There are of course many ways that authority can then divvy up the funds it controls. There is indeed the potential for a much wider distribution than Bitcoin's coinbase initially reached. But history is rife with examples of why it's generally a bad idea to trust an authority to complete tasks that benefit the greater good, especially if they necessarily diminish that authority's power at the same time. Typically centers of power like to consolidate it instead. There are exceptions, like the GPL tricking copyright law into kicking its own ass, but until I see a comparable level of cleverness in how Ripple or Freicoin dole out their tokens I'll view them with skepticism. (Though I'll certainly play with them.)
Actually the bold statement is exactly what Freicoin has accomplished -- the "centralized" fund is also subject to demurrage and will be sent to the miners of Freicoin at the rate of 5% per year. This is built into the protocol so there is little incentive to hold onto these funds forever.
If this is such a great path why is freicoin's organization not incorporated yet? Was wasn't it incorporated before the coin existed?
The paperwork for the Freicoin Mutual Benefit Corporation has been submitted.
This was publicly disclosed in the 7th weekly meeting on the freenode irc channel (#freicoin)