Why does Grayscale Investments buy a lot of ZEN?

ZEN is the core token of the Horizen ecosystem, which aims to build a decentralized and privacy-preserving blockchain platform.

Grayscale's investment in ZEN is not accidental. Its parent company Digital Currency Group (DCG) has been buying ZEN in the secondary market since 2018, and its holdings have reached 1.855 million ZEN, accounting for about 8.8% of the total supply. Grayscale has also launched a ZEN trust product, further deepening its investment in the project.

ZEN's technical advantages are mainly reflected in the following aspects:

Powerful privacy protection function: ZEN uses zero-knowledge proof (zk-SNARKs) technology to support anonymous transactions and meet users' needs for privacy.

Decentralized network: ZEN has more than 47,000 nodes and is one of the most decentralized blockchain networks in the world, ensuring the security and reliability of the network.

Scalability and low cost: ZEN's sidechain architecture allows developers to create independent blockchain solutions, reducing the cost of use for enterprises and users.

Grayscale's investment in ZEN reflects its emphasis on privacy protection and decentralized technology. With the development of Web3.0, privacy protection and decentralization will become key requirements, and ZEN's technological advantages in this field make it the focus of investors.

However, investing in cryptocurrencies is risky and the market is highly volatile. Investors should make careful decisions based on a full understanding of the project and the market.