Digital Community Currencies and Low-Income Women: Can the Digitalization of CCs Enhance Gender Equality?

Abstract

This paper explores the potential of digital community currencies (CCs) to advance gender equality, focusing on the case of the Mumbuca digital CC in Maricá, Brazil. While digital CCs have been increasingly studied, their gendered impacts remain underexplored. The Mumbuca currency, implemented through a municipal income transfer program, primarily benefits low-income residents (most of whom are women) and is accessible via magnetic card and the E-Dinheiro app. The study examines the Mumbuca CC from both micro and macro perspectives. At the micro level, it assesses how the currency can enhance women’s financial access, autonomy, and economic participation, while also identifying barriers to inclusion. At the macro level, it considers systemic challenges, including the lack of gender-disaggregated data, the sustainability of the digital currency model, and its interaction with Brazil’s broader financial digitalization. Drawing on literature on digital financial services and limited official data, the study suggests that while the Mumbuca CC has the potential to promote gender equality, this potential is not fully realized due to the lack of data and the absence of a gender-sensitive design. The paper concludes that digital CC initiatives should be developed with a gender lens to effectively empower women and address structural inequalities in local contexts.