Self liquidating scrip money
Its private issue again in Germany since 2003 demonstrate its acceptance and attraction for Governments to introduce digital Speed money.$Z represents money that is Tethered, Tagged and Terminating.Turnbull, Shann, Might Supplementary Tethered Currencies Reduce Financial System Risks? Cost carrying money was proposed by Gesell (1916) and supported by Fisher (1933), Keynes (1936), Suhr (1989), Buiter (2009) and Menner (2011).Private issues of self-financing self-liquidating cost carrying money described as “Stamp Scrip”, competed successfully with official gold backed currencies during the Great Depression in Europe and the US.The rapid growth and spread of private cost carrying currencies in Germany since 2003 tethered to the Euro provides evidence of its viability and acceptance.Options are identified for the issue of $Z like currencies to underwrite the stability of the financial system and/or to sustain and stimulate economies with either idiosyncratic or systemic failures.Digital self-liquidating Euros could be distributed immediately to voters by using swipe cards used by some governments for transit facilities.
Self-liquidating paper based “Stamp Scrip” privately issued in Europe and the US in the Great Depression minimises the complications and cost of money creation and/or exchange.
Self-liquidating money was called “Speed” money because it circulated faster.
The research question is to investigate how supplementary digital terminating currencies can provide a superior fallback position to Bitcoin in a financial crisis and/or provide a basis for rehabilitating distressed economies.
Greece lost the opportunity to regain monetary sovereignty because its finance Minister believed a year would be required to introduce new notes and coins.
The research question is to investigate if supplementary tethered currencies might reduce financial system risks and provide a superior fallback position to Bitcoin in a crisis?To investigate the question, a hypothetical $Z supplementary cost carrying currency is considered whose value is tethered to the retail value of kilo-watt-hours generated from benign renewable energy resources from host bioregions.