How the currency works

CBER is money with energy backing. The design permits payment for energy and other goods and services. People interested only in the currency may trade it too.

Inside CBER, and the door out

Inside are CBER, the reserve, the bank, the Basic Pulse, Luxury Coin and CBER payments. The door connects CBER with other currencies, including euros. The Basic Pulse and Luxury Coin are not separate worlds.

Where coins come from

The current engine issues claims against measured energy actually admitted to the reserve. Issuance follows the existing ratio between energy and claims. The engine cannot freely print coins to hide a payment or shortage.

Renewable input first funds the missing budget for today's unspent Basic Pulse. Existing fund claims count toward that budget. Only remaining new issuance goes to the contributor as Luxury Coin. A bank decision about the target creates neither energy nor money.

What happens during payment?

You pay 3 CBER to a seller. Your balance falls by 3 and the seller's rises by 3. The reserve stays the same. The seller can pay someone else; a coin does not have to be redeemed after one purchase.

The design permits payment using both the Basic Pulse and Luxury Coin. Basic Pulse payments must stay within the available budget and real backing. Settlement to a merchant is not built yet. The current engine uses the basic fund for measured energy delivery.

From Basic Pulse to Luxury Coin

A payment from the Basic Pulse debits the payer’s available basic budget. The recipient receives that amount as Luxury Coin, free to hold, spend or trade. It does not expire at the end of the payer’s day. Existing fund claims move to the recipient: total issuance and the energy reserve stay unchanged.

What happens during energy withdrawal?

Physical delivery removes energy and the corresponding claims from the accounts. The engine first locks sufficient claims, then settles measured delivery. An uncertain meter report may pause processing until reliable final readings arrive.

Buying bread is not an energy withdrawal. The baker receives a claim; the battery does not automatically deliver its backing energy.

Backing

Reserve energy divided by outstanding claims gives available energy per coin, before execution constraints. Locked claims are not counted again as newly issued money. Delivery also depends on meters, storage and physical capability.

Energy backing does not determine the price of bread or an hour of work. Buyer and seller agree a CBER price. An exchange rate against euros is not a physical constant either.

Loss and recovery

Confirmed reserve losses are shared proportionally by claim holders, including the basic fund. The engine retires claims according to its loss rule; it does not create a negative personal recovery balance. New energy can replenish the reserve.

Energy already delivered cannot carry later losses. Timing and simultaneous withdrawal therefore remain important design questions.

Free trade and exchange rates

The design allows CBER to be bought, sold, received or held. Producing or consuming energy yourself is not required. A coin payment stays inside. Buying or selling against euros or another currency goes through the door.

Exchange transfers existing claims. It creates no energy or new CBER. A working exchange and a complete settlement specification for the door do not exist yet. The bank promises no fixed euro rate, return or guaranteed buyer.

Building ownership without debt

CBER has no debt or promises of future payment. You can buy existing ownership step by step. Each payment immediately purchases an agreed share. You have no obligation to buy the remainder later; it remains the seller’s property.

For example, you buy 10% of a home, then another 5%. You now own 15%. The remaining 85% is not your outstanding debt. Stopping further purchases does not undo the share already bought. Use, management and costs of shared ownership need separate agreements; paying for use does not itself buy ownership.

The currency payment and the ownership transfer are separate actions. The current experiment processes coin payments, but has no registry or settlement for these ownership shares yet.

What still needs work

• Purchasing power: energy backs the currency but does not automatically stabilise product prices.
• Tradability: buyers may disappear; many holders may want to sell or withdraw energy simultaneously.
• Basic funding: insufficient renewable input can leave available budgets below the target.
• Contributions: if everything funds the Basic Pulse, contributors receive no new Luxury Coin. The model must retain sufficient reasons to supply energy.
• Basic Pulse payments: recipients receive Luxury Coin. Execution, refunds and expired entitlements still need precise settlement without duplicate issuance.

The stress report tests current experimental settings. Balanced books do not prove these economic questions are solved. The core specification describes what the reference engine actually processes.