Zcash NU7 Activates With 60% Fee Recycling and Shorter Block Times
What happened: Zcash activated NU7 at block 3,543,405, mined at approximately 02:34 UTC on November 6, introducing a Network Sustainability Mechanism that removes 60% of transaction fees from circulat
What happened: Zcash activated NU7 at block 3,543,405, mined at approximately 02:34 UTC on November 6, introducing a Network Sustainability Mechanism that removes 60% of transaction fees from circulation for gradual reissuance as block rewards beginning around February 2031. The upgrade preserves the 21 million ZEC supply cap and cuts the target block interval from 75 seconds to 25 seconds. It also retires the legacy Sprout shielded pool, leaving approximately 12,224 ZEC permanently unspendable.
Why it matters: Recycling fees changes when those coins can return to circulation, so describing the mechanism simply as permanent fee burning would obscure its intended role in future rewards. The shorter block target changes confirmation cadence, but it does not by itself establish higher adoption, greater transaction demand or a particular level of payment finality. Governance remains a separate test: development-fund proposals are due November 8, followed by voting from November 16–30, leaving funding decisions unresolved after the technical activation.
Source: Decrypt.