Dragonfly’s Qureshi calls for end to Zcash dev fund after 2028
Reported by Cointelegraph · AI-assisted summary by ChikoCorp AI News Desk
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Summary
Dragonfly managing partner Haseeb Qureshi proposed ending the Zcash developer fund after its scheduled expiration in 2028, citing concerns over its growing size and potential politicization. The fund currently holds approximately 63,962 ZEC tokens, worth about $95 million. This proposal comes amid a broader debate within the industry about whether the fund should continue and who should govern it. Other voices, including Paradigm founder Matt Huang, support maintaining the fund for security and technological progress reasons.
Why it matters
The discussion around the Zcash developer fund touches on governance and funding of ongoing protocol development, impacting how future Zcash development is financed and managed. The decision could influence broader debates on cryptocurrency governance models and security funding, though the source does not explicitly state further market or user impacts.
Key context
The Zcash development fund receives 0.1875 ZEC per block, representing 12% of the block subsidy under the NU6 upgrade. The fund’s balance remains out of circulation until governance disburses it. The fund's control and governance structure are under debate, with suggestions ranging from ending it to adopting hybrid or token holder-based governance models. The Zcash Community Grants Committee, accounting for 40% of the fund use, has been credited by founder Zooko Wilcox for the protocol's survival and growth.
Key numbers and entities
Dragonfly managing partner Haseeb Qureshi, Paradigm founder Matt Huang, Winklevoss Capital analyst Maxime Desalle, and Zcash founder Zooko Wilcox are key contributors to the debate. The Zcash developer fund holds 63,962 ZEC tokens, valued around $95 million. The fund accrues 0.1875 ZEC tokens per block, or 12% of the block subsidy.
What remains unclear
The source does not specify any formal process or timeline for deciding the fund's fate after 2028, nor which governance model might ultimately be implemented. It also does not clarify the details of partial governance models or how the broader Zcash community feels about the fund’s future beyond the cited voices.