The Grayscale Horizen Trust is an investment vehicle that allows qualified investors to gain exposure to the cryptocurrency Horizen (ZEN) without the need to buy, store, or safeguard it directly. Here are some key things to know about it:
* Investment Objective: The trust's shares are designed to track the market price of ZEN, net of fees and expenses.
* Eligibility: The trust is available to accredited investors through private placement transactions.
* Trading: Shares of the trust are quoted on the over-the-counter (OTC) market under the ticker symbol "HZEN".
* Benefits:
* Convenience: Investors can gain exposure to ZEN without the complexities of direct ownership.
* Security: The trust provides a secure and regulated way to invest in ZEN.
* Liquidity: Shares can be traded on the OTC market.
* Risks:
* Volatility: The price of ZEN, and consequently the trust's shares, can fluctuate significantly.
* Fees: The trust charges fees for its services.
* Counterparty Risk: There is a risk that Grayscale may not be able to meet its obligations to investors.
Overall: The Grayscale Horizen Trust can be a useful tool for investors who want to gain exposure to ZEN without the hassle of direct ownership. However, it is important to understand the risks involved before investing.