Zcash co-founder proposes terminating automatic ZCG fund allocation, with the remaining 8% of block subsidies to be transferred to NSM.
1 hours ago
On October 26, Zcash co-founder Sean Bowe released a Zcash Improvement Proposal (ZIP) draft titled "Terminate ZCG Funding Stream to Support NSM", proposing to end the automatic block subsidy funding flow for the Zcash Community Grants (ZCG) and transfer the remaining 8% share of block subsidies to the Network Sustainability Mechanism (NSM) until the original funding stream expires. The draft notes that ZCG has accumulated sufficient resources to continue funding community projects and no longer requires automatic block subsidies. Per data cited in the proposal, ZCG holds approximately 91,452.98 ZEC, around $8.7962 million in USD assets, and has outstanding grant liabilities of about $2.4172 million. Calculated at a ZEC price of $1,300, its net asset value after deducting liabilities is roughly $125.3 million. These figures are sourced from public dashboards and have not been independently verified. If implemented, the adjustment will only affect future block subsidy allocations: ZCG’s existing assets and their management rules will remain unchanged, and the Coinholder-Controlled Fund’s current 12% share of block subsidies and its duration will also be unaffected. Funds transferred to NSM will be deducted from new issuance and directly credited to the NSM fund, with subsequent handling determined by NSM’s own rules. The proposal remains in draft stage, with no specified mainnet or testnet activation height, and is not part of the currently planned NU7 network upgrade.
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