This memorandum discusses federal income tax consequences for The Zerocoin Electric Coin Company (ZECC) and its members regarding the retention and distribution of Zcash. It covers ZECC's formation, the Zcash protocol, and the Founders Reward distribution. The document addresses whether ZECC realizes gross income from the Founders Reward and whether distributions of Zcash result in gain recognition for members. It concludes that ZECC likely does not realize gross income from the Founders Reward and that members should not recognize gain from Zcash distributions.
documents/EFTA00811130.pdf
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