Special-purpose money: Complementary digital currencies and the sustainable development goals

The research project investigates the foundation of special-purpose digital currencies (SPDC) and the extent to which their infrastructure enable the creation of a complementary socio-economic system that captures and transacts value realms other than those recognised by general purpose money (GPM). Building on a systematic review of the literature on local complementary economy initiatives as well as on empirical research of international case studies, the project aims to identify the factors (e.g. governance and management), the stakeholders (e.g. communities, local authorities) and the monetary design traits (e.g. currency convertibility, currency value base) required for the development of a SPDC that would encourage sustainable production and consumption. By applying a humanities approach to the investigation of general-purpose money as an artefact generating unsustainable practices, the project will shed light on how the design of a digital special-purpose currency may promote more sustainable practices.

The research collaboration is led by Alexander Paulsson (Lund University) and includes research institutions from five countries – Lund University in Sweden, Getulio Vargas Foundation and Sao Paulo Business School in Brazil, HEC Montréal Business School in Canada, Brunel University London in the UK, and Maastricht University in The Netherlands – and involves setting up Living Labs in Brazil, Sweden, and the UK.