In line with the upcoming Syscoin 4.0, the team has revealed that there will be changes to the funds allocated for governance, as well as masternode rewards.

The Syscoin Foundation has decided to increase the allocation to governance to 2,000,000 SYS. This value will decline by 5% every month for a three-year period, decreasing to 332,166 by the 36th month. The team is assuming that over the next three years, the value of SYS would have increased and they would be able to adequately fund deserving projects.

Source: Syscoin Medium
The Syscoin Foundation’s role is to improve, market and maintain the Syscoin Platform. The Foundation was setup to act in the best interests of the ecosystem. Funds will mostly be used to build a healthy reserve that can provide security for many years to come.

With regards to masternodes, Syscoin is introducing an improved reward system that will favor long-term masternode holders. Masternode holders will be rewarded with their base reward and an extra 35% after the first year of operation. This amount is increased to base reward plus 100% after two and the half years.

Syscoin 4.0 is the fourth iteration of the Syscoin Protocol [which] further defines Syscoin’s value proposition by making the main blockchain a high-throughput transactional layer with support for Assets on top.

Further details on the changes can be found on Syscoin’s Medium blog.