IMHO it look like logo for infants. I thought after first look it is some seal.
This version?
http://i60.tinypic.com/jab4e8.pnglol, i guess it's all about perspective. I just thought karma could use a more playful appearance since the idea behind the coin is to do good. I didn't think the current logo conveyed that idea, and a generic letter 'K' would probably have felt too corporate and overdone at this point.
