Some thoughts on koin governance and limited power for the common good.
It is a governing system but not a social government—and not a precursor to a world-government. Its most powerful people are just a board to help advance koin--a universal open money-system. I hope koin's governing system will simply allow leaders to safely implement code changes.
It is mostly for code-changes and whatever else may need attention, but the bitcoin model where code is hard to change is still key. Yet such a system benefits from leadership and flexible balanced power to implement other good action and choices.
About koin: https://web.archive.org/web/*/k0in.com
Investing Example
But here is an example. The governing system chooses who to invest in, what companies to give liquid money to in hopes of eventual reward. But it could also be just a simple rating system.
Here is one way to do it. Level 1 is those the board finds acceptable, and maybe users who invest are automatically investing in these unless their settings are changed. Level 2 is another group of somewhat acceptable entities full users can choose. Level 3 are companies who have added themselves to this list, but have received no rating from koin governance.
In the end users should be able to choose who to invest in. Maybe the board could have some power to reward a little extra those who support networking-benefiting investments, such as micro-loans which spread mainstreaming or use of koin in developing countries. Actually yes, investing through koin means following rules or code benefitting the entire network, although governing powers should be quite limited. See last section.
By the way this group of companies invested in becomes a lot like a international stock market. The network is offers liquidity to any who properly seek it, in return for rewards. Sometimes this is like a loan with interest, other times it is more like having ownership in stock.
Maybe some trusted group can actually suggest a range of people you can choose to invest in. Like a S&P 500. Since it is really up to the users to choose their investment portfolio, surely the ability to invest in anyone who sets up protocol should be present. Another index or other indexes might offer kosher or halal companies.
This allows users to have more ownership in their investing, by using a protocol any borrower or stock-offerer may sign up for. But someone besides the koin network can set up their own lists and protocols.
Controlling Unit Value
Originally, before writing about a governing system, I promoted an algorithm-based price-leveling mechanism. Koin would keep its unit value exceptionally steady, like 1% deflation, all internally. Then I realized if necessary the new governing system could offer the flexibility of human input as well. But honestly, the algorithm should be enough and may be better, and any human input is mostly a protection against early problems that might occur when koin is first implemented.
To Clarify
The main purpose of the koin investing system is to be able to reward and guarantee liquidity and spread koin usage. The network may need the power to reward those who are a part of things. Those who guarantee liquidity over a period of time and keep koin safe and stable. Those who invest in small business, micro-business and the poor, thus helping to spread koin. Since koin's overall increasing market value is a function of both investment and adoption, it makes sense to reward them together.
Koin hopes to remove national influence and keep things simple like transparent Bitcoin. So there may be a better way to do this, but almost all money systems right now, have governments who seek to stabilize and guarantee the usefulness of this money.
Maybe koin's simple governance model can allow users to vote to implement cooperative measures benefiting everyone, where combined individual self-interest may not.
So the strong limit on power I hope to see, must give way to —or trade benefits with— power to implement rules and judgment for a common good.
Bitcoins decentralized nature is ideal for its purpose of flexibility and money universality, which is why I suggest using it to originally buy into koin. Koin requires more responsibility and perhaps offers more and less risk.