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# Abstract
Blockchain technology falls into two distinct classes: open (permissionless) blockchains such as those underlying bitcoin, Ethereum and Cardano; and closed (permissioned) blockchains such as implemented in the Hyperledger Fabric project. To motivate decentralised participation, open blockchains (presently) require an associated cryptocurrency, which can be a risky distraction. However, closed blockchains are considered by some to be insufficiently decentralised.This summer project aims to prototype a compromise: a closed blockchain system that encodes voting rules about self-governance, so that closed blockchain technology can be used in a more open manner. Experience in programming blockchain systems is not assumed. Depending on the student involved, the project will balance work between design and modelling of the blockchain governance rules, and implementation of such a rule set over an existing closed blockchain system.
# What is blockchain
# Terms
**Open Blockchain** — A public network that maintains an immutable record of transactions. Anyone can publish a transaction and participate in the network by adhering to a set of published rules. Examples: [Bitcoin](https://en.wikipedia.org/wiki/Bitcoin), [Litecoin](https://en.wikipedia.org/wiki/Litecoin)
**Closed Blockchain** — A private network that maintains a shared record of transactions. The network is accessible only to those who have permission and transactions can be edited by administrators. Examples: [Hyperledger](http://hyperledger.com/), [Ripple](https://ripple.com/), [Eris](https://erisindustries.com/)
**Governance** — A structure through which a participant or user of a system agrees to use the system. [governance](notes/governance.md) E.g., Governments.
# Sources
- https://medium.com/@WayneVaughan/open-vs-closed-blockchains-let-s-end-this-madness-8313e4095ead

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---
title: "governance"
aliases:
tags:
- blockchain
---
A structure through which a participant or user of a system agrees to use the system
There are three key elements of governance: Rulers, Rules and Participants. The rulers set the rules based on the participants goals and needs.
Governance types:
- Standard (e.g., corporations, non-profits, partnerships &c)
- Direct (each user takes part in the governance model by directly affecting every decision. Votes determine the actions)
- Representative (user vote to choose a representative who makes decisions on their behalf)
- Blockchain (managing the ever changing state of the blockchain's needs nand demands)
- Off-chain
- On-Chain