privasi

Zcash is set to vote on 50,000 ZEC from its grants treasury — and this is no small vote.

The facts: ZEC holders and a community panel will vote Nov. 16–30 on a draft proposal written by co-founders Sean Bowe and Zooko Wilcox along with Jason McGee, which was added to the Zcash specifications repository last Wednesday. It proposes taking 50,000 ZEC — about 55 percent of the 91,453 ZEC in the Zcash Community Grants treasury as of the October snapshot, worth around US$50 million — out of circulation, then gradually returning that value through future mining rewards. The 8 percent share of newly issued ZEC that has been flowing into the grants treasury would be redirected to a new fund for development and legal defense until the next halving.

My take: this is a pretty significant shift in direction — from funding grants to strengthening miner incentives and legal reserves. But remember: this is still a proposal. It needs community support AND a network upgrade, there’s no activation date yet, and the new fund can’t be used until a separate withdrawal proposal is approved. ZEC itself is currently around US$970, below $1,000.

What I’m watching next: the results of the Nov. 16–30 vote, and whether the community accepts the grants treasury shrinking from around 13 years to about 6 years of support (the draft’s estimate, assuming a price of US$1,300).

What do you think: should the grants treasury remain fully funded, or be redirected to miners as this proposal suggests?

This is my analysis, not financial advice — always DYOR.

#Zcash #Privasi $ZEC