The Cryptocurrency boom in 2017 continues in 2018. Now altcoins (Cryptocurrencies other than Bitcoin) with various features and products are created, as well as famous Cryptocurrencies such as Bitcoin and Ethereum.
Do you know the influence of this Cryptocurrency boom? Community Currencies are attracting attention again. Community Currency is a unique currency issued and available in a limited area for the purpose of revitalizing the area and the community. There are many “Community Cryptocurrencies” developed, which combine Community Currency and Cryptocurrency.
Here I introduce some successful Community Cryptocurrencies that revitalized the region/community.
3 Successful Community Cryptocurrencies
Hullcoin is a Community Cryptocurrency issued in Hull, an East Coast city in England.
It is paid as compensation for volunteer work. Originally, it was issued as a measure against poverty so that people in the town could purchase foods and services with Hullcoin even though they didn’t have money. Those who don’t have money but have time can do volunteer work, “sell” their time and acquire Hullcoin. Then they can buy something they want at a shop where they can use Hullcoin.
Since Hullcoin is Cryptocurrency, no paper money or coin is issued, you can receive Hullcoin through smartphone application. You can not only use Hullcoin, but also remit the coin to your family and friends.
In the early days of Hullcoin, it was targeted by Chinese fraud group. Hullcoin project was copied and similar coin was sold in China. Hullcoin itself didn’t suffer damage directly, but Hull city council was very surprised.
Hullcoin has another unique feature that the owner’s local tax is reduced according to its ownership. These benefits should have encouraged the increase of users.
Before Hullcoin was introduced, many local companies opposed it. But it was accepted after having many discussions, and it has been helping a lot to revitalize the region. Hullcoin is the first Community Cryptocurrency introduced in the world. There will be more and more unique Community Cryptocurrencies modeled Hullcoin in the future.
PLNcoin aims to be a substitute for Fiat Currency as a payment method in Poland. It was released in 2014 and has a long history among Cryptocurrencies.
PLNC aimed to revitalize within Poland, and they distributed 38,540,000PLN to the Cryptocurrency holders located in Poland. 2 million PLNcoin were supplied as mining rewards, which allowed the PLNcoin development team to listen to the opinions of many citizens. It was reflected in the development of PLNcoin. You can still get the coin for free if you register on the official website. Besides, if you invite your friends, you will get 100PLNC.
The big benefit is that it is completely tax free. Same as other Regional Cryptocurrencies in Poland, the purpose of it is to revitalize the region and release from Fiat Currency. Tax breaks may easily attract the general public.
PLNcoin adopted its own consensus algorithm called “scrypt,” and the block creation time is one minute. Since Bitcoin takes 10 minutes, it has been considerably shortened. Some coins generate blocks in a few seconds, but it seems to be acceptable within 1 minute. It can be used as a payment method.
They have already released wallets for Android, iOS, windows and Linux.
Auroracoin is a relatively old Cryptocurrency released in February 2014. It was created with the aim of departing from centralized economic management. The reason of its development was that the legal currency has risk of inflation by the intention of the central bank or the country government, and they wanted to use Cryptocurrency of distributed processing type.
As it is based on Litecoin, practicality is emphasized, such as faster block creation time than Bitcoin, and faster processing speed for remittance. It adopts a hybrid mechanism of PoW and PoS, so mining is also possible. Maximum Issue Limit：21,000,000
With the event “AirDrop,” which distribute Cryptocurrencies for free, 10 million Auroracoin, which was the half of the maximum issue limit, was distributed for free in one year. At the time, Iceland government expressed a negative attitude toward this coin maybe because they thought it was inconvenient for them that individuals issue currency and distribute it to all citizens for free.
There are 2 ways to participate in AirDrop. One is to access the distributor via Facebook, which is an efficient distribution method because 80% of Iceland citizens use Facebook. And the other way is to distribute it via SMS.
Auroracoin has the dedicated wallet application corresponding to various platforms such as Android, iOS, Linux and Windows, etc.
Auroracoin is Cryptocurrency for Icelandic people. It doesn’t have special features, but you can see its intention to replace the legal currency, such as being distributed to citizens for free. It is recognized by most citizens, which can be the big key for expanding its amount in circulation.
Whether the unique Community Cryptocurrency will be established or not is affected by the convenience for local people, rather than the excellence of the coin itself. Tax measures such as local tax relief will encourage the establishment of people’s use of the currency.
The processing speed is also an important key to be a payment method, so regular upgrades and improvement of the users’ convenience will lead to further expansion of the Community Cryptocurrency.