Zcash co-founder proposes redirecting 8% of block rewards to the Network Sustainability Mechanism Sean Bowe, Zcash co-founder and protocol developer, has submitted a draft Zcash Improvement Proposal (ZIP) recommending the termination of the 8% block reward allocation to the Zcash Community Grants (ZCG) and the reallocation of these funds to the Network Sustainability Mechanism (NSM). Under the proposal, the funds would be retained rather than immediately released into circulation. Sean Bowe argues that the current ZCG reserve is sufficient to continue supporting community grant activities. Therefore, adjusting the allocation mechanism could help modulate the issuance flow of ZEC without disrupting existing funding operations. The proposal does not alter ZCG’s existing treasury, the 12% allocation to the Coinholder-Controlled Fund, miner rewards, or ZEC’s maximum supply. This is a draft proposal and does not imply that any change has been approved or implemented.