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Information Technology for Development

Author ORCID Identifier

Marcelo Henrique de Araujo: https://orcid.org/0000-0002-3853-9664

Eduardo H. Diniz: https://orcid.org/0000-0002-7950-9146

Adrian Kemmer Cernev: https://orcid.org/0000-0002-6300-3976

Lauro Gonzalez: https://orcid.org/0000-0001-9316-6525

Luiz Arthur Silva de Faria: https://orcid.org/0000-0001-6456-8015

Abstract

Basic income policies attracted a lot of attention from policymakers and researchers during the pandemic. Considering the evidence of these policies’ effectiveness, many believe that they are here to stay, keeping local governments prepared for new emergency crises. In this paper, we investigate the use of blockchain to improve digital payment platforms for basic income. We analyse the case of the Brazilian city of Maricá, where a basic income program created by the local government for the most vulnerable residents is paid in Mumbucas – a local currency accepted only within the city. With more than 70,000 Mumbuca users in a city of 200,000 inhabitants, the initiative in Maricá has become one of the world’s largest regional basic income programmes. We adopt the design science research (DSR) approach to analyse the case and propose improvements to the existing platform, considering this implementation as two entangled sub-artefacts: the public policy and the digital local currency. We conclude the case analysis by proposing alternatives for improving the artefact with a blockchain solution. This study contributes to the discussion regarding basic income, local currencies, blockchain digital platforms, and the DSR approach for producing impactful research in the ICT4D field.

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