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Co-authored paper on Self-guarantee in peer-to-peer currencies PDF Print E-mail
Wednesday, 16 March 2005 04:27
I've just co-authored a paper in the International Journal of Community Currency Research with Bernard Lietaer of the Access Foundation on Complementary Currencies. It was a privilege to work with Bernard on this, he's one of the leading thinkers in this field.
The WAT system, as used in Japan, allows for businesses to issue their own tickets (IOU’s) which can circulate as a complementary currency within a community. This paper proposes a variation on that model, where the issuer of a ticket can offer a guarantee, in the form of some goods or services. The difference in value, along with a reasonable acceptance that the issuer is capable of delivering the service or goods, allows for a higher degree of confidence in the ticket, and therefore a greater liquidity.
The paper can be downloaded as DOC (568kb) or PDF (2mb). The game I developed to demonstrate complementary currencies back in 1985 is still available online.