just realized something about Midnight's Treasury that most people assume works completely differently...
everyone talks about Midnight's Treasury receiving a share of every block reward. the Nt formula. continuous passive accumulation. funds building up from block one.
but here's what nobody mentions — that Treasury is locked at mainnet launch. the accumulated funds sit there. no spending. no allocation. no community grants. nothing.
the whitepaper is explicit. Treasury funds only unlock when decentralized governance is operational. not when mainnet launches. not when a certain balance threshold is reached. when governance is live.
and decentralized governance is explicitly described as a future development. the full specification hasnt been published yet. the timeline for implementation is undisclosed.
so the Treasury accumulates from every single block — potentially millions of blocks worth of NIGHT — while no mechanism exists yet to decide how any of it gets spent.
the governance committee at launch controls protocol parameters but not Treasury spending. Treasury spending requires the decentralized governance system that doesnt exist yet.
i was tracking how ETH's EIP-1559 fee burns accumulated before the community had full governance over those parameters — the parallel is similar. funds accumulate before the spending mechanism exists.
honestly dont know how long the Treasury sits locked before decentralized governance goes live — or how large the balance grows before anyone can access it.
what's your take — responsible design that prevents premature Treasury spending, or a growing fund with no disclosed timeline for when the community can actually use it?? 🤔
#night @MidnightNetwork $NIGHT
