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Altcoins & DeFi

Zcash co-founder Sean Bowe proposes redirecting 8% of block subsidies to network sustainability fund

Image: Crypto Briefing

A draft proposal would wind down Zcash Community Grants and send its share of new coins to a reserve held out of circulation Sean Bowe, a co-founder and protocol developer of Zcash , wants to turn off one of the network’s main funding taps. On October 26, 2026, Bowe introduced a draft proposal to end the 8% block subsidy stream that currently flows to Zcash Community Grants (ZCG). That value would go instead to the Network Sustainability Mechanism (NSM) reserve, where it would be held out of circulation rather than paid to grant recipients. Bowe published the idea as a draft ZIP, the Zcash equivalent of a formal improvement proposal. He also posted it to the community forum the same day. The mechanics are fairly direct.

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