WHAT IS MONEY ?

💰 The concept of money has changed in the history for several times.

🕰 Each change requires some time but as the time passes, changes occur more and more quickly.

🐚 People used seashells, tobacco, fur, tea and even cattle as money. Over time, the function of a medium of exchange has passed to noble metal — gold and silver. This happened due to the fact that noble metal has some properties that are vital for performing the function of money. These are the properties we mean:

▪️Homogeneity.
▪️Separability.
▪️Durability.
▪️A limited supply.

🔎 Compare to what extent these qualities are represented in seashells, gold, cattle, fur or paper and whether all of them are able to perform all of the above mentioned functions well enough.

👁Governors and government haven`t invented money but they have always had most power, so they could arrogate to themselves an absolute right for producing money. First, they monopolized coin printing, and soon after paper money had been invented, they got the right to print notes. Finally, when governments failed to back all the notes with gold, modern fiat currencies appeared — the non-backed printed money which value is only provided by people`s trust in government and the government`s ability to make people use this type of money.

🏦 With the development of international trading and technologies, the non-backed printed money turned into “figures” which accountancy is hidden from society. This is why we need an intermediary to trust in order to handle and confirm the changes of our accounts.

😎In 2008 an anonymous cryptographer Satoshi Nakamoto presented a brand new currency and a payment system that does not require the control of intermediaries, and works as a well-organized open community that allows people to transfer funds directly within the community having no need to guarantee trust.