A key premise in my books in building sustainable economies, has been the premise of multiple currencies (vs. the present central, sovereign-based mono-currency system).
Venture adviser William Mougayar of Toronto has recently posted on article on what he calls “the circular economy” with his accompanying illustration shown here.
William’s article illustrates what I refer to as the “elephant in the room”. i.e. the ability to generate value within a smaller economic unit, then be paid in Multiple Currency formats, with a link to external economic units via Exchanges. A multiple currency system includes the present centralized system, so there still can be applications for sovereign currencies though central currency will no longer be essential and the only option, in generating things such as food, shelter and clothing. Variations on these systems in the form of complimentary currencies have been around for many decades (see WIR from Switzerland and LETS “Local Exchange Trading Systems”.) The big difference today is the unfolding of internet-based technologies in the creation of the Exchanges – the new “on and off ramps” in the world of multiple/digital currencies. Entrepreneurs are creating this infrastructure today, just as in the most early days of the Internet, pre-Email; pre-Google; pre-EBay; pre-Facebook. I remember first being introduced to e-mail in 1989. My response was … “why would I use that? I have a fax and a telephone.”