Zcash developers have set their sights on block 3,543,405 for the activation of the NU7 upgrade, tentatively scheduled for November 5. This date is contingent upon the completion of necessary software modifications by the development team.
On October 20, developer Sean Bowe proposed this activation height following discussions among Zcash Improvement Proposal editors. While this decision marks a significant step forward, it does not guarantee that the upgrade will launch as planned in November.
Zcash Upgrade Targets Threefold Speed Increase
The NU7 upgrade aims to reduce the average block time from 75 seconds to just 25 seconds. This means that users can expect transaction confirmations to occur three times faster than current rates.
To illustrate, a cryptocurrency exchange that typically requires three confirmations could see deposit wait times slashed from nearly four minutes down to about 75 seconds. Of course, actual processing times will still depend on network conditions and the policies of individual exchanges.
Public testing of the upgrade has been underway since early October, following a tumultuous month for ZEC, during which the cryptocurrency experienced a notable 30% drop in value.
Fees Return to Miners Under Revised Rules
Another key aspect of NU7 is a new fee structure. Under this revision, 60% of transaction fees will be temporarily removed from circulation when miners create blocks. Rather than being permanently destroyed, these funds will be recorded for future distribution.
The network anticipates that these withheld funds will start returning to miners around February 2031. This design maintains the existing four-year halving cycle and avoids increasing ZEC’s maximum supply, a decision that has garnered support from Zcash holders.
Sprout Holders Face Deadline Before NU7
One significant change with the NU7 upgrade involves disabling version 4 transactions, which facilitate transfers from Sprout, Zcash’s original shielded pool. After this rule takes effect, coins remaining in Sprout will be unable to move under the new framework.
Holders with assets in Sprout are urged to transfer their funds to supported addresses before the activation date. While older shielded pools will cease to function, newer ones will continue to operate, and NU7 will maintain the current transaction format.
The interest in privacy technology in the crypto sphere is growing, extending beyond individual transactions. Discussions around the need for institutional confidentiality highlight the evolving landscape of financial blockchain privacy. As Zcash developers focus on preparing for a faster network, Bowe’s proposal has received two approvals but has yet to enter the official deployment specification as of Wednesday morning.
