Palmas to E-Dinheiro! Clapping the Digital Evolution of a Local Social Currency

ABSTRACT

This teaching case addresses the digitization of the local social currency Palmas, issued since the beginning of the years 2000 as a paper currency by Banco Palmas, to a new hybrid model of mobile payments and mobile money, named E-Dinheiro. This is a social development and financial inclusion venture in Brazil, having already great national and international recognition. By telling the history of the community bank and some of its initiatives, this case intends to demonstrate the innovation process in a social fintech, addressing issues such as governance, platform management, information technology, business models and strategy. However, as its business model spreads to other community banks, new challenges emerge to ensure the growth and longevity of the project.

Keywords:
social currency; community bank; mobile payment; financial inclusion; information technology