Money Properties (Fiduciary Currency – Gold and Silver – Cryptocurrencies): Value

Money, considered as a method of exchange must have a value in time.

Imagine for a moment that we use “Fruits or vegetables” as money, in a short time it might work, but what would happen if we wanted to save it? With the passage of time, we would realize that our savings are now rotten foods. It would not work at all. That is why we use today both fiduciary currencies, precious minerals and currently up to cryptocurrencies.

Now, in the case of fiduciary currencies, these do not tend to rot. They really are lasting. But when the central bank begins to produce a lot of money (without support, it causes them to devalue, so it is an unwise option to save if you do not have a stable economy.

In the case of minerals such as gold and silver, if you can say that they have great value over time, there is a limited amount in the world and therefore its value increases or remains.

Finally, we have the cryptocurrencies. These have great value and over time it is difficult to devalue, because it is a decentralized currency that is not issued by a banking institution, which means that its value is independent of any government or central bank, and as long as people consider it valuable it will last. .

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