From CoinDesk · By Shaurya Malwa
Zcash activated its NU7 upgrade on a public test network, cutting the targeted block time to 25 seconds from 75 seconds ahead of a planned Nov. 5 mainnet rollout.
The upgrade redirects 60% of transaction fees to a reserve for future mining rewards, reduces per-block rewards to preserve ZEC’s issuance schedule and disables transactions using the older Sprout privacy system.
Developers will review test results and decide on mainnet activation Oct. 20, while holders of funds in Sprout must move them before the upgrade to retain access through the existing system.
Zcash has activated an upgrade on its public test network that cuts the targeted wait between batches of transactions from 75 seconds to 25, beginning a public trial before a planned November rollout.
The upgrade, called NU7, switched on at block 4,465,026. Zakura, software that follows Zcash and checks its transactions, now lists the new rules as active on public testnet. Its earlier, separate testing network has been shut down.
Each block records a batch of payments. Producing them more frequently could shorten the wait for a merchant to accept a payment or an exchange to credit a deposit. A service waiting for three confirmations would face a targeted wait of about 75 seconds instead of 225, if it kept its confirmation requirement unchanged. Actual block times vary.
The test network uses coins without monetary value, giving developers and infrastructure operators somewhere to check the changes before they affect real ZEC.
Both major node programs now support the trial. Zakura released its implementation Oct. 1, while the Zcash Foundation published a test version of Zebra the following day. Operators need compatible software to follow the upgraded test network.
Read More: Zcash targets November upgrade to make private payments up to three times faster
NU7 also changes where transaction fees go. Miners receive 40%, while the remaining 60% is removed from circulation and recorded in a reserve intended to fund future mining rewards. Those rewards pay miners to keep checking transactions as the amount of newly issued ZEC declines.
Faster blocks would not triple the creation of new coins. The scheduled reward per block falls to one-third, preserving the issuance schedule.
The upgrade also disables transactions used by Sprout, Zcash’s oldest private-payment system. Holders with funds there would need to move them before mainnet activation to retain the ability to spend them through the existing system.
Developers plan to review the test results and decide on mainnet activation Oct. 20. Nov. 5 remains the target, with no mainnet activation block set yet.