Friday, July 19, 2024

What is the difference between money and the real currency?

The currency has been defined as a circulating means of exchange, used as a trade intermediary, in order to avoid the use of a barter system. The benefits and usefulness of currencies include; to be an account unit, or standard measurement of the value. Other key factors include; Sustainability, divisibility, ease of transport and to be fungible, or capable of mutual substitution.

However, it is defined as having all the attributes above, however, with a major difference. Money is also a real value store. The paper currency is actually designed to lose value while the real money is designed both to maintain and store the value. Gold and money meet these specific requirements and have been more and more than 5,000 years old. They will be forever in demand.

Fiat Currency is not true or real money; This only has value only because of government or law regulations. The word Fiat is actually derived from the Latin word meaning “Let it be done”. Thus, Fiat money is actually established by government decrees. In America, no Fiat currency has never survived more than 40 years, since its departure in America, during the days of the continental conference, before the revolutionary war. The current Fiat system of America is the dollar system that started in 1971. It is currently in place on 41 years as well; Now it is already late on failure.

The degradation of the currencies is accomplished by the nations. By which, an additional currency of FIAT is created and added to the currency offer of the existing nation. The monetary debate is only another word of fantasy for the expansion of money. The final result of this expansion, through the efforts of the Central Bank to debase currencies, always ends with inflation. The greater inflation on society, the greatest paper. This also contributes to the real costs of goods and services, while reducing the purchasing power of the nation’s currency in real time.

How can an investor protect themselves from monetary debate and inflation prosecutions? The answer is in fact thousands of thousands of years, gold and money. These two monetary metals protect your assets from the basement of the currency and because they are real value stores. They can also protect you from the collapse of the currency, which it comes from inflation, deflation or destruction of paper currency itself, by hyperinflation.

Hold these two precious metals in a physical form outside the banking systems of the world, allows you ultimate freedom and complete control. These precious metals also become the best possible insurance for the protection of assets or coverage that money could ever buy. The main reason is due to the unique characteristics of these precious precious metals. Always allow them to systematically seek their real value, whatever all economic conditions.