Is the community created by tokens?
——Community governance is given by God（II）
Takeaways:
1. Communities have boundaries and there are conditions for being a member of a community.
2. At the heart of community governance are community members, community culture, and a contractual rules that the community shares.
3. Tokens are a tool for community governance and can be designed flexibly according to actual needs. A community can have multiple tokens and multiple token incentive schemes.
4. It is not scientific to concentrate too many community rights and interests on one token, which will create hidden dangers for community development.
Since the publication of the article on 14 December, some community members have expressed different views. These views represent thoughts on community governance and reflect the true attitudes of many community members. Different points of view, representing perspectives on thinking about issues and representing positions of expression. It’s a great community atmosphere.
These points are listed at the end of the article.Reading through these views has facilitated my thinking about some fundamental issues of community.Once we have an understanding of these fundamental issues, there will be a clear path for the community to follow.
- What is a community? How do you identify a community member?
2.Does community governance necessarily require tokens? What is the value and significance of tokens in a community?
Boundaries and conditions
Blockchain communities are a mapping from the physical human world.Community (German: Gemeinschaft, French: Communauté, English: Community), also known as community, commune or ritual society, was coined by the 19th-century German sociologist Tennessee to refer to a grouping of people established through blood, neighbourhood and friendships as opposed to a ‘Gesellschaft’ (or juridical society).
It refers to the grouping of people through blood, neighbourhood and friendships as opposed to the Gesellschaft, or juridical society. Later, it also refers to a social unit in which people come together because they share common values or culture, live in the same area, and interact with each other as a result.
Communities have boundaries.For the hen community, it is a community of art lovers from all over the world, made up of people of different countries, nationalities, cultures and ethnicities.Art is the boundary of the hen community.
Take me for example, I am a Chinese person. But am I necessarily a member of the hen community? Not sure.Also, are you a member of the hen community if you have contributed to the hen community? Not sure about that either.
Why?
Membership of the community comes with conditions.
Again using American history as a perspective, in 1776 the Americans issued the United States Declaration of Independence. At the time, this act was opposed by the British, and Britain and America began years of war.
When independence was declared, the people of the United States were weaker and had difficulty fighting the powerful British. At this time, the French gave America a great deal of help.By about 1783, the war was over and America gained its independence.
In 1776, La Touche-Treville began transferring French arms to the United States. French arms support (such as the Valais Cannon series, especially the small Valais 4-pounder) was used in large numbers in the various theatres of the American War of Independence. These guns arrived on the American continent by ship from France and were then transported by wagon to various locations. These guns played an important role in various battles (such as the Battle of Saratoga[5] and the Siege of Yorktown).
There is a lot of historical material available.
Can a Frenchman be considered an American for such a great contribution?
Today, if you encounter this problem, you may think it’s ridiculous. However, at the time the United States and France had very close ties and the two national communities were deeply attached.The Statue of Liberty, for example, was given to the United States by the French.
References:
In 1789, when the French Revolution broke out, many Americans wanted to support France,Many Frenchmen also wanted American support.Ultimately, history tells us that the United States was not involved in the French Revolution.The fundamental reason is that the French National Community and the American National Community are different communities, each representing the interests of its own community members.Making a contribution cannot be a condition of community identity.
Again using the United States as an example, a non-American has the following requirements to be a member of the community.
To become a U.S. citizen, you must:
Have had a Permanent Resident (Green) Card for at least five years, or for at least three years if you’re filing as the spouse of a U.S. citizen.
You can apply for naturalization before you receive your new Green Card. But, you’ll need to submit a photocopy of the receipt for your Form I-90, Application to Replace Permanent Resident Card, when you receive it.
Meet certain eligibility requirements. To see if you’re eligible, click on the link that is most similar to your situation.
References:
However, the above conditions only apply today. From 1776 to today, the requirements for being a member of an American community have changed as society has evolved.In order to make appropriate immigration laws, the United States has made continuous amendments to the law.In fact, other national communities also have their own community boundaries and conditions.
References:
Obviously, HEN is not a national community, it is an art lover community, currently composed of art creators, art consumers, art investors, technology developers, and community managers.There are also requirements to become a member of the hen community and a clear consensus on community policy as the community grows in the future.It is not reasonable for anyone to say that they have contributed to the hen community and are then a member of the hen community.I think that we need to discuss this together in the future.
Governance and tokens
The popularity of the erc20 token, and the skyrocketing prices of many projects, has given rise to the idea that governance tokens are at the heart of community governance.As a result, we see many projects design complex economic models around governance tokens.
If we think about it, did we use tokens when we elected the president?When the United States was founded over 200 years ago, did people at that time use tokens to govern their national communities?* 
The answer is simple: at the heart of community governance are the people involved in the community, not the tokens.Amongst other things, a community culture and a contractual rules shared by the community are key to the success of community governance.
When the Mayflower Compact is signed, a rule is formed between the members of the community and everyone must act in accordance with this rule in order to maximise their individual and collective interests.
However, human communities are not always structured in a contractual way to control the behaviour of their members, very often by violence, by capital.Why did the people on board the Mayflower take a contractual approach to building community?
The people on board the Mayflower shared a common belief in building democratic communities and a culture of contract.At that time, contract culture was already popular in Britain.As early as the Magna Carta in 1215, the principle of equality before the law and the principles of Parliament were developed in England.In just over 200 years, American communities have grown rapidly as a result of a combination of beliefs and contractual culture.
Another interesting historical event is the independence of Israel.Israel is small country in the Middle East, about the size of New Jersey, located on the eastern shores of the Mediterranean Sea and bordered by Egypt, Jordan, Lebanon and Syria.
Before 1948, however, Jews did not have a state of their own, and were spread throughout the world. Although Israel was historically a Jewish territory, this was more than 2000 years ago.After a massive uprising in 132 AD was suppressed, the Roman Empire expelled the Jews from the area and changed the name to “Syro-Palestine”.It is amazing that the Jews could return to the land of Palestine after more than 2,000 years of exile, restore the Hebrew language and establish the modern state of Israel.
Why ?
Because the Jewish community exists, the Jewish people exist, the Jewish culture exists and they share a common contractual rules.It’s not because they have tokens.
In Basel in 1897, and at subsequent Zionist congresses, Herzl and delegates from various countries and societies created the institutions that would form the basic structure of the future State of Israel. They also strove to gain international recognition and support for a Jewish state.
The First Zionist Congress adopted the Basel Program, which stated: “Zionism aims at establishing for the Jewish people a publicly and legally assured home in Palestine. ” (“Palestine” was used at that time as a purely geographical term, with all residents, including the Jews living there, called Palestinians. The area itself was actually under Ottoman rule).
These are historical sources, used to illustrate the point of the article, and do not represent me as pro-Jewish or anti-Jewish or any personal will of my own.
To cite another example of an organisation familiar to the Chinese.Many may know that Huawei is a great Chinese company, but many may not know that Huawei is the best at community management in China. More than 20 years ago, following the common opinion of community members, Huawei developed the Huawei Company Basic Law. They did not govern the community with tokens, but also relied on the community’s cultural traditions and commonly observed contractual rules
So, for the hen community, it needs to preserve and promote its own community culture and attract people with the same cultural factors to join.Then, depending on the cultural attributes of the community, a system of contractual rules adapted to the development of the community is formed.The community is governed according to a contractual system that protects democracy on the one hand and makes the community function more efficiently on the other.
So, what is the relationship between tokens and community governance?
The problems associated with tokens are simpler to deal with when we realise that community membership, community culture and common community contractual rules are at the heart of governance.Tokens are a tool to help community members participate in governance，Help communities achieve greater economic efficiency.The community can design different tokens and design different token economies according to their actual needs.
For instance，The issuance of NFT tokens is more appropriate when the community wishes to determine community membership.In fact, there are already projects that are starting to use NFT tokens on behalf of community members.
CityDAO is exploring decentralized asset ownership on chain, starting with a piece of land in Wyoming. Each parcel of land is an NFT that can be owned collectively by the DAO collectively or by individuals. Depending on the difference in contributions, citydao issues 3 types of community citizen NFT tokens.The 3 types of community citizens are the same in terms of basic rights, with minor differences in terms of priorities in terms of community well-being.Citydao’s has also devised a community election mechanism to select outstanding and competent people to support the development of the community.
In theory, it is also possible to issue bond tokens in the name of the community to raise funds to promote community ecology, secured by community revenues.Community bond tokens can be divided into long term, medium term and short term.If the national community can issue national bonds, why can’t the art lover community?This may, of course, be in conflict with current legislation.
For those who have made outstanding contributions to the hen community, the community can also design a set of incentives to recognise and praise their contributions.The Presidential Medal of Freedom can also be awarded to foreigners.
The Presidential Medal of Freedom is an award bestowed by the president of the United States to recognize people who have made “an especially meritorious contribution to the security or national interests of the United States, world peace, cultural or other significant public or private endeavors.” The Presidential Medal of Freedom and the Congressional Gold Medal are the highest civilian awards of the United States. The award is not limited to U.S. citizens and, while it is a civilian award, it can also be awarded to military personnel and worn on the uniform.
For example, the hen community could design a token specifically for community building to incentivise all groups who have contributed to the community.
In short, tokens are a tool for community governance and can be designed flexibly for practical purposes.
Many project owners nowadays design complex economic models of tokens that confer various relevant interests on a single token, which is problematic.
Firstly, it is not conducive to community governance.
The incentive effect of tokens that confer various rights and interests may not be optimal, and the needs of community members are sometimes diverse. For investments, they may want to see the price of the coin go up; for users, they want it to be cheaper. The higher the price of ETH, the better for investors and the worse for users. If users leave ethereum, how can the interests of investors be protected in the long term?Developers want to earn revenue by contributing to the community, and the rising price of ETH tokens seems to be irrelevant to them.
bancor was the first project to discover the AMM method and the first to develop a decentralised exchange. However, it is currently not as well developed as uniswap.
https://cryptorating.eu/whitepapers/Bancor/bancor_protocol_whitepaper_en.pdf
A major reason for this is that they have designed too many features for the governance token BNT. In the early days, if a user wanted to provide liquidity on bancor, he needed to buy BNT tokens in order to do so. This contributed to the price of BNT on the one hand, and on the other hand, put an additional cost on those who provided liquidity.
Secondly, it is not conducive to regulating the community economic system in the future.
If a token concentrates too many interests, the community will encounter various conflicts of interest when trying to regulate the token economic system.Community economic regulation becomes easier if the community designs specific tokens based on the groups that need to be incentivised. For example, designing an internal token for a group of builders within the community to motivate them to work hard. If the economic model needs to be adjusted in the future, it will be easier to do so because only a single interest group is involved.
Summary.
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Communities have boundaries and there are conditions for being a member of a community.
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At the heart of community governance are community members, community culture, and a contract that the community shares.
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Tokens are a tool for community governance and can be designed flexibly according to actual needs. A community can have multiple tokens and multiple token incentive schemes.
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It is not scientific to concentrate too many community rights and interests on one token, which will create hidden dangers for community development.
Just as tezos is positioned for continuous evolution, so too can hen adopt this strategy.
views from some community members in 14.december.
A：
“Therefore, depending on the current stage of the hen community, it may be premature to increase the options for governance token hdao distribution. The community has just gone through a chaotic phase and needs to think and build calmly. Increasing the governance token allocation would inevitably result in the governance rights of many people who have been supporting the development of the community being compromised, and may also allow people who do not conform to the values of the hen community to enter the community in large numbers, increasing the level of chaos in the community. From a rational point of view, people who contribute to the hen community are not necessarily members of the hen community and may sometimes be driven by personal selfish interests. If these people have too much of a voice in the community, the hen community may lose its vision.”
So you’re suggesting that we don’t dilute the supply, as the proposal lays out – correct?
It’s still not very clear how “increasing the governance token allocation would inevitably result in the governance rights of many people who have been supporting the development of the community being compromised.” – Are you saying that hDAO holders governing power gets diluted along with the supply? Because that is true. But we must keep in mind that the alternative then is that we leave it completely to the secondary market, with the exception of a small percentage of “buy backs,” which was something I thought the last month of conversation pushed us beyond. I.e., many felt strongly that the better solution would be to put up the cost to distribute upwards of 25% to active platform users retroactively, so that they didn’t have to collect voting power through monetary means on secondary market.
Additionally, I wonder if it is a contradiction in terms to say: “people who contribute to the hen community are not necessarily members of the hen community and may sometimes be driven by personal selfish interests.” 1) Arguably anyone who is contributing to the hen community IS a member of the hen community. 2) Many, if not all, who are contributing to the DAO proposal are HEN users.
I will say, however, that I appreciate the written response to the proposal to dilute the supply! Though we might think that the anecdote of the response is a bit larger than the humble dilution of ~25% upfront, with another ~25% over 3 year time span, which is what the proposal suggests approximately. (Also, it’s worth noting that I too was initially against increasing the supply and wanted to keep hDAO, but over time was convinced that a compromise of small dilution was probably more ideal for the long-term goals, and considering the short-comings of the previous distribution model for hDAO.)
Lastly, to provide some context to those who may be unfamiliar, here is the new DAO proposal to which Jack is referring. Note that this proposal intends to migrate hDAO holders to the new token. Not every detail is final, and will be subject to further clarification and voting, but as a general concept this is the state of the art: NewDAO - Google Docs
B：The newDAO token should be designed to meet the following requirements
1.Unite the community by giving most people a saying, or a chance to vote, that will not be overwhelmed by whale holders
2.incentivize people who want to work for the platform, ie: core team, volunteers, advisors or other people who can be beneficial for the long term growth. This part needs to be vested over a certain years.
3.incentivize users who used the platform
4.leave some flexibility for the dao to host events, marketing, or other things that are beneficial for the platform.
5.unite the support from hdao holders which have high % of overlapping with HEN users.
The above 1-4 requires some dilution of hdao, mint more NewDAO token vs hdao.
So I agree with @TaoZao. As some of you might know, I ’m a top holder of hdao, and dilution is not in my own interest. I first proposed the dilution, for the long term well being of the new HEN. I also convinced many people that the dilution is necessary if we want to build a long term sustainable platform.
Platform fee is $$, but nothing incentivize people more than the token of the new HEN.