Electric Coin Company to Receive 35 Percent of Zcash Dev Fund Under Proposed ZIP 1014

Electric Coin Company to Receive 35 Percent of Zcash Dev Fund Under Proposed ZIP 1014

The Zcash (ZEC) community has agreed that the Electric Coin Company (ECC) — a private Zcash developer, should receive 35 percent of the project’s development fund slice under the proposed Zcash Improvement Protocol (ZIP) 1014.

ECC Accepts Results of ZCash Community Poll

In a blog post published on its website on January 28, 2020, ECC announced its acceptance of the Zcash community poll. As part of the poll, almost 50 percent of the participants voted for ECC to receive 35 percent of the Zcash dev fund slice with Major Grants (MG) and the Zcash Foundation (ZF) receiving 40 percent and 25 percent respectively.

Pending an agreement with the Zcash Foundation, the new dev fund sharing regime will come into effect in November 2020 upon the expiration of the initial Founder’s Reward scheme. According to the ECC’s blog, this new regime will occur at block height 1046400 which is when the first Zcash is expected to occur.

The new dev fund sharing formula is based on the larger agreement to implement a revised miner rewards distribution paradigm. The new miner rewards distribution matrix has Zcash miners receiving 80 percent of mining rewards with the 20 percent share going to fund protocol dev projects.

While the Zcash community appears to have reached a consensus regarding miner rewards distribution, the same cannot be said for Bitcoin Cash (BCH). Earlier in January, some major BCH stakeholders proposed a 12.5 percent miner tax to fund Bitcoin Cash dev projects.

As previously reported by BTCManager, Roger Ver, one of the initial backers of the plan has withdrawn support for the proposed miner tax. According to Ver, the BCH community needs to reach on a consensus on the matter as critics are threatening to carry out a hard fork.

Zcash Trademark Tussle

ECC also reaffirmed its commitment to share the Zcash trademark with the Zcash Foundation. The ownership of the trademark had been subject to dispute in the past with the ECC exiting an agreement with ZF back in September 2019.

However, in November 2019, both parties agreed to independently share the trademark with neither having the authority to unilaterally declare a specific chain as the ‘true’ Zcash blockchain. According to the ECC, both parties need to agree on a final ZIP that ratifies and codifies the shared trademark agreement.

Osato Avan-Nomayo

Osato is a Bitcoin enthusiast with a flair for writing. When he isn't providing unique perspectives on the current happenings in the industry, he can be found pouring over old books on history and philosophy or trying to beat his Scrabble high score.