- Litecoin creator proposes that LTC miners donate 1% for development.
- The proposed solution would provide adequate funding for Litecoin.
- Charlie Lee also flirted with the idea of miners selecting which projects to fund.
Litecoin news today – Litecoin owner has issued a new proposal regarding how to fund the Blockchain network. For the Litecoin news update, Charlie Lee has proposed pool donations. He has presented this suggestion as a new funding method for crypto development on the network. According to the Litecoin founder, miners on the network should donate a percentage of their block rewards voluntarily. From the Litecoin latest update, Lee insisted that miners donate 1% of their block rewards voluntarily consistently. He believes that this will ensure that the network is adequately funded permanently.
1% of Block Rewards is 7x the Expenditure of Litecoin Annually
Litecoin news – according to Lee:
“With the current Litecoin price, 1% of block rewards are 7x Litecoin’s yearly expenses. Even if it is only a small percentage of miners that can donate, the foundation would have enough funds to assist developers who are working on Litecoin Core, LiteWallet, LN wallet, and Mimble Wimble. It will also be used to facilitate the yearly Litecoin Summit and the adoption of Litecoin.”
Lee also confirmed that the donations should be voluntary, insisting that it won’t be right if it was not done voluntarily. Getting enough capital to operate a business can be overwhelming. The situation can be more complicated when the project’s agenda is about pushing decentralization. Rumors circulated in the ending phase of 2019 that the Litecoin Foundation could go bankrupt. Lee denied the rumors by claiming that the foundation has enough money to carry out operations for two consecutive years.
Litecoin (LTC) Price Today – LTC / USD
Lee’s 1% donation proposal comes after Roger Ver and Jihan Wu, both proponents of Bitcoin Cash, proposed an “infrastructure funding plan. The plan requires miners to pay up to 12.5% of their block rewards.
Miner’s Can Choose Which LTC Projects Their Funds go to
In other reports, recall that responding to the 51% attack concerns, the project, Dogecoin in 2014, merged its mining with Litecoin. This enabled the simultaneous mining of both assets. Notably, the joint mining impacts Lee’s mining pool donation proposal. Finally, Lee toyed with the concept of miners choosing which LTC projects their funds will go to, asking the LTC community for their opinion on his proposal in general. Lee added:
“It’s crucial that miners choose to support any Litecoin organizations they wish. Miners should donate any of the LTC organizations that wish to help.”