The ATP Approach: Building a Regenerative Financial Ecosystem
Image Credit: Hui Guo, Toshiharu Suzuki, John L Rubinstein (2019) Structure of a bacterial ATP synthase eLife 8:e43128 https://doi.org/
Co-authors: Michaela Emch 🌱 & Selar Henderson
Imagine having a unique form of energy that fuels every action you take. That's the role ATP plays within our bodies – it is a flow of energy that keeps our cells operational.
This article illustrates how ATP's journey inside our cells mirrors the dynamic energy flow in our financial system, much like the way money circulates between people, households, and the broader economic system. As we delve into the concept of “energy as the currency of life”, it prompts us to consider how money operates as energy, flowing between individuals and communities, and raises a fundamental question:
How can we transform finance and our economy, which harness the power of money, into a regenerative force?
ATP: The Energy Currency
ATP, short for adenosine triphosphate, is often referred to as the "energy currency of life". This small but powerful molecule acts like a rechargeable cellular battery, providing the energy our cells need to perform various tasks.
ATP has different parts, like building blocks, that hold energy. When our cells require energy, ATP releases it for cellular function. ATP then “recharges” to be used again in the future. ATP fuels the intricate biochemical reactions necessary for the seamless functioning of cells.
ATP Cycle: A Catalyst for Action and Impact
ATP serves as the vital energy carrier that powers various cellular processes, keeping our cells running and helping them function properly, a lot like money enabling the exchange of goods and services. Our cells do not just use up ATP and forget about it – they recycle it. ATP is used, broken down, and then made again through a regenerative process. This cycle resembles the way money flows in our financial system and economy – we earn and borrow it, spend and transform it (such as through consumption and buying assets), and continue the cycle. Cells need to balance their use and regeneration of ATP, just like we need to balance our earning and spending.
Metaphors Unveiled
Money primarily functions as the medium people use for exchanges of items of value. However, it also has secondary functions that derive from its use as a medium of exchange: it can be a unit of account or a store of value.
Think of ATP moving around in cells like money being used for different things. In a way, ATP is shared among different cell processes, just like money circulates in an economy. Each cell is akin to an individual; a group of cells to a household or a company; and so on. Cells carefully regulate ATP flux and distribution for maximum efficiency, resource allocation, and ongoing operational function. This suggests there could be a similarly targeted distribution of money if the financial system was set up to emulate the ATP model – regenerative, in fair exchange, and allocated to where it is needed most.
Learning from ATP's Cycle to Build a Regenerative Financial System
Imagine if we could take cues from the way our cells manage energy and apply them to create a financial system that is not just sustainable, but also regenerative – replenishing itself continuously over time. The journey of ATP within our cells holds insights that can guide us toward a more balanced economic future. Here is what we can learn:
Efficient Use and Regeneration
Just like ATP is efficiently used and then regenerated within our cells, our financial system could harness sustainable resource use for optimal utilization and allocation, developing new mechanisms for continuous renewal.
Balanced Cycles
ATP's cycle of use and regeneration acts as a natural balance. Similarly, our financial system could benefit from cycles that balance consumption and revitalization. For instance, investment in ecosystem services could contribute to a more balanced economic cycle.
Interconnected Distribution
ATP's role involves quick and efficient energy transfer. This echoes the efficiency we strive for in financial transactions: embracing digital and sustainable financial technologies can lead to quicker, more efficient, and environmentally friendly transactions. It could also support greater inclusivity by making it easier to access capital in our economies.
Long-Term Sustainability
The continuous regeneration of ATP showcases the need for a financial system that is designed for the long term. Just as our cells ensure a steady supply of energy, a regenerative financial system should prioritize lasting economic growth without compromising the needs of future generations and the integrity of our environment. This suggests equitable access and availability of capital across both the local and global economy.
Adaptability and Innovation
Cells adapt and change as needed to ensure ATP's cycle remains unbroken. A successful financial system should encourage innovation and adaptability, such as incorporating different forms of capital and currency, especially in response to changing environmental and societal needs.
Cooperation and Mutual Support
In our cells, ATP collaborates with other processes to sustain life. Similarly, a regenerative financial system must foster cooperation between all sectors of the economy and society to create a mutually beneficial environment.
ATP's journey inside our cells is not just a scientific curiosity – it holds valuable lessons for how a new financial ecosystem might operate. Through the use and renewal of ATP, nature shows us that efficiency and balance matter, whether it is inside our cells or in the way we manage our money. By learning from the energy currency of life, we can shape a more sustainable and balanced economic future.