Falling Money Silhouette PNG Transparent Images

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Uploaded on on Sep 5, 2021


Money is anything or verifiable record that is commonly accepted as payment for goods and services and repayment of debts, such as taxes, in a certain country or socio-economic context. Money is used as a medium of exchange, a unit of account, a store of value, and a deferred payment standard, among other things. Money can be defined as something that accomplishes these functions or as a verified record.

Money began as a commodity-based phenomenon in developing markets, but today’s money systems are virtually exclusively based on fiat money. Fiat money, like any check or note of debt, has no practical value as a tangible item. Its value is determined by a government’s recognition of it as legal currency, which implies it must be accepted as payment for “all debts, public and private,” inside the country’s boundaries. Counterfeit money has the potential to devalue real cash.

Depending on the term employed, a country’s money supply consists of currency (banknotes and coins) and one or more types of bank money (the balances held in checking accounts, savings accounts, and other types of bank accounts). Bank money, which is solely made up of records (mostly computerized in modern banking), accounts for the great bulk of broad money in industrialized nations.

Although no proof of civilization or economy based entirely on barter exists, barter-like systems have been used for at least 100,000 years. Non-monetary civilizations, on the other hand, were primarily based on the notions of the gift economy and debt. When bartering did occur, it was virtually often between complete strangers or potential enemies.


Many cultures across the world eventually embraced commodity money. The Mesopotamian shekel was a monetary unit based on the weight of 160 grains of barley. The term was initially used in Mesopotamia around 3000 BC. Shell money ” mostly cowry shells ” was used by cultures in the Americas, Asia, Africa, and Australia (Cypraea moneta L. or C. annulus L.). According to Herodotus, the Lydians were the first people to use gold and silver currency. The first imprinted coins, according to modern scholars, were made between 650 and 600 BC.

The representative money system eventually supplanted the commodity money system. This occurred as a result of gold and silver merchants or banks providing their depository receipts, which could be redeemed for the commodity money they had put. These receipts became widely accepted as a form of payment and were even used as currency. In China, the Song dynasty was the first to use paper money or banknotes. Promissory notes, which had been in use since the 7th century, gave rise to these “jiaozi” currencies. They did not, however, completely replace commodity money and were used in conjunction with coins. The accounts of travelers such as Marco Polo and William of Rubruck helped to establish paper money in Europe in the 13th century.

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