We believe that by creating a local currency FreeBank can absorb the role of a Local Exchange Transaction System (LETS). In recent years LETS have become increasingly popular in meeting local currency needs, however, FreeBank is far more capable than any LETS. Important distinctions between FreeBank and the LETS concept include the following:
* FreeBank provides interest free financing. FreeBank currency never bares interest because peer-to-peer lending seamlessly integrates into the community exchange.
* FreeBank can be used as a foreign exchange currency without bleed from your community because its main function is to maintain a balanced (foreign) trade account.
* FreeBank makes you the sovereign owner of your data. Each FreeBank user builds their own sovereign blockchain, one exchange at a time, which in turn becomes their own sovereign and immutable data trail. The larger the FreeBank network becomes the more secure your data becomes against abuse.
Sharing builds community; conversely, sensing a lack of reciprocation destroys sharing and kills community. FreeBank makes it possible to keep track of reciprocation, rendering transparent even indirect reciprocation. It facilitates balanced sharing in a way that feels natural and flexible.
In doing this, FreeBank makes it possible for individuals to better trust each other. This enhanced trust becomes the foundation for rich, resilient community. It enhances trust by making it relatively easy to build a ‘mostly’ local digital, decentralized currency. This currency is powerful enough to allow community projects to be self-financed (insofar as the resources are derived from the local community). No need to go to outside parties and convince them of the worthiness of financing a community project.