ZIP 1001: Keep the Block Distribution as Initially Defined -- 90% to Miners

Thanks to:
* Str4d for the help with the specification.
* Daira for pointing out issues with my interpretation of how the current FR/ECC structure works.
* Sonya for her extensive help with this.
* Everyone else on the forum and ECC/Zfnd that helped me with this.

Co-Authored-by: Jack Grigg <str4d@electriccoin.co>
Co-Authored-by: Daira Hopwood <daira@electriccoin.co>
Co-Authored-by: Sonya Mann <sonya@zfnd.org>
Signed-off-by: Daira Hopwood <daira@electriccoin.co>
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mistfpga 2019-09-14 15:45:12 +01:00 committed by Daira Hopwood
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ZIP: unassigned
Title: ZIP proposal Keep the block distribution as initially defined. 90% to miners
Owner: unassigned
Advocate: mistfpga (zcash forums) <steve@mistfpga.net>
Category: Protocol
Created: 2019-08-01
License: CC BY-SA 4.0 (Creative Commons Attribution-ShareAlike 4.0) [1]
Originally posted and discussed `on the Zcash Community Forum <https://forum.zcashcommunity.com/t/zip-proposal-keep-the-block-distribution-as-initaly-defined-90-to-miners/33843>`__.
`RFC2119 <https://tools.ietf.org/html/rfc2119>`__. references will be in CAPS.
**The key words include "MUST", "MUST NOT", "REQUIRED", "SHALL", "SHALL NOT", "SHOULD", "SHOULD NOT", "RECOMMENDED", "MAY", and "OPTIONAL"**
For clarity in this ZIP defines these terms:
- Mining software in the context of this zip refers to pool software, local mining software, or staking software.
- Mining is defined as the action of processing transactions, so this include proof of stake, if zcash would switch to that.
- Mining coins transferred via fees are considered rewards (infinite), coins generated via block generation are considered distribution (finite).
- Block distribution is defined as the block reward - transaction fees.
- Spirit is defined as what is the intended outcome of the zip.[2]
- Initial promise is non neutral language referencing the block distribution rules as initially set out.[3]
Abstract
========
The spirit of this zip is to is to ensure that the FR ends. It is not the intention of this zip to stop protocol based donations.
It is a simplistic short zip.
Hopefully it will be compatible with a number of other zips and can be worked into them.
Out of Scope for this proposal
==============================
- Governance on how decisions are made, this ZIP is not meant to be used as a form of governance.
- Future funding
- It does not cover other donations or revenue streams.
Motivation
==========
- The Founders Reward is set to expire in 2020.
- To honour the initial promise of giving 90% of total block distribution to miners. Therefore the protocol giving them 100% of the block distribution after the first halving.
Requirements
============
- The FR MUST end at the fist halving.
- This zip SHOULD NOT preclude the ECC from sourcing funding elsewhere, or from donations.
Specification
=============
- The existing Founders Reward consensus rules [4],[5] MUST be preserved.
- Specifically, `FoundersReward(height) MUST equal 0 if Halving(height) >= 1` (For clarity once the halving happens the FR stops. as per the rules outlined in [4],[5])
- This line of code is only meant to stop the FR not protocol based donations.
- Enforcing some kind of mandatory donation via whatever mechanism would be seen as continuation of the FR.
Implications to other users
===========================
- Block distribution payouts to FR addresses will need to be removed from the codebase. (I think this already happens though)
- Pools and other software may need to make adjustments for this.
Technical implementation
========================
- ?
References
==========
[1] https://creativecommons.org/licenses/by-sa/4.0/
[2] If there is contradiction between Spirit and any other part of the proposal that needs to be addressed. in the even it is not addressed Spirit is assumed to overrule all.
[3] Cant find the document! the one with the graph in it. will update.
[4] Section 7.7: Calculation of Block Subsidy and Founders Reward. Zcash Protocol Specification, Version 2019.0.0 [Overwinter+Sapling]
[5] Section 7.8: Payment of Founders Reward. Zcash Protocol Specification, Version 2019.0.0 [Overwinter+Sapling]