Design principles for sustainable community currency projects

Abstract

Community currencies (CCs) are alternative forms of money usually issued and managed by citizens, NGOs and companies as well as local public administrations. Used to trade goods and services in limited territories or among a certain community, CCs are composed of symbolic, cultural, and social dimensions and fully immersed in particular economic and institutional contexts. Despite the increasing adoption of CCs, the discussion on guiding principles and values to address their purposes, particularly in relation to environmental sustainability issues is still scarce in the literature. Given this gap, this paper relies on the following research question: what are the design principles to be considered for community currency projects oriented to sustainable development goals? We follow the design science research paradigms to describe the design principles of a CC project. We analyze the institutional and economic context in which they are implemented, the goals for what they were created, the processes and mechanisms to rely upon their operation, and how they are evaluated according to their specific goals and to their implications to the sustainable development goals. It is important to emphasize that in this article we focus on improving the understanding of CC projects and what should be considered in their evaluation, however not to the extent on how they should be implemented. The design principles framework presented in this paper specifies guidelines to discuss principles to be considered within a range of different possibilities of diversified CC implementation strategies.