# Zcash’s NU7 Upgrade Goes Live, Recycling 60% of Fees to Fund Future Block Rewards

- URL: https://talkfuse.com/story/zcashs-nu7-upgrade-goes-live-recycling-60-of-fees-to-fund-future-block-rewards/
- Published: 2026-11-06T10:13:27+00:00
- Updated: 2026-11-06T10:22:35+00:00
- Original publisher: Decrypt
- Original article: https://decrypt.co/382692/zcashs-nu7-upgrade-goes-live-recycling-60-of-fees-to-fund-future-block-rewards
- Topics: Crypto

## Key points

- NU7 is live, recycling 60% of fees into future rewards from 2031.
- Zcash keeps its 21 million ZEC supply cap and existing halving schedule.
- The upgrade also cuts target block times to 25 seconds.

## Summary

Zcash’s NU7 upgrade went live at block 3,543,405, introducing a mechanism to recycle some transaction fees into future block rewards. It is intended to help fund the network’s security as regular block subsidies decline, while keeping Zcash’s 21 million ZEC supply cap.

The mechanism will remove 60% of transaction fees from circulation and gradually reissue them through block rewards from 2031, alongside the existing halving schedule. NU7 also shortens target block times from 75 seconds to 25, retires the original Sprout privacy pool, and limits private transaction activity per block. A separate proposal would allocate 50,000 ZEC from the Community Grants treasury to the mechanism; proposals on the grants programme are due by November 8, with coinholder and community polls scheduled for November 16 to 30.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.