Tumin (currency) facts for kids

Túmin is a special kind of local money used in a town called Espinal, in Veracruz, Mexico. Its name means "money" in the Totonac language. The Totonac people are an indigenous group living in that area.

Túmin was first created in 2010. It started as a project by students at a university in Veracruz. They wanted to find ways to help the local economy grow stronger. In Espinal, many people work for very low wages, so there isn't much regular money (pesos) going around. The students realized that people had goods and services, and others wanted them, but they needed an easier way to trade.

What is Túmin?

Túmin is a complementary currency. This means it works alongside the regular Mexican peso, not instead of it. It helps people trade goods and services more easily within their community. The Túmin bills have pictures of important figures like Emiliano Zapata and art by Diego Rivera. They show the value of the bill in both Spanish and Totonac.

How Túmin Helps the Community

The main idea behind Túmin is to support a barter economy. This is where people trade goods and services directly, instead of always using regular money. For example, you might trade a haircut for some fresh vegetables. Túmin makes these trades easier. It is accepted for many things, from health care to food like tacos and even internet cafe visits.

How Túmin Works

To join the Túmin system, you need to offer a product or service. You also declare that you want to be a member. Each new member gets 500 Túmin for free. They also receive a list of other members. This list helps them know who they can trade with using Túmin.

Members agree to charge at least 10% of the price of their goods or services in Túmin. This makes things a bit cheaper for buyers. Since members get their first Túmin for free, it doesn't cost sellers anything extra. One Túmin is worth one Mexican peso.

The goal is to encourage people to buy from others in their community. This keeps the Túmin money circulating locally. The system works best when members buy from each other and don't just collect Túmin without spending it.

Challenges and Successes

Journalists have said that Túmin has helped make Espinal's economy more active. However, the main bank in Mexico, the Mexican National Bank, has criticized Túmin. They believe it tries to replace the Mexican peso. The bank has even taken legal action against the creators of Túmin.

The creators of Túmin say that their currency does not replace the peso. They explain that it is just a tool to help people trade and barter.

A study from 2013 looked at Túmin's impact. It found that Túmin might not have fully reached its goal of improving the community's economy in a big way. But the study also said that Túmin has been very successful in helping people work together and build stronger friendships within the community.

See also

In Spanish: Túmin (moneda) para niños