How did the idea of currency come into existence? Why do we assign money value? Today we talk about a brief history of how modern currency came about.
“If tomorrow we all decided money was worth nothing, it would be worth nothing.”
In this episode:
Early bartering for goods and services [1:00]
Complexity of determining equal worth becomes unsustainable for bartering [6:00]
Money exists based on our shared agreement on its value [9:00]
Money is an exchange of value and is required for complex markets to work correctly [15:00]
The birth of coins through precious metals stamped with the seal of the king [18:00]
Las Vegas payouts in chips and why they have value [24:00]
The Gold Standard [29:00]
Basic principles: it’s convertible, we trust its shared value [32:00]
Is money the root of all evil? [36:30]
Free market decides value [41:00]
Value of Bitcoin is based on what? [43:00]
Gambling: how do they make money? [46:00]
Getting paid and paying in cash [52:00]