayscale… those would include Litecoin, Ethereum Classic, Ethereum, Bitcoin Cash, Filecoin, Livepeer, Solana, etc
These three were made available to the public in Oct of 2021. Prior to that, they were only available via private placement. You have to dig deeper into the timing, who can invest in the them and where. See: https://grayscale.com/three-additional-grayscale-products-now-trading-on-otc-markets/
Also, SEC filings: https://grayscale.com/sec/
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To the above graphic, it looks like Zcash, Stellar, and Horizen trusts have reached step #3
Additional Grayscale® Investment Products Become SEC (globenewswire.com)
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Hmmm so basically Grayscale was stating that ZCSH is a security, and not ZEC (but they call it ZEC in their filings) or am I misunderstanding you? And then the media misunderstood the memo to mean “Zcash as a cryptocurrency is potentially a security?”
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It isn’t what I had intended to communicate. What I meant is that the two other coins are part of Grayscale’s filings - and are all part of a set that Grayscale made open to the public late last year. I don’t see value in conjecture and suggest reaching out to Grayscale with any specific questions about their language in their filings with the SEC.
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Aaah. I assumed that by asking you there would be clarification and thus no “conjecture”. Will do.