Overview
- Zcash co‑founder Sean Bowe posted a draft ZIP late Monday that would stop the automatic 8% block subsidy to Zcash Community Grants and credit that share to the Network Sustainability Mechanism value balance.
- Under the plan the grants committee would keep its existing funds and continue paying approved milestones but would stop approving new grants and eventually transfer any leftover treasury ZEC to the NSM reserve.
- Bowe and reporting note the committee’s dashboard shows about 91,453 ZEC plus $8.8 million in cash and that, after committed payouts, he estimates roughly $125 million in available assets using a $1,300/ZEC price.
- The diverted coins would be treated as ‘parked’ in the NSM value balance with no immediate issuance to recipients, which would reduce the flow of newly issued ZEC to the market via grant payouts.
- The proposal is a draft that would require a formal change to Zcash network rules and community governance before taking effect, so the current 8% allocation — roughly 144 ZEC per day — continues until any rule change is adopted.