The most interesting thing about $ZEC today is not the price. It’s the fact that a GBTC-style discount dislocation just appeared around $ZCSH. Haven’t seen anyone flag this yet (it only became possible this morning) but believe there is a real possibility this becomes the “GBTC trade of this cycle”, with several angles that could end up being profitable. /// Before getting into the current set up around ZEC/ZCSH, it’s worth remembering how GBTC actually broke the market last cycle. Funds were built, and later blown up, on two different GBTC trades. The first was the premium arb. The more infamous of the two and the real money printer. Here, Grayscale let accredited investors subscribe to GBTC at NAV with a six-month lock. Meanwhile GBTC traded in public markets at significant premiums. At the peak those premiums hit ~30-40%. The playbook became standard: - subscribe at NAV - lock for six months - hedge BTC exposure with CME shorts - sell GBTC at a premium - pocket the spread and lever it Every TradFi family office, hedge fund tourist, and crypto-native desk was running it. It became the trade. Until, well, it didn’t... In February 2021, after years of premiums, GBTC flipped to a discount for the first time....