The approved technical ZenIP 42406: ‘Technical Roadmap for the Migration of $ZEN and EON’ did not include tokenomic changes within its scope. Horizen Labs requests drafting a proposal defining outlining tokenomics strategy for Horizen 2.0. Note that this tokenomics proposal will define an overall strategy for the remaining unmined tokens at the time of migration, while preserving the maximum supply of 21 million $ZEN tokens. All tokens currently in circulation will also remain unaffected
Horizen is transitioning from a proof-of-work UTXO model to a proof-of-stake EVM parachain. Its vision has shifted from facilitating private value transfers to building an ecosystem that supports decentralized applications specifically leveraging zero-knowledge technology. Due to this, its paramount that tokenomics for Horizen 2 provide a pathway to its success which is complimentary to this new vision.
The proposal will provide:
Overall tokenomics strategy.
Outline of Emissions schedule.
Block reward and remaining ZEN allocations for both community and security.
Staking reward structure for both collators and delegators.
Allocations for community initiatives.
Strategic growth tracks for community initiatives.
The Horizen team has gained so much experience operating Horizen EON as an EVM in the web3 space, and the Horizen Labs teams had a chance to get an inside look at how another major EVM is built with the Apechain development and launch process.
Looking forward to the proposal to address the tokenomics for the transition to Horizen 2.0. The move away from Proof of Work provides the opportunity to fund ZK focused grants, pay for the needed ecosystem and growth partnerships, and make Horizen 2.0 a leader in the EVM space.
Ooh I missed this, the idea of having a separate proposal for horizen 2.0 tokenomics from the Technical Roadmap for the Migration of $ZEN and EON was a good move, to avoid to much technical terms in one proposal… we have all been waiting for this, let’s move forward as always
