# Funding: The Founders Reward

**URL:** https://forum.zcashcommunity.com/t/funding-the-founders-reward/205
**Category:** Governance
**Created:** [February 1, 2016, 5:05pm UTC](https://forum.zcashcommunity.com/t/funding-the-founders-reward/205 "2016-02-01T17:05:29Z")
**Posts on this page:** 1
**Showing post:** 10

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### Author: ![shelby3](https://sea2.discourse-cdn.com/zcash/user_avatar/forum.zcashcommunity.com/shelby3/32/14_2.png) [@shelby3](https://forum.zcashcommunity.com/u/shelby3)
#### Post date: [February 4, 2016, 8:19pm UTC](https://forum.zcashcommunity.com/t/funding-the-founders-reward/205/10 "2016-02-04T20:19:12Z")

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> [@Uninvention](#):
>
> I’m not sure **what you’re going on about** in your first paragraph. Z-Cash isn’t compatible with Bitcoin’s design. Pruning, CoinJoin, and Coinswap are not possible. That doesn’t mean Z-Cash is bad, just that it makes different tradeoff’s that conflict with Bitcoin Core.

You make assumptions about my reasoning that I never stated. My suggestion to partner/cooperate with Blockstream regarding developing privacy for public blockchains with a focus on corporations, has nothing to do with Bitcoin’s block chain design. It has everything to do with the fact that Blockstream is cooperating on OpenLedger with IBM and Linux Foundation and has received $70 million in funding. Blockstream is experimenting on many different blockchain designs that could be sidechains of Bitcoin and/or for work they may do on other projects such as OpenLedger. Since you only mention Maxwell’s CoinJoin and CoinSwap, perhaps you are not aware he also helped invent Confidential Transactions (or you just conveniently omitted that) which is also not compatible with Bitcoin’s block chain design (or at least not without a hard fork).

Please stop being even mildly condescending to me (see bolded phrase and note [you tried to attack my reputation](https://forum.zcashcommunity.com/t/fundamental-challenges/39/8) in my “Fundamental challenges?” thread) or I will be forced to put the mirror in your face.

> [@Uninvention](#):
>
> As for selling “fairly” mined z-cash, I’m not sure why that’s any better than just premining everything and then selling it on an exchange. If it’s good in a small sense then it should be good in the larger sense.

I was comparing to selling the pre-mine to a non-free market of private placements as compared to a public price discovery mechanism such as an ICO (which is roughly equivalent to your idea here to sell all the coins on an exchange). Again you put words in my mouth that I never stated, because you failed to comprehend the distinction I was making.

> [@Uninvention](#):
>
> There is no danger of speculators purchasing all of the coins at once, as long as they price them high enough on an exchange, and they can always raise the price if they think is a realistic concern.

The issue I pointed out is just to make sure the coins are _widely_ distributed (i.e. not concentrated into fewer HODLers). And to give time for the coin to be adopted as the coins are distributed, so that wide participation (and thus wide distribution) are achieved.

> [@Uninvention](#):
>
> I did not argue all coins should be distributed all at once. Distribution takes place on an exchange at fair market value.

You only stipulated, “100% premined and sold by your company at **whatever value**  
**you think is appropriate** ”. That is not free market price discovery.

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