Financing Our Future: Unveiling a Parallel Digital Currency System to Fund the SDGs and the Common Good

The monetary system is the indispensable missing link in the debate of sustainability, and whether the current financial system can handle these evolved needs. This book offers a new approach to financing global common goods and providing the resources necessary to achieve the SDGs by introducing a parallel electronic currency specifically designed to finance global common goods and provide the resources necessary to achieve the SDGs.

Format: Paperback / softback
Length: 221 pages
Publication date: 15 April 2022
Publisher: Springer Nature Switzerland AG

The monetary system is a crucial missing piece in the discussion of sustainability, particularly in terms of whether the current financial system can meet the evolving needs of our world. To date, the United Nations Sustainable Development Goals (SDGs) have primarily been funded through private sector investments, traditional public sector taxes and fees, or philanthropic commitments. However, with an estimated annual funding requirement of 4 to 5 trillion dollars over the next 10 to 15 years to finance our future, these conventional sources of finance are insufficient in terms of both the scale and speed of funding needed. Furthermore, the inherent instability of our financial system forces the global community to prioritize the repair and stabilization of the existing system.

The development of cryptocurrencies, powered by distributed ledger technologies (DLT), has sparked interest among central banks in exploring the potential application of this approach to independently create purchasing power. In response to this, this book presents a novel approach, introducing a parallel electronic currency specifically designed to finance global common goods and provide the resources necessary to achieve the SDGs. Furthermore, the mechanism proposed in this book would have a stabilizing effect on the existing monetary system.

The book argues that one potential way to achieve this is by granting central banks a modified monetary mandate to inject new liquidity into the system using a top-down approach. Alternatively, liquidity could be generated through corporate or community initiatives that utilize crypto- or community currencies, taking a bottom-up approach. The author suggests that by issuing a blockchain-enabled parallel electronic currency dedicated to SDG-related projects and utilizing alternative channels for monetary flow rather than the conventional banking system, we can create a more sustainable and resilient financial landscape.

In conclusion, the monetary system plays a pivotal role in the pursuit of sustainability, and the current financial system must evolve to meet the growing demands of our world. By introducing a parallel electronic currency specifically designed to finance global common goods and provide the resources necessary to achieve the SDGs, we can create a more sustainable and resilient financial landscape. This approach requires collaboration between central banks, the private sector, and the global community to address the complex challenges facing our world and ensure a brighter future for generations to come.

Weight: 397g
Dimension: 235 x 155 (mm)
ISBN-13: 9783030648282
Edition number: 1st ed. 2021