Vitalik Slams Zcash Token Voting Plan in Bold Governance Call
- Vitalik warns that token power could reshape Zcash’s direction and strain its privacy core.
- Artkor notes an increase in grant noise and pledges to make firm decisions in each review.
- Traders watch Zcash choices as governance modifications may alter future stability.
Ethereum co-founder Vitalik Buterin warned that Zcash could face long-term privacy risks if it adopts token-based governance. He said token voting pushes protocols toward short-term price interests while weakening core civil liberties that Zcash aims to protect. His comments arrived as Zcash stakeholders continued reviewing the process for selecting members of the Zcash Community Grants committee.
Buterin Challenges Token Voting Models
Buterin argued that token voting exposes systems to vote-buying because unbundled rights can be sold quietly. He said this issue creates results that favor wealthy holders rather than diverse community interests.
He also said token-weighted systems allow influence to accumulate among whales while placing smaller holders in weak positions. Many smaller holders may vote without attention to outcomes because they feel their individual weight is minimal. He stated that this form of governance is “bad in all kinds of ways.”
Buterin also linked his remarks to a 2021 essay in which he explained vulnerabilities in decentralized decision models. He repeated that token voting could harm projects built around public goods such as privacy. He said privacy can weaken if decision-making power is concentrated in groups that prioritize short-term value.
This raises a key question for Zcash: can a token-voting system protect a privacy-driven mission in an environment shaped by market pressure?
Zooko Responds as Governance Debate Expands
Zcash founder Zooko joined the discussion with comments on the evolution of Zcash’s governance structure. He said the system has grown through debate, failures, and continuous input from independent participants. He encouraged community members to carefully review candidate positions ahead of the next Zcash Community Grants (ZCG) committee election cycle.
In a separate community post, Artkor (ruzcash), Zcash Community Grants Member, confirmed that he will also run again for the ZCG committee next year. He explained that he initially hesitated because he feels he performs best during periods of crisis, but after speaking with existing committee members, he concluded that he now has the time and stability to continue prioritizing Zcash governance.
Artkor noted that the committee has recently seen a rise in questionable or low-quality grant applications, a trend he expects may continue as more teams seek funding. He said he intends to maintain the same strict review standards used in previous cycles, ensuring proposals are evaluated with consistency and discipline.
He added that the recent increase in ZEC’s price adds new governance pressure. While higher funding levels bring opportunities, they also increase the risk of unnecessary or inefficient spending. To stay grounded, Artkor said he maintains the same personal lifestyle as before, emphasizing that he does not want ZEC’s rising value to influence his judgment or priorities.
Related: Zcash Holds Support After 40% Fall: What’s Next for ZEC?
Traders Watch Privacy, Governance, and Market Impact
Buterin’s remarks arrive as traders assess how Zcash will balance privacy commitments against governance reforms. He said privacy weakens if “the median token holder” gains full voting power without long-term responsibility. This concern connects directly to Zcash’s identity as a privacy-focused network.
Zooko also said some developers still lack funding to continue work. He stressed that long-term engagement remains essential for community stability. This adds weight to discussions about budget allocation during the next election cycle.
Buterin additionally referenced alternative decision models such as delegated proof-of-stake and quadratic voting. He said these options can protect minority interests better than token voting. Traders now track how this governance dispute may influence ZEC volatility as the community chooses between price-driven priorities and privacy-first values.
