Dragonfly’s Qureshi calls for end to Zcash dev fund after 2028

Crypto-focused venture capital firm Dragonfly’s managing partner, Haseeb Qureshi, proposed winding down the Zcash developer fund after it expires under current rules in 2028.

“I’m of the opinion that this should be the final Dev Fund,” wrote Qureshi in a Friday X post, arguing that the fund is large enough to fund remaining work on Zcash and that it risks being “politicized” as it approaches $100 million in value.

The Zcash development fund held 63,962 Zcash (ZEC) tokens at press time, worth about $95 million, according to ZecStats.

The remarks follow a broader industry debate that stemmed from the fund’s increasing value, following the ZEC token’s rally. Others argued that Zcash should maintain its development fund. Paradigm founder Matt Huang argued in a Wednesday X post that the fund is particularly important “in this age of AI cyber capabilities” and rapid quantum progress. 

Zcash pools, including the dev fund, also known as the lockbox. Source: ZecStats

The ZEC development fund is a protocol development fund that accrues 0.1875 ZEC tokens per block, representing 12% of the block subsidy under the NU6 upgrade. Its balance sits outside circulation until governance disbursement.

Related: Zcash holders back 25-second blocks, vote to keep ZEC halving schedule