Zcash Proposals Target 8% Grant Share as Net Funds Near $125 Million

The Zcash (ZEC) community is weighing four proposals to change block-reward funding for development, as Zcash Community Grants (ZCG) is estimated to hold about $125 million in net funds. The estimate describes net funds, not a confirmed amount available for grants.

Sean Bowe, a Zcash co-founder and head of Tachyon, has proposed ending ZCG’s 8% share of block rewards in a future network upgrade. His proposal is one of four under discussion. Across the proposals, options include stopping ZCG funding, ending the broader development-fund mechanism or gradually reducing the allocation to zero.

Supporters of changes argue that the current system can accumulate more funds as ZEC’s price rises, while token holders lack direct control over ZCG. Opponents warn that cutting grants without an alternative plan could affect protocol development and maintenance.

The debate follows Zcash Open Development Lab founder Josh Swihart’s Oct. 27 call to end both automatic funding streams, covered in earlier coverage of the call to end both funding streams. The proposals remain under discussion, with no final decision.