Cryptocurrency Breakthrough from Italy

One of the countries most injured by the coronavirus that shook the world was undoubtedly Italy. The southern Italian city of Castellino del Biferno has started to mine its own cryptocurrencies called Ducati to support the local economy during the corona virus outbreak.

The southern Italian city of Castellino del Biferno is home to 550 people.  The mayor of the city, Enrico Fratangelo, worked on money mining for 12 years before he had the opportunity to test his thoughts.  

‘We decided to start mining coins to ensure that the local economy can absorb the effects of the situation. Although this will be a small economy, there are still three or four companies open, apart from bars and pubs,’ Fratangelo explained.

The aim is to support the economy

Cryptocurrency Ducati will be based on the economic needs of citizens when distributing and basic products can be used. To avoid any confusion, 1 Ducti will be equivalent to 1 Euro. The city council received a grant of 5,500 euros from the government to print food stamps, and with the addition of their own savings, they were able to implement this solution.  

The whole process is carried out locally with watermarked paper and with particular attention to the danger of viruses.

Antonio Lannaocone, owner of the photocopy shop, said: ‘We start with watermarked paper, then we print the banknotes on one side of the paper according to the design decided by the administration. Then we laminate the paper so that it can be disinfected. Finally, we cut the banknotes.’

Every fortnight, shops will be able to hand in their Ducatis to the city council and receive an equal amount of euros.  The idea of a local currency was previously trialled in Italy in 2016. The southern Italian city of Gioiosa is home to many asylum seekers and uses a local currency, valid only in local shops. This currency, called a ‘ticket’, helps to protect the interests of local businesses and avoid potential tensions with asylum seekers.