Over the past few centuries, humanity has moved further in the direction of democratization, dissolving empires and feudal systems into softer forms of central authority. We have explored the power of choosing decision makers that represent our shared values, carved out structures of checks and balances to limit unfettered rule, and developed infrastructure, education and communication networks — which are vital elements to narrowing hierarchical gaps through the promotion of individual opportunities and the support of collective rights.
Despite that, our present systems continue to prove faulty on so many levels, sustaining relations between governance and financial structures that are too close for comfort, and which give way to inefficiencies, conflict of interest and opportunism. These monopolies are largely reinforced by unbalanced distributions of power and financial control, and seem to consistently drive policies aimed at maintaining inequalities in influence and in wealth.
The Role of Cryptocurrencies
The use of trustless and permissionless assets, the supply of which cannot be altered for special interest allocations, seems to offer at least a partial and effective solution for decoupling financial control and governance — representing a step into further independence from the biased influence of the few, to the improved representation of the many. It is where we understand that cryptocurrencies are potentially capable of opening up new routes into financial freedom and in turn to impartial governance systems.
In that sense, our vision of what cryptocurrencies could achieve does not deviate from the history of decentralizing governance structures but represents a natural extension into increasingly efficient distribution systems, financial freedom, and de-monopolizing of authority.
Community Driven Change
While we cannot foresee how total financial decentralization would eventually play out, it is our understanding that progress can only be achieved through continuous exchange of information and the development of tools that allow us to explore and meet the financial needs of users. After all, cryptocurrencies are not meant to be created by organizations that serve a final product and individually reap the rewards. They are meant as tools that would be used by communities which would either choose to adopt them or alter their form until they suit their needs. It is therefore vital when developing a cryptocurrency to learn from the successes and failures of different projects in the space, and when pushing the boundaries of innovation, adopt flexible trial and error processes that are inclusive of their communities and in which decisions do not fall down to a single minded group or individual.
Decentralized Governance of Cryptocurrencies
With open source technology, cryptocurrencies can achieve technical flexibility and economies of scale in learning. They contrast with prevalent rigid financial systems that would rather break than gently bend. In order for this flexibility to be of any value, cryptocurrencies require the presence of decision making and implementation units — individuals that would continuously think through and adjust the technical attributes and strategic visions of projects to suit the world’s changing and complex needs. To truly create a decentralized currency that does not mimic the prevalent centrally-controlled structures, this role needs to be assumed by the currency’s community itself, provided that a governance structure is in place. This could prove a tricky process, but one which when tested and fine-tuned would result in maximum efficiency, user trust, and willingness to adoption.
EUNO Coin: Phase I of Decentralizing Governance
EUNO Coin rolled out the first phase of its decentralized governance structure in October 2018, only 4 months from the coin’s inception, setting out a system to allocate decision making power to its community. This process has begun with the currency’s Masternode operators for logistical reasons — including ease of proposal assessment and monitoring — and considering that masternode operators at present provide crucial support to the currency’s network and growth. Decision making will be gradually adjusted in future phases and further decentralized to give voice to the entire EUNO community, and through a trial and error learning process, smoothed out into an efficient and inclusive governance mechanism.
As a start, preliminary platforms — governance text and voice channels — were created to allow for community proposals, assessments, and votes. Guidelines for submitting proposals and voting on coin developments were laid out. (Please see this link for more details). Implementing this first phase outlines EUNO’s early commitment to decentralization and as a stepping stone for future phases that aim to ensure the project’s continued progress through eventually a purely community-driven governance structure. Future phases will also entail the development of a specialized platform that can be monitored by anyone in real time. Until then, all decision making and voting results will be announced to the wider community ahead of any changes in order to keep the playing field even.
EUNO’s First Governance Vote
The new governance structure was finally put to the test for the first time in November, and following an interesting and successful voice call between the core team and masternode operators, the governance group voted on a proposal to reduce Proof of Work rewards by 70% by the end of 2018. The proposal was put forth by the EUNO team following assessments of the blockchain’s emission rate and longevity. The governance group also discussed a potential future reduction in proof of stake rewards.
For more information please visit EUNO’s website, and do not hesitate to reach out to the team on either telegram or discord channels.
credit: Banky Moon