The city of Lebrija in Spain launches its cryptomonnaie to stimulate the local economy

The city of Lebrija in Spain has launched its cryptomonnaie to stimulate local small and medium enterprises affected by the coronavirus pandemic. A similar initiative was also noticed in a Swiss city in November.

A local cryptomonnaie

Lebrija, a small town in the Spanish province of Seville, has introduced a cryptographic system called Elio to support local transactions between residents and merchants. Elio is a stable corner backed by the euro in a 1:1 ratio.

According to Europa Press, the Elio cryptomoney Bitcoin Lifestyle scam will enable the Lebrija City Council to send economic aid to 593 people. Beneficiaries will receive aid between 50 and 200 euros. In addition, the city council has announced that it will also send economic aid of 400 euros to 393 local companies through its cryptomonnaie as part of the municipal recovery plan.

Commenting on the recent launch, Pepe Barroso, mayor of Lebrija, said :

«The creation of this virtual currency will ensure that the aid received is spent directly on local businesses.»

The city council has even specially designed an application to receive and spend the stablecoin Elio. Currently, beneficiaries can spend the cryptomoney until March 31 in 165 stores in the city.

WetziKoins in Switzerland

In November, a city in Switzerland launched a similar initiative based on the Tezos blockchain to support local small and medium-sized enterprises affected by the coronavirus pandemic.

The first installment of the aid, worth 230,000 euros (250,000 Swiss francs), was distributed to approximately 25,000 residents of Wetzikon in the form of an e-Coupon worth 10 Swiss francs.

Residents were able to access the aid payment via an application called „ecoo“ and convert their coupons into „WetziKoins“. Merchants could then convert the WetziKoins back into Swiss francs using the application.

Ruedi Rüfenacht, mayor of Wetzikon, said about the program :

«With ecoo, we have found a viable solution to motivate the residents of Wetzikon to store in local stores instead of just buying online. »