Social scientists have often studied grassroots initiatives in terms of prefiguration, which has generated important insights into the construction of alternatives to capitalism. However, the role of deconstructive processes such as the refusal to engage with capitalist logics and relations remains debated and undertheorised. This chapter brings new theoretical perspectives into conversation with theorisations of refusal in prefiguration, allowing the advancement of a novel understanding of deconstructive processes in prefigurative grassroots initiatives. Building upon a conceptualisation of grassroots initiatives as the production of social space, the chapter makes three contributions to the debate on refusal in prefiguration. First, it contends that the prefiguration of alternatives to capitalism by grassroots initiatives is inherently entangled with deconstructive processes of differentiation from capitalist cultural and sociomaterial configurations. Thus, deconstructive processes disable or weaken the influence of capitalism on prefigurative initiatives. Second, to fully and more accurately comprehend such deconstruction, scholars should rely on a conceptual repertoire encompassing refusal but also other processes such as unlearning, sacrifice, and defamiliarisation. Third, the chapter contends that such deconstructive processes may enable, if not be preconditional for prefiguration.