---
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
		- off-chain/soft- similar to institutions - a group of individuals trusted by the community form a group which is responsible for the blockchain's governance and well-being
		- on - users within the chin, directly vote on decisions to be made, changes are then made automatically depending on the outcome - this all happens intra-protocol 
	- Governance of the infrastructure/govrenance by the infrastructure

# Block chain governance
Four central parties
- Core developers
- Node operatoes
- Token holders
- Blockchain team