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Complementary local currencies go digital

Published on 28 February 2018
Update on 26 September 2022
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Summary

The Eusko in the northern Basque country, the Sol-Violette in the Toulouse basin, the Abeille in Villeneuve-sur-Lot, the Miel in Libournais, the Héol in Brest, the Cers in Narbonne or the Pyrène in Foix. There are about forty complementary local currencies in France.

Intended to promote the local economy and local employment, these complementary local currencies are often supported by local businesses and services. These currencies (parity with the euro and without pennies) can only be used for everyday purchases, in a restricted area and in a network of businesses, companies and services committed to respecting social and ecological criteria.

The Social and Solidarity Economy (SSE) Act of 2014 gave a legal basis to complementary local currencies. Its Article 16 recognizes local currencies as payment instruments, if these instruments are issued by social and solidarity economy (SSE) companies and if these currencies respect the framework set by the monetary and financial code. For its part, the Ministry of the Economy and Finance has clarified theframework for partnerships between local currencies and local authorities.

Combined with mobile applications, digital local currencies would be more easily traceable, allowing for more accurate tracking and measuring its impact.

At present, only the local currency in Nantes was designed from the outset as a 100% digital currency. The Eusko took the plunge in the spring with the introduction of a payment card.The Normandy regional currency Normandy to be launched in March 2018 will be 100% digital.

The Basque Eusko goes digital

Eusko, the complementary local currency of the French Basque Country, created in 2013, now has 4000 regular users (individuals, SMEs or associations). 750,000 euskos are currently in circulation. Initially usable only in the form of banknotes, in early 2017 Eusko introduced a payment card. Four municipalities have joined Euskal Moneta, the structure that manages the Eusko. They wish to make and receive payments in Eusko (for certain services such as the municipal swimming pool, transport, the school canteen, the media library or parking lots).

First results for the local currency SoNantes

Launched two and a half years ago, SoNantes is still limited to a small circle.

With 7,000 transactions made by 1,650 users (177 companies and 1,473 individuals) for a total amount of 280,000 euros, the results are far from the initial objectives announced (3,000 user companies and 10,000 individuals). The majority of payments are made by individuals, especially in partner local businesses (bakeries, bars, hairdressers, etc.). In order to move up a gear, the management of the local currency, which until now has been entrusted to the Crédit municipal de Nantes, will be taken over by the SoNantaise association. However, the Crédit Municipal will manage the digital platform.

Normandy launches a regional payment method

The Normandy region will launch the first regional currency in March 2018. This one will be 100% digital.

The project had been announced by the president of the Normandy region, in June 2016. Working groups have been created bringing together social and solidarity economy actors, including the regional chamber of social and solidarity economy (Cress), communities, citizens but also associations managing existing local currencies on the territory. The Monnaie Normande association is carrying the project on behalf of the region and will be in charge of putting it into circulation. The region is financing the project: in total, it is investing 400,000 euros, including for the communication that will be necessary to launch the currency. The association expects to have 1,000 members and 100,000 units after nine months, and hopes to break even within three to four years...

A local currency project in Paris

The Parisian association MoPPa "une Monnaie Pour Paris" in collaboration with "La Pêche" a local currency created in Montreuil in 2014, are going to experiment in early April 2018, this complementary local currency on five districts of eastern Paris. Initially the Parisian association will use "La Pêche" as a ticket before creating its own currency, which does not yet have a name today. It is about to launch a call for participatory financing in order to raise 135 000 € for the launch of a paper currency and 450 000 € if it is also electronic. The participation of the City of Paris remains pending for the moment.

Open source solutions to share digital tools?

Several companies now offer digital payment solutions for local currencies.

According to the Citizen's Complementary Local Currencies network, "the 'digital payment' tool must be reliable (it must not fail), secure (it must not allow fraud), and sustainable (the competence to maintain and adapt it must exist for the next 5 or 10 years).

"A good practice is to rely heavily on a well-known open-source solution (...) Developments should be documented and published in the same way as the core software. Using the same tools in many MLC projects allows for reinforcement/help/information transfer between users as well as between IT staff/managers. It also increases confidence in the system, both in the eyes of the acceptors and the regulators.

Ouishare magazine, for its part, has set out to bring the world of local currencies and the world of blockchain closer together: "Each of these movements has its own culture, its own identity and its own technology. Differences that can greatly limit the interactions between these different communities. And if we could remove these barriers, what system could we imagine ? A first meeting was held in Lyon on January 25, 2018.

15th Meeting of Local Currencies in May 2018

These meetings will take place in Riom, from May 18 to 21 with the title "Developing the power to act". The " good use of digital technology" is among the three themes on the agenda of these meetings.

Références :

Sources

Complementary local currencies go digital

The Eusko in the northern Basque country, the Sol-Violette in the Toulouse basin, the Abeille in Villeneuve-sur-Lot, the Miel in Libournais, the Héol in Brest, the Cers in Narbonne or the Pyrène in Foix. There are about forty complementary local currencies in France.

Intended to promote the local economy and local employment, these complementary local currencies are often supported by local businesses and services. These currencies (parity with the euro and without pennies) can only be used for everyday purchases, in a restricted area and in a network of businesses, companies and services committed to respecting social and ecological criteria.

The Social and Solidarity Economy (SSE) Act of 2014 gave a legal basis to complementary local currencies. Its Article 16 recognizes local currencies as payment instruments, if these instruments are issued by social and solidarity economy (SSE) companies and if these currencies respect the framework set by the monetary and financial code. For its part, the Ministry of the Economy and Finance has clarified theframework for partnerships between local currencies and local authorities.

Combined with mobile applications, digital local currencies would be more easily traceable, allowing for more accurate tracking and measuring its impact.

At present, only the local currency in Nantes was designed from the outset as a 100% digital currency. The Eusko took the plunge in the spring with the introduction of a payment card.The Normandy regional currency Normandy to be launched in March 2018 will be 100% digital.

The Basque Eusko goes digital

Eusko, the complementary local currency of the French Basque Country, created in 2013, now has 4000 regular users (individuals, SMEs or associations). 750,000 euskos are currently in circulation. Initially usable only in the form of banknotes, in early 2017 Eusko introduced a payment card. Four municipalities have joined Euskal Moneta, the structure that manages the Eusko. They wish to make and receive payments in Eusko (for certain services such as the municipal swimming pool, transport, the school canteen, the media library or parking lots).

First results for the local currency SoNantes

Launched two and a half years ago, SoNantes is still limited to a small circle.

With 7,000 transactions made by 1,650 users (177 companies and 1,473 individuals) for a total amount of 280,000 euros, the results are far from the initial objectives announced (3,000 user companies and 10,000 individuals). The majority of payments are made by individuals, especially in partner local businesses (bakeries, bars, hairdressers, etc.). In order to move up a gear, the management of the local currency, which until now has been entrusted to the Crédit municipal de Nantes, will be taken over by the SoNantaise association. However, the Crédit Municipal will manage the digital platform.

Normandy launches a regional payment method

The Normandy region will launch the first regional currency in March 2018. This one will be 100% digital.

The project had been announced by the president of the Normandy region, in June 2016. Working groups have been created bringing together social and solidarity economy actors, including the regional chamber of social and solidarity economy (Cress), communities, citizens but also associations managing existing local currencies on the territory. The Monnaie Normande association is carrying the project on behalf of the region and will be in charge of putting it into circulation. The region is financing the project: in total, it is investing 400,000 euros, including for the communication that will be necessary to launch the currency. The association expects to have 1,000 members and 100,000 units after nine months, and hopes to break even within three to four years...

A local currency project in Paris

The Parisian association MoPPa "une Monnaie Pour Paris" in collaboration with "La Pêche" a local currency created in Montreuil in 2014, are going to experiment in early April 2018, this complementary local currency on five districts of eastern Paris. Initially the Parisian association will use "La Pêche" as a ticket before creating its own currency, which does not yet have a name today. It is about to launch a call for participatory financing in order to raise 135 000 € for the launch of a paper currency and 450 000 € if it is also electronic. The participation of the City of Paris remains pending for the moment.

Open source solutions to share digital tools?

Several companies now offer digital payment solutions for local currencies.

According to the Citizen's Complementary Local Currencies network, "the 'digital payment' tool must be reliable (it must not fail), secure (it must not allow fraud), and sustainable (the competence to maintain and adapt it must exist for the next 5 or 10 years).

"A good practice is to rely heavily on a well-known open-source solution (...) Developments should be documented and published in the same way as the core software. Using the same tools in many MLC projects allows for reinforcement/help/information transfer between users as well as between IT staff/managers. It also increases confidence in the system, both in the eyes of the acceptors and the regulators.

Ouishare magazine, for its part, has set out to bring the world of local currencies and the world of blockchain closer together: "Each of these movements has its own culture, its own identity and its own technology. Differences that can greatly limit the interactions between these different communities. And if we could remove these barriers, what system could we imagine ? A first meeting was held in Lyon on January 25, 2018.

15th Meeting of Local Currencies in May 2018

These meetings will take place in Riom, from May 18 to 21 with the title "Developing the power to act". The " good use of digital technology" is among the three themes on the agenda of these meetings.

Références :

Sources

Labo Société Numérique

Labo République Française Agence nationale de cohésion des territoires
Complementary local currencies go digital