Delaying transactions/ timelocking Zcash


#1

Not sure where to write this suggestion so move my post if there is a section for this.

My suggestion is adding delayed transactions, so the zcash doesnt move from address A to B once its included in the block but to be able to set block value at which the condition to finish the transaction will be met.

Primary reason is security but also as the markets are unstable, weak holders might be tempted to sell, and with this they can make decisions on how much they want to wait.
As for security, we have read the news last year how thieves invade people homes and force them to send bitcoins. No one could force them if even they cannot access them.

Few more reasons for adding delayed transactions:

  1. Lowers the circulating supply which reduces sell pressure on the market.
  2. Tax reasons. If you currently do not own Zcash, you are not required to pay tax on it. Someone correct me if I am wrong on this one. End of the year sell pressure to pay taxes wouldn’t have to be so bad.
  3. Business motives. Maybe you agreed to paying Zcash in rates, delayed by time. Transaction would be visible if sent on transparent address, and you would have the proof of payment you need.

#2

Interesting thought indeed.

But how to implent or use such feature?

In case it’s mandatory mostly many users won’t feel comfortable if they want immediatly spend/move/transfer funds to an exchange or purchase, not?

In case it’s not mandatory it would bypass the security part.

Ok, maybe you had a different idea in mind. Locking the coins at a given point for a given period? If you mean this i have encountered this allready at NLG as a POS feature and called witnessing.
If i remember right the minimum lock is 1 month and the maximum lock is 60 months. Of course the longer you choose the higher Dividends you get. I personally wasn’t comfortable with it due the high volatility of the market as there is indeed no way to unlock them, but i agree, it’s an interesting feature.

About your reasons:

  1. Agreed, as in POS
  2. about tax reasons, not everywhere. If i remember right in many countries you have to pay tax allready when you made the deal/exchange. Let’s say you bought ZEC for $100 and it is $150 on tax day. If i understood the US tax system correct you have to pay taxes for this. While in the EU currently you have to pay taxes just ones you cash out, at least in my country.
  3. No idea

#3

Lets say you would have option to add your transaction in the next available block, or pick a block delay (for example adding 1440 blocks delay would delay it for 1 day as each block takes about 2:30 minutes to find in average).

I meant picking number of blocks that transaction would be delayed. User would have to calculate number of blocks he wanted in case of 1 month or a year.

I dont think people should do this for dividends and rewards. But its a certainly a possibility in case PoS is chosen instead of PoW. However I would prefer PoS to pay daily/weekly dividends in case its implemented and to unlocked and active wallets, as locking your Zcash to get the rewards would remind us to Bitconnect.


#4
  • i doubt the block delay would be popular, simply due the fact that mostly only us miners know (or a familar with) the block counts per day. It mostly would be easier to convert these into days/weeks/months/whatever, instead of using blocks.
  • pretty sure this is more an wallet issue than something else, but not sure either of course…
  • I mentioned NLG just as i saw there exactly this feature you are asking for and explained how it’s used there. It’s absolutly the same. The funds are just locked for the time you have choosen. As it’s a hybrid coin (scrypt/POS) you just get dividends. As i never tried it i don’t know if they are paid out on a daily/monthly or at the end basis. As said, i only mentioned it as i saw the feature you ask for allready as a working one. Pretty sure it can be done without dividends and rewards of course.
    Never used Bitconnect so i can’t comment on this one :slightly_smiling_face:

#5

Yes, I guess you are right on this one. Using days, months, years would be more popular.

Time-locking a wallet and time-locking your zcash inside of a blockchain are 2 different things.

I havent heard of NLG, but I have heard of other coins being time-locked with no insentives in mind. Yes it could work with dividends and rewards as well.

I havent used it either but i know how it worked :slight_smile:

Also I would limit the time it can be locked, because of possible consensus changes, hardforks that might alter things within Zcash network.


#6

@Trololino We inherited nLockTime and OP_CLTV from Bitcoin which can achieve what you want (delayed mining of transaction and delayed spending of funds) but for transparent transactions only. https://en.bitcoin.it/wiki/Timelock


#7

Great, but Is there any wallet that supports this ?