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Adventures in mutual credit

Dear Mr Bailey, I have in my possession a 'banknote' with your name on it, but am unclear as to its meaning. The words "I promise to pay the bearer on demand the sum of five pounds" are followed by the image of your signature, which makes me think it is a contract between you, the signatory, and me, the current bearer. So I write in hope that you might clarify a few questions which arise in me. 1) Which of the following types of legal instrument is this banknote? A promissory note of some 'pounds' from you to me? A bill, which unlike most bills I have used, carries the signature of the...
For those that don't know, Max Kaiser is an independent broadcaster with a thrice weekly program on Russia Today, and he appears occasionally on the BBC and elsewhere. He amplifies all the reporting on financial fraud and rages and sneers entertainingly and informatively at financial terrorists. His partiality, colourful metaphors, and defamatory outbursts make him not a very good journalist, but a master propagandist to whom the Kremlin is happy to give a platform. He's also an activist in his own right, telling the people to disbelieve the hype, rise up, and take back the financial power -...
Dear Hull, Congratulations on your courageous and historic decision to issue a new currency. In the little world of complementary currency geeks, which I inhabit, this is very big news besides which the Bristol pound pales. The last comparable initiative in Europe was in 1934 Austria; in the midst of a depression which gave succour to National Socialism, the town of Worgl issued its own currency which brought unprecedented prosperity to the town for 13 months before being pronounced illegal by far-off Vienna. A monetary museum in the town gives modest testimony to that moment of...
Bank of England seems to have gone out of their way to explain, in near comprehensible language, how money is created. This admission is a great pat on the back for Ben Dyson, who with the team at Positive Money, have been publicly pressing the issue. We have numerous quotes from bank officials mentioning in the past how money is created, but this publication represents an attempt to communicate with industry professionals and armchair economists alike, how money actually works these days, stressing that many text books are somehow wrong. If those documents are too dry for your taste...
English | Espagnol Many ecovillages are struggling to live the dream because they have yet to escape from debt and the need to pull money out of the global economy to meet their needs. Few of them are creating the things they need to live, so the majority of ecovillages are drawn into the main stream economy to meet basic needs. Ecovillages should be cooperating in wealth creation and replacing scarce money in their economic relationships with abundant trust. I have been made an ecovillage ambassador to enable me to explore the ecovillage economy more deeply, and ask the following...
A catastrophic chain of events is unfolding across Africa as commodity markets tumble, currencies are sliding, derivative markets are vapourising, and the effects are starting to be felt in the civilised world. European finance ministers, who only yesterday were trumpeting record stock market highs, are bracing themselves for difficult days ahead. Rumours coming out of Mali are focusing on a visit of the Chinese Ambassador to the stock exchange. Mustapha Ali, a trader in the Timbucktoo Stock Exchange, blogged this less than an hour ago: "It was an important day for the country, and...
You've probably heard of the bitcoin rollercoaster by now, and wondered what different it makes to sharers. Most of us understand that when the Federal Reserve pumps $75M per month into a stagnant economy, our hard-earned dollars lose purchasing power, and that meanwhile the supply of bitcoin is fixed; But at the end of the day, isn't our experience of money the same? Let us consider... You earn it, you hold a pool for emergencies and you spend it as you need it. Although many people's experience of dollars is slightly different - they spend them, sustain a negative pool paying interest to...
To: grants@bitcoinfoundation.org Brief overview of your proposal: Explain how your proposal furthers the Foundation’s mission to standardize, protect, and promote bitcoin. This project gives the blockchain a new use and a new constituency. We are the three largest nonprofit online complementary currency credit clearing networks in the world. CES with 30K members, hOurworld with 20K members and Community Forge with 5K members. Our members all belong to local communities such as Time banks or LETS, called exchanges which have their own mutual-credit or fiat currencies, in around 80...
The current wave of cryptocurrencies, starting with bitcoin, are designed, monetarily speaking, within a very limited paradigm. They generally have a fixed quantity, and a fixed rate of issuance determined at the start, they find their value on the free market based on pure supply and demand, they have no possibility of redemption and no backing of any sort. Participation is open to anyone who can install a wallet. Furthermore the innovation happening is not monetary innovation, but more concerns security, and attempts to address the problem of how to issue the currency fairly, whatever that...
Thanks to Michael Contardi for this question >I'm wondering about what your thoughts are about the evolution of mutual credit in light of the crypocurrency craze and whether there might be a way to bring together the advantages of both. The cryptocurrencies have a number of qualities and uses, but they actually don't bring very to the table for those who are working with local and mutual credit currencies. The whole cryptocurrency approach says that units are declared to exist, and their movement between accounts is stored in a decentralised unhackable ledger. This is in contrast to the...

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