The Golden Nugget of the Day - What about Governance? Governance refers to a coin, token or other device that's used through various measures to give decision-making power over new projects and protocol changes on the blockchain. There are two governance types: on-chain and off-chain. - On-chain governance: governance token holders can vote on the fate and the future of a protocol. - Off-chain governance: there are no governance devices because decisions are left in the hands of the project development group and discussions are held in specialized forums, email chains, blogs; mechanisms outside the blockchain. Governance gives you benefits - It protects investors by giving them decision-making power because they are directly affected by the proposed changes (similar to shareholders). - It advances decentralization through optimized internal change management processes. - It develops the ecosystem or product according to the needs and preferences of its users. - Maximizes profits for governance token holders (user investors like you). Did you know that you can participate in governance voting? By betting your LUNA, you are entitled to have a say on governance proposals, where, each LUNA you bet equals one vote to be in favor or not in favor. Once used up for voting, these tokens must be burned deposit (NoConVeto) or in abstention (only one of those four). Governance also has conditions. 1. The quorum is met: at least 40% of all the LUNA wagered must vote. 2. NoConVeto votes must be less than 33.4% of the total votes. 3. Affirmative votes reach a 50% majority. It is important that you indicate to your validator the proposals you are interested in, as validators have a wider vote. Which of Terra projects would you like to obtain governance tokens for?

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