Zooko Wilcox, CEO of Electric Coin Company (ECC) – the firm behind the privacy-focused cryptocurrency zcash – has made an appeal for the creation of a new "Dev Fund" to support the future operations of the privacy-focused cryptocurrency.
In a lengthy open letter on Medium Wednesday, Wilcox said:
He further aired the hope that the zcash community would seek to "hire" the ECC to carry out those tasks.
Having never taken the ICO path of fundraising (selling tokens to raise "a bunch of money from the public on the promise of delivering future results," as Wilcox put it), zcash was originally bootstrapped by a group of investors to the tune of $3 million.
The project was also set up so that over the first four years, 10 percent of the total 21 million token supply of zcash (ZEC) would go to the founders (the founders' reward) and the remainder to the miners on the network. The investors were also assigned a "small slice" of ECC's equity, Wilcox said.
The original Dev Fund, according to the post, arose when Wilcox and ECC co-founder and CTO Nathan Wilcox got ECC to buy back some of the founders rewards to be used for funding ongoing operations. Wilcox and other founders also set aside some of their rewards to set up the Zcash Foundation.
"We decided to do this because we thought that having an independent entity from the Electric Coin Company would be an important part of the Zcash community’s decentralization and stability in the long run," Wilcox wrote.
Now, with zcash set (programmed, in fact) to end the founders' reward in October 2020, a new means of funding development is required, according to the ECC CEO.
Wilcox said: "I opted for the initial Dev Fund to sunset itself, so that in the future, if Zcash were a success and a community were to grow up to support it, that community would have to collectively decide what to do next."
The options ahead, he said, include allocating all new ZEC issued to the network's miners, creating a new Dev Fund with a percentage of new coins issued, or "other alternatives."
Wilcox is pushing hard for a Dev Fund to funded from a slice of the issuance, however:
Finally, Wilcox called for community members to make their voices heard, either on public forums or by emailing zcash.
The Zcash Foundation is expected to publish a procedure for making a community decision "soon," according to Wilcox, while ECC will publish a blog post setting out how it will assess proposals in the next few days.
Zooko Wilcox image via CoinDesk archives
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