What is Currency?
What is Currency? Currency is a general system of monetary units, used in a country, for exchange of values. A currency is the basis of trade. Also, Currency can be things, digital currency, paper, and coins. Currency is an agreement of exchange between to or more people, and will be discussed below.
Things as Currency
Shell as Money was used for 10,000 years, in different parts of the world, prior to the 1900’s. The central banks and currency / coins took over the use of shells. Shell money was used as legal tender up until the mid 19th century in Africa. Shell money was used up until the 1950s in the central Africa, to pay for taxes or minor items. The Cowry Shell was the most used in India and China for trade. The Classical Chinese Character for for money is the Cowry: 貝.
Soap as Money- During and after the Mexican Revolution, soap was used as currency in Mexico. Just like clipping silver coins during Roman Times, soap was shaved off and passed along in trade.
Chocolate as Money- During pre-hispanic Mexico and during WWII, chocolates was used as currency. During pre-hispanic Mexico, the cacao beans / pods were traded for anything during the Mayan to Aztecs Periods. Chocolate bars were traded during WWII, by prisoners of war.
Tools as Money- Besides cattle and grains, in Ancient times, tools were used as currency. Hand axes and handheld stone tools used as medium of exchanges. During the Bronze age, the bronze ax was used as currency.
Tide as Money- In America, shoplifters are stealing Tide, laundry detergent, and exchanging it for cash or drugs.
Currency or Money- is what a people agree is a medium of exchange.
Digital Currency (or digital money) is a current phenom, and a good example is Bitcoin, and the Altcoins. Digital currency is an internet based medium of exchange, that has similar properties to physical currencies, but, allows for instant transactions. The transactions can be in the form of internet or physical products or services.
Currency as paper
Currency as paper (banknote) is currently the most typical. The banknote got its start in China for receipts of deposits or promissory notes. The advantages of paper currency includes: the reduced need to transport precious metals and bulky commodities.
Coins were made from copper, silver, or gold, and a good way of store of value. Mined metals could easily be weighted and formed into a standardize unit. Other text, indicate coins came from sea shells. The sea shells were copied into cheap and precious metals.