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The "chosen one" to lead was the person who would get close to the fire. Depending on how the fire would react is how they defined the "chosen one".
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A woman named Kiowa received positive energy from the fire meaning she was in touch with her divine self and mother nature. She was the leader of the Luna people.
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Kiowa kept hidden for a while. Although she still knew what was going on around and she'd still give her guidance. This observation time was to see what the people needed and wanted.
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Kiowa thoughtfully came up with the golden rules in which everyone must obey to live in peace and harmony.