Hi Zoom, I know one of the doc's has mentioned sucess treating precancerous moles with lugol/iodine but let me relate a personal experience about messing with moles.
I had a mole on my face which for all my life had been checked and always came back as begign. I hated this thing and tried to remove it using an old home cure I read on one of the baords using garlic. The thing stung and hurt like h@ll while it was healing. A year later I was at my derms and he shaved it for cosmetic reasons then sent it to the lab (they always do that with anything they cut off of you) and it had turned malignant and I was diagnosed with malignant melanoma.
Long story short is that two weeks later I had to have surgery to remove it and instead of the mole, I have a 3" scar on the right side of my face.
While there might have been some other reason it suddenly turned malignant after 40 years, I'll always believe it was because I put the garlic on it and during the healing, something got screwed up and turned malignant.
I'm sure you will be fine, but please please go to your dermatologist and let him decide how to best treat.