Zcash co-founder proposes ending grants funding, citing $125 million treasury
Sean Bowe’s proposal would send the committee’s 8% share of newly created ZEC to a reserve for future miners. The committee would keep the money it has already received.
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Résumé
- Zcash co-founder Sean Bowe proposed ending the automatic allocation of 8% of newly created ZEC to Zcash Community Grants and redirecting it to a reserve for future mining rewards.
- Bowe estimates that the grants program has about $125 million available after existing commitments, enough to fund years of spending even if ZEC’s price falls substantially.
- The proposal, which would require a change to Zcash’s network rules, comes amid scrutiny of a grant for outreach at an adult-industry convention but is based on the program’s large reserves and continuing inflows.
ZCG’s five-member committee, elected by a community advisory panel, selects grants without a separate coinholder vote.
A second funding program receives 12% of newly created ZEC. Holders vote quarterly on its grants, subject to participation and approval requirements.
Bowe wants to preserve that larger allocation. His proposal argues that continuing to pile funds into ZCG’s separate custody and governance arrangements adds risk when the program already has substantial reserves.
The redirected allocation would enter the Network Sustainability Mechanism, which is designed to support future mining rewards, and would remain there for the rest of the grants stream’s existing term.
