Zcash Funding - Reading Assignment

[Zulu1]

1. What was Zcash’s original funding model, and why did it need to be replaced? The initial funding was based on the coin’s future success. A dedicated developer fund replace the initial funding model which was incurring funding loss.

2. Under the new funding model, how is the general community fund allocated? The 20% pool for general community fund will be split into 3 groups: 35% for the ECC, 25% for the Zcash foundation and 40% for third-party developers.

3. Who was included in the final vote and why? There was a 72-person community advisory board, the advisory board was supportive of continued funding.

4. What was ECC’s reason for rejecting an ‘upper-bound dollar limit’ on their block reward funding? The ECC said that an upper-bound dollar limit would restrict the organization’s ability to attract top tier talent.

[Samuel1]

1. Zcash Developer Fund, it was replaced because it was set to expire.
2. The fund allocation:
   35%- ECC, 25%-Zcash Foundation, 40% Third-Party Developers
3. The Zcash Community Forum was able to vote, those associated NOT miners
   4.Any cap would hamstring the ECC’s ability to attract talent.

[Denzel]

1.- Zcash was initially funded by the community and investors, but they spent more than they gained.

2.- They get a slice of block rewards, around 20%.

3.- Zcash community forum members and community advisory panel.

4.- They said any cap would retain them from attracting talent.

[maxs]

1. What was Zcash’s original funding model, and why did it need to be replaced?
   Original model: “20 percent of block rewards were taken from miners and diverted towards zcash’s founders and investors along with some assistance for continued development.”
   It needed to be replaced to suppport the sustainability of the project development.

2. Under the new funding model, how is the general community fund allocated?
   “The 20 percent pool [community fund allocation] will be further split into three groups: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers.”

3. Who was included in the final vote and why?
   " Votes were cast by members of the Zcash Community Forum along with a 72-person community advisory panel."
   "The foundation opted not to count miners in the second round, according to an email from Cincinnati, because of the lack of participation. "

4. What was ECC’s reason for rejecting an ‘upper-bound dollar limit’ on their block reward funding?
   “the company said any cap would hamstring the organization’s ability to attract talent”

[walter_w]

1. Zcash was funded by investors, ran into issues from regulators and needed more to retain top talent
2. 20% of block rewards to be split as follows: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers
3. zcash community forum, but not miners
4. removing the limit so they could continue to attract top talent

[Meddodreddo]

1. What was Zcash’s original funding model, and why did it need to be replaced?

2. Under the new funding model, how is the general community fund allocated?
   Starts with a 80/20 miner tax and 35/25/40% distribution to ECC, Zcash foundation and third party developers respectively

3. Who was included in the final vote and why?
   Zcash community forum and advisory panel, miners weren’t represented due to lack of participation they say

4. What was ECC’s reason for rejecting an ‘upper-bound dollar limit’ on their block reward funding? They were of the opinion it would constrain their ability to attract talent.

Opinion: I’m not liking the sound of Zcash development team at this stage. Somethings don’t “feel” right based on decisions and actions occurring throughout some key points in its history thus far. I used to ASIC mine ZEC/equihash for a couple years so it’s not like I’m a hater of or unfamiliar with ZEC.

[Fjell]

1. Zcash’s original funding model was launched in 2016, zcash’s developer fund was on a four-year leash set to expire in November 2020. Known as the Founder’s Reward, 20 percent of block rewards were taken from miners and diverted towards zcash’s founders and investors along with some assistance for continued development. It needed to be replaced because a third group was to be included to boost product decentralization, said Amentum Investment Management CEO and zcash community member Steven McKie.
2. Under the new funding model the newly approved Zcash Improvement Proposal (ZIP) 1014 will now split block mining rewards 80/20 between miners and a general community fund for coin development in a similar manner to the initial Founder’s Reward. The 20 percent pool will be further split into three groups: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers.
3. In the final vote, votes were cast by members of the Zcash Community Forum along with a 72-person community advisory panel. This was in order to reach Zcash Community consensus in as decentralized a way as possible. “I am thrilled to see the convergence from the Zcash community after a long and fruitful debate,” Zcash Foundation Executive Director Josh Cincinnati told CoinDesk.
4. The reason for the Electric Coin Company (ECC) rejecting an ‘upper-bound dollar limit’ on their block reward funding is that for a firm on the bleeding edge of privacy advancements, they said any cap would hamstring the organization’s ability to attract talent. As such, the ECC said it would not accept any proposal with similar constraints.

[tony1999]

1. The original model worked by giving 20 percent of block rewards from miners and giving it to Zcash’s founders/investors. It needed to be replaced because there was a total fund loss.
2. The 20% block reward tax persists, but it gets divided up even further with 40% for TP devs, 35% for ECC, and 25% for Zcash.
3. The votes were made by members of the Zcash forum and the community advisory panel. This limited access in votes was made to prevent fraudulent voting (Sybil attack).
4. They said, “any cap would hamstring the organization’s ability to attract talent.”

[Timbalasian]

Originally, Founder’s Reward was limited to only 2.1 million ZEC (10 percent of the total ZEC supply). The model needed to be replace since more was spent than taken in.

The newly approved [Zcash Improvement Proposal (ZIP) 1014] will now split block mining rewards 80/20 between miners and a general community fund for coin development in a similar manner to the initial Founder’s Reward. The 20 percent pool will be further split into three groups: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers.

Votes were cast by members of the Zcash Community Forum along with a [72-person community advisory panel. Of the 112 eligible voters, [88 members cast] ballots with the overwhelming majority calling for continued funding.

ECc worries that for a firm on the bleeding edge of privacy advancements, the company said any cap would hamstring the organization’s ability to attract talent.

[moragarcia75]

1. What was Zcash’s original funding model, and why did it need to be replaced?

The Founder’s Reward, 20 percent of block rewards were taken from miners and diverted towards zcash’s founders and investors along with some assistance for continued development.

2. Under the new funding model, how is the general community fund allocated?

The newly approved Zcash Improvement Proposal (ZIP) 1014 will now split block mining rewards 80/20 between miners and a general community fund for coin development in a similar manner to the initial Founder’s Reward.

3. Who was included in the final vote and why?

Votes were cast by members of the Zcash Community Forum along with a 72-person community advisory panel and without miner input. That was because no miners participated in the first round.

4. What was ECC’s reason for rejecting an ‘upper-bound dollar limit’ on their block reward funding?

The company said any cap would hamstring the organization’s ability to attract talent.

[Konzaih]

1.) The founders rewards was limited to 10% of the Total Supply. 2.1 Mio ZEC
More was spent than earned
2.) The Blockreward is split 80/20 between Miners (80%) and the community fund (20%)
The community fund consists of 30 groups: ECC (35%), Zcash Foundation (25%) and Third-Party developers (40%)
3.) Members of Zcash Community Forum and advisory Panel of 72 people. No miners.
4.) That they couldn’t attract talent with a cap

[Randallcrum]

1. 10% of the total supply would go to the Founder’s Reward.
2. The new fund, 20% of miner’s rewards, would be split between 3 parties: 35% for the Electric Coin Company, 25% for the Zcash Foundation, and 40% for 3rd parties.
3. members of the Zcash Community Forum and a 72 person community advisory panel. 112 total eligible voters.
4. The company claimed that any cap would hamstring their ability to attract talent.

[Pavlo]

1. Through Developer Fund. Community transparency reports showed the ECC spending more than it took in, as well as adjustments to the previous Founder’s Reward meant to increase revenue.
2. The newly approved Zcash Improvement Proposal (ZIP) 1014 will now split block mining rewards 80/20 between miners and a general community fund for coin development in a similar manner to the initial Founder’s Reward. The 20 percent pool will be further split into three groups: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers.
3. Votes were cast by members of the Zcash Community Forum along with a 72-person community advisory panel. Of the 112 eligible voters, 88 members cast ballots. The final vote went without miner input – since no miners participated in the first round.
4. Any cap would hamstring the organization’s ability to attract talent. As such, the ECC said it would not accept any proposal with similar constraints.

[PabloAAAJ]

1. What was Zcash’s original funding model, and why did it need to be replaced?

Zcash’s original funding model was community driven, but the spending was higher than the funds raised. ‘A poor fiscal track record isn’t the best look for a firm looking to raise community-derived funds’

2. Under the new funding model, how is the general community fund allocated?

It will be split into three groups: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers.

3. Who was included in the final vote and why?

112 eligible voters: members of the Zcash Community Forum along with a 72-person community advisory panel

4. What was ECC’s reason for rejecting an ‘upper-bound dollar limit’ on their block reward funding?

Because it would disincentive the organization’s ability to attract talent.

[Sunshine52816]

1. An 10% allocation of the total supply was intended for the continuous improvements from the development team
2. From a 20% cut of the block rewards dividing it between: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers
3. Between Zcash community forum members and 72 community advisors because the participations from the miner was low
4. Any cap would hamstring the ECC’s ability to attract talent and expand

[jordanv]

1. Zcash’s original funding model was based on cummunity investment and it needed to be replaced because they were running out of funds.

2. 20% block reward from miners distributed into the following: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers

3. Zcash Community Forum along with a 72-person community advisory panel

4. ECC rejected the Fiat denomination as they felt it could hurt in attracting talent.

[Maggie]

1. 20 percent of block rewards were taken from miners and diverted toward zcash’s founders and investors along with some assistance for continued development. It needed to change due to the broken promise from the coin’s inception, namely one to limit the original Founder’s Reward to only 2.1 milliion ZEC. Also, there has been increased scrutiny from international regulators with the implications of privacy coins.

2. Under the new funding model, the general fund is split into three groups: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for the third-party developers.

3, The ZEC holders were included in the final vote, as they thought ZEC holders deserved representation.

4. The ECC’s position is that any upper-bound dollar limit would hamstring the organization’s ability to attract talent.

[Cosmin_Fechet]

1. 20 percent of block rewards were taken from miners and diverted towards zcash’s founders and investors along with some assistance for continued development.

2. The 20 percent pool will be further split into three groups: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers.

3. Zcash Community Forum members, along with a 72 person community advisory panel.

4. For a firm on the bleeding edge of privacy advancements, the company said any cap would hamstring the organization’s ability to attract talent.

[makinitnow]

1. In Zcash’s original funding model the original Founder’s Reward was 2.1 million ZEC (10 percent of the total ZEC supply).
   It needed to be replaced for the funding of a public blockchain through a de facto miner tax.
   Innovations in Zcash were dependent on the coin’s performance, thus the need of a new general development fund.

2. Under the new funding model, the general community fund (20 %) for coin development is split into three groups: 35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers (to boost product decentralization).

3. Votes were cast by members of the Zcash Community Forum along with a 72-person community advisory panel. Of the 112 eligible voters, 88 members cast ballots with the overwhelming majority calling for continued funding.

4. ECC’s reason for rejecting an ‘upper-bound dollar limit’ on their block reward funding was it would hamstring the organization’s ability to attract talent.

[Nboland]

1)They were already bringing in less money that it spent, plus the halving cycle would have made it less.
2)20% of the Mining reward will be split (35 percent for the ECC, 25 percent for the Zcash Foundation and 40 percent for third-party developers.)
3)The whole community minus the Miners due to lack of participation
4)Because the limitation would inhibit the ability to find talent.