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What are the mechanics behind CRC?

This articles briefly explains the dynamics behind Circles (CRC).

Circles is built on four powerful principles that make money creation fair, efficient, and resilient. By moving money creation from centralized institutions to individuals—and by harnessing real-life trust : Circles reimagines currency.

  • Universal access & continuous issuance : Anyone can join the Circles network without gatekeepers. Once a user is onboard, their account creates tokens (CRC) continuously at a fixed rate of 1 CRC per hour.

  • Built-in fairness with demurrage : all CRC balances are reduced by 7% per year.

  • Peer-based trust : Each user’s CRC is a unique currency. When you trust someone in Gnosis App, it allows exchange.

  • Group-based trust : Group members can convert their personal CRC for group tokens, which provides the benefit of having a fully fungible currency.

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