Litecoin
Creator Proposes Miners Voluntarily Donate 1% to Developers
The creator of Litecoin, Charlie Lee, has on social
media proposed the use of mining pool donations as a method of dunging the
cryptocurrency’s developers. On Twitter, Lee said he believes a “better way
to fund development is mining pools voluntarily donate a portion of the block
reward.”
He added that is Litecoin pools donate 1%
of blocks rewards to the Litecoin Foundation, the organization would receive
about $1.5 million worth of LTC per year. Lee continued:
“Currently with merged mining of Dogecoin
and other Scrypt coins, miners make 105%+ of block rewards. So 1% is a
reasonably small amount to give back towards funding a public good.”
Speaking to Cointelegraph
Litecoin’s creator confirmed a mere 1% would be enough to fund the Litecoin
Foundation, as the amount would equal “about 7x” the organization’s early
expenses. He stressed the donations would be voluntary as otherwise it
“wouldn’t be right.”
The proposal comes after last week Bitcoin Cash miners proposed a 12.5% miner
tax to fund the cryptocurrency’s developers. The proposal,
supported by miners representing over 30% of the network’s hashrate, would
see the miners orphan blocks of those that “don’t follow the plan” to “ensure
participation” and “avoid a tragedy of the commons.”
