Abstract
Social currency, a vast yet uncharted domain in economic theory, represents the “dark matter” of economics. While traditional models excel in analyzing monetary transactions, they fall short in addressing the complex dynamics of social currency markets.
This paper explores approaches to extend economic and neuroeconomic analysis to social currency, focusing on its universal definition, valuation, and methods for resolving pricing ambiguities and calculating profits from such transactions. Currency, in general, is framed as a control right over the use of energy mediated through others—a principle applicable to both monetary and social currency. Social currency is conceptualized as a gratitude note, an informal obligation of reciprocity to be fulfilled in an uncertain future, with social memory and reputations functioning as decentralized ledgers to track balances.
By illuminating these hidden transactions, the research aims to integrate social currency into the broader economic framework, bridging gaps in understanding non-monetary exchanges and their influence on economic systems.
