The WIR franc is an electronic currency reflected in clients' trade accounts and so there is no paper money.

The intentions of starting were in increased sales, cash flow and profits for a qualified participant.

[citation needed] The credit lines are secured by members pledging assets which ensures that the currency is asset-backed.

[4] "WIR" is both an abbreviation of Wirtschaftsring and the word for "we" in German, reminding participants that the economic circle is also a community.

This feature, called demurrage was aimed at preventing hoarding while avoiding constant devaluation of the currency.