“ Pre-Creation/Redemption Abandonment Notices ”—Together, the Pre-Creation Abandonment Notice and the Pre-Redemption Abandonment Notice.
“ Pre-Redemption Abandonment Notice ”—A provision, as amended or supplemented from time to time, in the Prime Broker Agreement that provides that the Trust will abandon irrevocably for no direct or indirect consideration, effective immediately prior to each Creation Time and each Redemption Time for the Trust, all Incidental Rights and IR Virtual Currency to which it would otherwise be entitled as of such time and with respect to which the Trust has not taken any Affirmative Action at or prior to such time.
“ Prime Broker ”—Coinbase, Inc.
“ Prime Broker Agreement ”—The Prime Broker Agreement, dated as of October 3, 2025, by and among the Trust, the Sponsor and the Prime Broker, on behalf of itself, the Custodian and Coinbase Credit, that governs the Trust’s and the Sponsor’s use of the Custodial and Prime Broker Services provided by the Custodian and the Prime Broker.
“ Principal Market NAV ”—The net asset value of the Trust determined on a GAAP basis. Prior to February 7, 2024, Principal Market NAV was referred to as NAV.
“ Redemption Cash Shortfall ”—In connection with a redemption pursuant to an Actual Execution Cash Order, the amount by which the cash to be delivered to the Authorized Participant is reduced in the event the price realized in disposing the corresponding Total Basket Amount is lower than the Total Basket NAV on the trade date.
“ Redemption Time ”—With respect to the redemption of any Shares by the Trust, the time at which the Trust redeems such Shares.
“ Reorganization ”—The internal corporate reorganization of Grayscale Investments, LLC consummated on January 1, 2025.
“ Required Redemption Cash ”—The actual proceeds to the Trust from the liquidation of the Total Basket Amount.
“ SEC ”—The U.S. Securities and Exchange Commission.
“ Secondary Index ”—The Coin Metrics Real-Time Rate.
“ Secondary Index Price ”—The price set by Coin Metrics Real-Time Rate as of 4:00 p.m., New York time, on the valuation date. See “Item 1. Business—Overview of the ZEC Industry and Market—ZEC Value—The Index and the Index Price—Determination of the Index Price When Index Price is Unavailable” in the Annual Report for a description of how the Secondary Index Price is utilized when the Index Price is unavailable.
“ Secondary Index Provider ”—Coin Metrics Inc., a Delaware corporation that publishes the Secondary Index.
“ Secondary Market ”—Any marketplace or other alternative trading system, as determined by the Sponsor, on which the Shares may then be listed, quoted or traded, including but not limited to, NYSE Arca and the OTCQX tier of the OTC Markets Group Inc.
“ Securities Act ”—The Securities Act of 1933, as amended.
“ Settlement Balance ”—An account controlled and maintained by the Custodian to which cash and digital assets of the Trust are credited on the Trust’s behalf.
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