A medium of exchange used as a store of value or in the commercial exchange of value between persons or organisations. Historically, currencies were physical commodities that actually had the intrinsic value that they were exchanged for, but today most currencies are “fiat” currencies, which have value because of a government decree or “fiat” and because they are widely accepted. The exception is the various precious metals coins that are minted throughout the world. Those are still valued at the value of the metal which they contain. A country’s currency is measured against other currencies. These exchange rates are between all major currencies and are determined in mostly open currency markets, which run continuously. A country’s currency is similar to the shares of a company. If a company is expected to do well and make profits, then its shares will rise and vice versa. The same is true of a country’s currency. If the country is expected to do well and prosper economically, its currency will strengthen in relation to the currencies of other countries – and vice versa. In recent years, so-called crypto-currencies have emerged and seven of them, including Bitcoin, are now displayed on your software against the US dollar. The problem with these currencies is that they have no government backing and many are now banned in certain countries. Consider the chart of Bitcoin:
Here you can see that Bitcoin which was trading for just $1939 in July 2017 reached an amazing $18786 a few months later in December of the same year – only to collapse to $7246 in February 2018. In our view these crypto-currencies are very similar to pyramid schemes. You can find all the currency crosses on your software by just typing “C-“. Other crypto-currencies available in your software are Etherium, Ripple, LifeCoin, Zcash, Dash and Monero.
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