Zcash co-founder Sean Bowe proposes redirecting 8% of block subsidies from community grants to a network sustainability mechanism.
Regulation & Gov ·
Sean Bowe, a Zcash co-founder and protocol developer, has submitted a draft Zcash Improvement Proposal seeking to reallocate an 8% portion of block subsidies currently directed to Zcash Community Grants (ZCG) toward a Network Sustainability Mechanism (NSM) instead. The redirected funds would be withheld from immediate circulation rather than distributed into active supply.
The proposal rests on the argument that ZCG possesses sufficient reserves to continue funding its grant operations without the ongoing 8% allocation. The plan would preserve unchanged the existing ZCG treasury holdings, the separate 12% Coinholder-Controlled Fund, the miners' subsidy allocation, and ZEC's capped maximum supply. No other modifications to the protocol's economics are proposed.
The draft remains under community review through the ZIP process, and it remains unclear whether or when a formal vote on the reallocation might occur or what level of support the proposal commands among Zcash stakeholders.