Money Talks: What Money Is and How It Works

Cryptocurrencies have demonstrated their value in recent years. Bitcoin, for instance, is worth over $16,000 today, and there are currently over 19,000,000 Bitcoins in circulation.

But apart from the declared price of cryptocurrencies, those invested in them appear to rely on a perceived “inherent value” of cryptocurrencies, something that fiat currency — like the US dollar — generally does not have. This, among other things, has sparked debates over whether cryptocurrencies are better than “real” money and whether they are the future of finance.

In this episode, Dylan gets to the heart of money, laying the foundation for future discussions on cryptocurrencies and the evolving cryptocurrency market.

Show Highlights

• [04:11] The basic definition of money
• [07:05] Why money is a concept or an agreed-upon fiction
• [08:11] The definition of currency
• [08:55] The three types of money
• [12:42] How gold began as only a representative form of money, not money itself
• [16:47] The three functions of money
• [22:09] Why gold functions as a commodity

Links and Resources

• Fiscally Savage
• Fiscally Savage Tools
• Fiscally Savage on Instagram
• Fiscally Savage on Facebook
• Fiscally Savage on Twitter

Books Mentioned

• Sapiens: A Brief History of Humankind by Yuval Noah Harari
• The Jungle by Upton Sinclair