How to Revitalize Local Economy with Community Currency?

How to Revitalize Local Economy with Community Currency?

“Excess concentration of population and industry in the Tokyo Metropolitan area”, “depopulation”, “decline of local economy” ― now Japan is experiencing declining population, declining birthrate and aging nationwide. Especially it becomes severe issues for rural areas. Local governments are making efforts such as promoting “U-turn employment”, which is to gain employments in their hometown after graduating from schools outside, but actually it does not work well.


This time, I will explain about utilizing “Community Currency” to revitalize local economy. It may be a completely new perspective, but it can be a great way for revitalization of the local economy.



Community Currency can be Paid for Values that cannot be Measured by Legal Currency

Spotlighting the jobs that have not been evaluated in legal currency can eventually lead to regional revitalization. I will explain the point “What is work not evaluated?”


The work that is not evaluated is called “Shadow Work” or “Unpaid Work”, and the typical example is household chores. For example, suppose there is a family of three, with one small child, a husband and a wife. The husband is an office worker and the wife is a full-time housewife. In that case, the housework is generally done by the wife, and obviously no remuneration will be paid.


However, the wife wakes up early to make lunch box for her husband, does cooking, laundry and cleaning, washes dishes after dinner, puts her child to sleep, etc. If she was an office worker and achieved results with her work, she would be evaluated by her colleagues and superiors, and she would receive salary. In addition, it would be shown in visible way such as career advancement and bonus.


On the other hand, a housewife cannot get remuneration. Maybe her husband thanks her, but unfortunately, many people think “it’s nothing special that a full-time housewife does all general household chores.”


Apart from general housework, it is also a Shadow Work/Unpaid Work to take charge of a drinking party of a company. In Japan, generally a young employee of the company takes charge of the drinking party and he/she needs to choose restaurants and prepare some performances. Also, regional volunteer work can be under this category.


The legal currency is difficult to be paid or cannot be paid for these values, but you can pay in Community Currency instead. Then the number of occasions to make payment will increase and the currency will circulate well.



Characteristics of Community Currency

Community Currency (Regional Currency) is the currency created for a specific region/community, and basically available only in that region/community. For example, Ryukyu Coin of Okinawa, Japan can be used only in Okinawa prefecture, and another Community Currency called Astro Boy Currency can be used in limited areas.


But why do they create original Community Currencies? It’s because they have following advantages:

  • Local community will be revitalized.
  • Money flows in the region and circulates.


Local Community will be Revitalized

For example, suppose the Community Currency is paid for the following “Unpaid Work”:

  • Thanks for the shared gift from a neighbor
  • Thanks to the neighbors who cleaned around my house
  • Volunteer activities sponsored by the government


If the Community Currency is paid for the Unpaid Work, naturally the receiver of the currency will be glad. Suppose you have shallow relationship with your neighbors, and you do only greetings with them, but if you pass the currency to them, you will be connected to them through Community Currency trading, which leads to local community revitalization.


Money Flows in the Region and Circulates

As described above, basically, a Community Currency can be used within a specific region/community, so transactions are done and the currency circulates within the region/community.


For example, Astro Boy currency can be used in many shops including shopping streets, and it can be paid for various volunteer works. Therefore, people in the region can use Astro Boy currency for dining and shopping, etc. Of course, they can use it to show their thanks to others, then the currency will continue to circulate. This will lead to revitalization of the local economy.


This can be done because it is a Community Currency. Giving the legal currency and giving the Community Currency means different to the receivers. In other words, it will be financially difficult to pay the legal currency for the Unpaid Work every time. And if the government can pay the legal currency, it will no longer be a volunteer work but a part-time job sponsored by the government.



PEACE COIN Revitalizes Local Communities

Well, among those Community Currencies, PEACE COIN is suitable for circulating the currency, that is, to revitalize the regional economy.



PEACE COIN is the exact Cryptocurrency which was generated to evaluate “invisible work” such as Unpaid Work. As it is managed by Blockchain like Bitcoin, etc., duplication and fraud are virtually impossible.


Characteristics of PEACE COIN

Then why PEACE COIN is suitable for economic revitalization? Because it has following characteristics:

  • A message can be attached at the time of remittance
  • The more you use the coin, the more coins you will gain


For example, when sending PEACE COIN to a volunteer who has done the volunteer work hosted by the government, you can attach a message. It can be a thanks message, or you can tell them what kind of achievement this volunteer work has. Originally, the act of “payment” meant to convey thankfulness, by sharing words of appreciation like PEACE COIN does, rather than merely giving money.


Also, PEACE COIN has two aspects of mechanism that it increases as you use it (like point system) and that it decreases when stored and not be used. In other words, the usage of PEACE COIN is naturally promoted as it decreases when stored. As a result, PEACE COIN will circulate.


Circulate the Economy with PEACE COIN

Specifically, to circulate the local economy with PEACE COIN means…

  • To visualize the invisible values
  • To use PEACE COIN within the region/community
  • Local fans will increase


For example, if a local landmark has a shortage of staffs during the peak season, it is hard for the shops around it to hire more part-timers by spending advertisement expenses. In that case, they can recruit volunteers in cooperation with the local government and pay PEACE COIN to the volunteers as a reward.

Then the shortage will be filled easily, and those who earned PEACE COIN will actively use it within the area. Also, if there are volunteers who came from other districts, they might become fans of the area.


Thus, if the government leads and gathers people using PEACE COIN, economic circulation will occur in the area as well as the fans of that area will increase. Then if the economic circulation is promoted, there will be more jobs, and it will lead to preventing the declining population. So I believe it will be good for local communities.