Company: HZEN
Filing Date: 2025-11-25
Form Type: 10-K
Source: 0001193125-25-297573
Chunk: 69

Company: Grayscale Horizen Trust (ZEN)
Filing Date: 2025-11-25
Form: 10-K
Item: Item 6
Chunk 69
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 activities comply with applicable law, which could force the Sponsor to liquidate the Trust.To the extent a private key, held by the Custodian, required to access a ZEN address is lost, destroyed or otherwise compromised and no backup of the private keys are accessible, the Trust may be unable to access the ZEN controlled by the private key and the private key will not be capable of being restored by the Horizen Network. The processes by which ZEN transactions are settled are dependent on the ZEN peer-to-peer network, and as such, the Trust is subject to operational risk. A risk also exists with respect to previously unknown technical vulnerabilities, which may adversely affect the value of ZEN.The Trust relies on third-party service providers to perform certain functions essential to its operations. Any disruptions to the Trust’s service providers’ business operations resulting from business failures, financial instability, security failures, government mandated regulation or operational problems could have an adverse impact on the Trust’s ability to access critical services and be disruptive to the operations of the Trust.The Sponsor and the Trust may be subject to various litigation, regulatory investigations, and other legal proceedings that arise in the ordinary course of its business.

 F-15

8. Quarterly Statements of OperationsFiscal Year Ended September 30, 2025 

         Three Months Ended (unaudited)

         (Amounts in thousands)
          
         Dec-31, 2024

         Mar-31, 2025

         Jun-30, 2025

         Sept-30, 2025

         Year EndedSeptember 30,2025

         Expenses

         Sponsor’s Fee, related party
          
         $
         56

         $
         90

         $
         52

         $
         48

         $
         246

         Net investment loss
          
         $
         (56
         )
          
         $
         (90
         )
          
         $
         (52
         )
          
         $
         (48
         )
          
         $
         (246
         )

         Net realized and unrealized gain (loss) from:

         Net realized loss on investment in ZEN

         (24
         )

         (21
         )

         (61
         )

         (67
         )

         (173
         )

         Net change in unrealized appreciation (depreciation) on investment in ZEN

         15,457

         (18,118
         )

         (1,305