This paper documents the rise and fall of a redeemable digital currency in a Toronto-based barter community using unique high-frequency transaction data. The observed effects of unexpected monetary events are compared with predictions from models in monetary economics. I find that a large expansion of token supply persistently increased monetized transactions without generating inflation. A subsequent reduction in redeemability did not reduce token prices or supply, but it decreased token acceptance and transactions. When redemption was fully halted, token prices still did not change and barter volume was largely unaffected, but token acceptance declined and monetized exchange dwindled. These findings are consistent only with models of money as a medium of exchange with price coordination frictions.