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A circular currency for a circle economy

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Updated for OHM2013, july 2013

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A circular currency for a circle economy

  1. 1. circulaire currency voor een circulaire economie a circulaire currency for a circular economy
  2. 2. 2 Who we are ● Barry Voeten ● 40 ● Information science ● Designer Kleureneconomie ● Teacher IT
  3. 3. 3 In Short ● Lineair economics ● Circular economics ● Paradigms of linear and circular economics ● Paradigms biology ● Design errors linear economics ● Kleureneconomie ● Questions ● Exercise “Which Colour is it?” ● World Café “Which shift does this colour elicit?”
  4. 4. 4 Linear economics Uit: “The story of stuff”
  5. 5. 5 Linear economy is a tapeworm Design Error!
  6. 6. 6 Money and produce go in opposite directions
  7. 7. 7 Linear economics ● Material shortage ● Waste surplus ● Recycling not a built-in feature ● Need to buy a new product
  8. 8. 8 Cycle?
  9. 9. 9 Circular economics
  10. 10. 10 Mud Jeans
  11. 11. 11 Circular economics ● Optimal production and reduction ● Infinate recyclability ● Production and reduction for minimal energy cost ● Biomimicry
  12. 12. 12 Linear / Euro economy Circular economy Depletion Resilionce Possesion Use / Responsibility Waste Cycle Euro Euro Max profit Keep balance Competition Cooperation Large Scale Small Networks Darwin Sahtouris Paradigms
  13. 13. 13 Trapped in the economic web
  14. 14. 14 A circular business in a linear economy ● Required to grow in order to pay back loan / interest ● Supplyers and resellers are also required to grow ● Needs to be balanced financially ● Compete on a market where the lowest price wins Hopping on 2 thoughts economy or ecology
  15. 15. 15 Myth ● Economy is competition. Just like nature.
  16. 16. 16 Paradigma's in biology ● Charles Darwin ● 1859 ● Life is an endless competition for scarce resources ● Elisabet Sahtouris ● 2005 ● Life is continuing self- creation
  17. 17. 17 Conclusions part 1 ● We need a circular economy ● The linear system is not designed to support circularity ● Use euro -> money drain ● Circular economy is part of a new paradigm ● This new paradigm is also found in biology ● Economy = Darwinism : short-sighted. Why is there a money drain?
  18. 18. 27 November 2010 18 Design Error 1 Creation of Money
  19. 19. 19 Money is a debt
  20. 20. 27 November 2010 20 All Money is born as a debt Principle of money creation ● Example: ● Mortgage € 100.000.- ● Money in tell € 5.000.- ● New money: € 95.000.- ● Interest 1st year: € 5.000.- ● €100.000 × (1+0.05)^20= € 265.329,77
  21. 21. 27 November 2010 21 When is the interest money created? ● Money is a debt ● Debt → interest ● The blue money is never being created ● Pay interest = fetch money from newly created debt ● Someone will be screwed.
  22. 22. 27 November 2010 22 Fiat-money ● Fiat = approval ● State fiats private bank (FEB, ECB, DNB) to create money ● And borrows it ● State pays interest to private bank ● Since Babilonia ● Companies fill pockets ● States are broke
  23. 23. 23 No definition of Monetary Unit
  24. 24. 27 November 2010 24 Value of money
  25. 25. 25 “Free” market / euro-economy ● Money creation with interest ● Competition ● Forced growth ● Cheapest possible production ● Definition of money. What's money worth? ● Stock markets ● Consumer confidence
  26. 26. 26 Kleureneconomie ● Attempt to set Economy = Ecology ● Distinguish energy, material and waste in 3 dimensions : R G B Red = Energy Green = Material within its cycle Blue = Material lost from its cycle
  27. 27. 27 Paradigm Colour Economy ● Economy = ecology ● Defined Units of Currency ● Holistic systems approach ● Life Cycle ● Strive for balance ● Transparancy ● Responsiblity ● Local / regional ● Self organisation
  28. 28. 28 Retailer Raw Materials Supplier Producer Consumer Destructor
  29. 29. 29 Definition ● 1 red = energy in 100 gram sun flower oil = 3400 kJ ● 1 green = 100 gram material within the cycle ● 1 blue = 100 gram material lost from its cycle 1 1 1
  30. 30. 30
  31. 31. 31
  32. 32. 32
  33. 33. 33 Where to apply Kleureneconomie ● Consciousness / reclection ● Product Labeling ● investment – indexing ● Barter (b2b) ● Material exchange ● Energie swap ● Complementary currency ● Education ● Community ● Cmmercial business ● Banking ● NGO ● Governments ● …. !
  34. 34. 34 Exercise: where to put ...
  35. 35. 35 World Café “Shift by Colour” Pick a table. ● Fysical Tables Red Green Blue in the tent ● Irc.xs4all.nl – #redtable pass: red – #greentable pass – #bluetable pass: blue Which shift does this colour elicit? +- 15 minutes until ….
  36. 36. 36Which shift does this colour elicit?
  37. 37. 37 Which shift does “Red” elicit?
  38. 38. 38 Which shift does “Green” elicit?
  39. 39. 39 Which shift does “Blue” elicit?
  40. 40. 40 Stichting Kleureneconomie ● Founded 2003 ● Bookds: ● Een evenwichtige Economie (2006) ● Colourcash (2010) ● kleureneconomie.nl ● Everything copyleft / Creative Commons ● Workshops ● Courses ● Custom Projects
  41. 41. 41 Social Media @kleureneconomie Omgekeerde economie (groep)

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