Sharing communities – Community currency in the sharing economy

Abstract

For the further development and more efficient operation of the sharing economy, a fast and inexpensive peer-to-peer payment system is an essential element. The aim of this study is to outline a prototype that ensures the automation and decentralization of processes through smart contracts without blockchain technology. The model has been built based on the narrative that a community currency created through smart contracts can promote genuine practices of sharing as opposed to the profit-oriented approach that most of the currently operating sharing economy platforms have. Features of the model, such as ease of use, high-speed transactions without transaction cost are benefits that can provide a more efficient alternative to the traditional or to the cryptocurrency-based centralized sharing economy platforms.

Sustainable Local Development in Relation to Complementary Currencies on the Example of the Polish Currency Zielony

“…in the pre-pandemic period, also provide grounds for the conclusion that difficult economic periods, when lockdowns are in place or other administrative restrictions, do not affect it. The analysed complementary currency represents an alternative form of financing, but also of cooperation, providing direct interaction between partners and a form of so-called "bottom-up initiatives", which are the result of the activity of activists and organizations leading grassroots solutions for sustainable development, as written about, among others, by Andreoni (2020), Seyfang and Smith (2007) and Szemerédi and Tatay (2021). In addition, the results of the study of the complementary currency Zielony in the pre-pandemic period and its positive impact on equalized local development, including the development of the small and medium-sized enterprise sector in the region, correlate with the results of the study by Belmonte et al (2021), who, analysing the results of REC, a pilot complementary virtual currency in Barcelona, Spain, noted its positive economic impact on the local economy, in particular, increasing the activity of local stores, small and medium-sized enterprises and increasing the efficiency and impact of public spending.…”

“…There are also examples of models that disrupt the established economic structure and existing business models. Using a payment system based on complementary currencies can eliminate the transaction costs associated with traditional payment systems and financial risks, contributing to the development of the sharing economy, and can provide a solution to the deepening crises of bank money mechanisms (Szemerédi & Tatay, 2021;Andreoni, 2020;Thlon, 2013).…”