The Comcoin™ Exchange is a mobile tool for exchanging outputs of Community Projects you help to fund. Outputs maybe anything from food, clean water, handmade gifts, useful tools and sustainable energy devices, to project workshops and distribution services.
In communities where the cost of internet and text messages could otherwise hinder a members ability to participate, they maybe exchanged for internet time, text messages or mobile minutes.
The initial exchange will be built using Social Trade Organizations (STRO) online and mobile – SMS enabled – banking software, Cyclos. For long term accounting needs it will be backed – perhaps entirely managed – through the blockchain.
Note: We do not intend to include a demurrage system or – other than between projects in the same community – exchange back to cash.
How It Works
The demand and supply chain for Comcoins™ is created through the returns given by Community Projects that you fund. Rather than sending you a gift or offering a cash return, for every $10 received by a project, they are required to make $10 worth of product and services available for Comcoins™ in the Comcoin™ Exchange.
Citizen Journalists who receive Comcoins™ for promoting the project and sharing ideas for the project/s can then use the exchange to purchase local goods.
Projects have up to 5 years to provide the return. They know that the faster Citizen Journalists can use their Comcoins™, the more likely they are to continue supporting the project, so are encouraged to 'supply' as fast as they can.
To help maintain the demand and supply chain, Community Projects may support each other by agreeing to accept Comcoins™ for cash.
To build demand and supply, Comcoins™ received by projects can be reinvested by using them to pay workers, or purchase goods and services from within their community Comcoin™ Exchange, so helping their economy to grow. The more they do so, the higher their Impact Indicator, which will be shared on their Community Microsite. Communities with higher indicators are more likely to attract funds.
Risk: Spoofing & Abuse
Spoofing refers to the exchange of Comcoins™ without any real transaction of commodities or services taking place. The potential risk of spoofing in – or abuse of – the Comcoin™ Exchange is minimised because of the values shared by its participants: Community, Equal Opportunity and Authenticity.
The value created through the circulation of Comcoins™ in the exchange will reflect those of projects promoted and discussed on CM.