Dragonfly Says Zcash Development Fund No Longer Needed After 2028

Digital-asset venture capital firm Dragonfly said Zcash's development fund should end when it expires in 2028. The debate over the fund's future has widened after a recent rise in Zcash's price pushed its value close to $100 million.

Cointelegraph reported on September 18 that Haseeb Qureshi, a managing partner at Dragonfly, wrote on X, formerly Twitter, that the current development fund should be the last. The existing Zcash development fund is scheduled to expire in 2028.

The Zcash development fund sets aside part of block rewards to support protocol development and related work.

Qureshi said the current fund alone is sufficient to finance future development work. He added that governance around the fund risks becoming politicized, particularly as its value nears $100 million. The fund currently holds about 63,962 ZEC worth roughly $95 million.

Others have argued for keeping the development fund in place. Matt Huang, co-founder of Paradigm, said the fund remains important as artificial intelligence-driven cyberattack capabilities and quantum computing develop rapidly.