The Real Value of Currency

The Real Value of Currency

On this planet, there exists a constellation. A constellation that protects you… safeguards your home… and feeds your family. It is known as the Eurion Constellation. You can see this constellation almost everywhere
on Earth, regardless of the time of year, or whether it is day or night. But you won’t find this constellation on
any star chart or in any astrologer’s book. Because this constellation has nothing to
do with the cosmos. I just really wanted to use that stock footage
of stars and do a cool voiceover for the intro… Yeah. The Eurion Constellation is a real thing and
I’ll get back to it in a moment, but this video is about currency. So what is currency? First and foremost, it’s a unit of exchange. That means you use it to get other stuff. Otherwise you’d be using chickens and I
dunno, wood? It’s portable. So unlike chickens and… wood, you can put
a lot of it in your pockets or wallet or bra or whatever… and it’s durable so it’s
unlikely to get damaged and lose value while in your pockets or wallet or bra. It also has to be divisible so that you can
pay exactly what is owed without rounding up and overpaying. First of probably many side notes… in order
to be divisible, they come in different denominations, the same word that used for churches and while
people do worship the stuff that’s pretty much where the similarities end. In both the Euro and the Dollar there are
seven paper notes. The Euro calls them banknotes and they are
the 5, 10, 20, 50, 100, 200, and 500. The Dollar calls them federal reserve notes
and there is the 1, 2 – that’s right, the 2, it’s not some special collector’s
item like your grandma thinks, they make new ones all the time – 5, 10, 20, 50, and 100. That’s it, there’s nothing higher than
that anymore. We used to have a 100,000 dollar bill that
was discontinued in 1934. It was only ever used to transfer money between
banks, because back in the day the only way to move large amounts of money between banks
was to put it in a safe on the back of a horse and… good luck! When it comes to coins, the Euro has eight. The 2 euro, 1 euro, 50 cent, 20 cent, 10 cent,
5 cent, 2 cent and 1 cent. Many countries either have or will soon phase
out their 1 and 2 cent pieces because… well I’ll get to that in a second. The dollar has the dollar coin, half dollar,
quarter, dime, nickel, and penny – the bane of many a youtuber. The American penny is made of copper covered
zinc, and if you melted it down and sold the metals, you would make 1.5 cents. The Euro 1, 2, and 5 cents are all made of
copper covered steel and depending on the country costs around 5.5 cents to make, which
is why many countries have or are trying to ditch the 1 and 2 and just keep the 5 cent. The American nickel isn’t doing too well
either, and costs 6.3 cents to make. So when it comes to the lower denominations
for almost all currencies, they cost more to make than they have in value. Which brings us to the last definition of
currency, and one which will make many economists angry at me for saying, it is a store of value. The reason that will make economists angry
is that they will say money is a store of value, and currency is just a representation
of value. I’ll get to why I personally disagree with
that distinction later, but back in the day, our money, if it wasn’t just flat out made
of gold or silver, at least had a real value of gold or silver attached to it. In the United States we started off on the
Silver Standard, a dollar being defined as 24.056g of Silver. In 1900, we switched to the Gold Standard,
redefining the dollar as 1.505g of gold. You could walk into a bank and get that equal
value in gold in exchange it even said so on the dollar. But that really kind of holds the currency
back, you aren’t going to have many more dollars in circulation unless you invade somewhere
and come across a bunch of new gold. So combined with the fact that many European
countries had already done so, in 1971 the United States likewise abandoned the Gold
Standard and let the dollar become free-floating Fiat Currency, which just means that its value
is backed by the government which issued it and nothing else. So how much is a dollar worth? It’s not worth anything, it’s worth a
dollar. It’s worth slightly more than a bag of skittles
or like a third of a gallon of gas. It’s not pegged to anything like gold or
silver, but you can still go buy gold and silver with your money or currency which… don’t… but again I’ll get to why I think
that later. But since its value is backed by the government
it is also protected by the government. In order to protect that value, you have to
protect it against counterfeit. Now I’m not going to go through every anti
counterfeiting measure like the little strip or the watermark or whatever, because everyone
knows about those and they’re boring. You don’t come here because you wanna be
told old stuff, you wanna know new stuff. So let’s talk about some that you probably
don’t know. Here’s a favorite among lots of people who
like to ruin movies. What’s wrong with this scene? Absolutely nothing is wrong with this scene
actually. I don’t know where this rumor came about
money burns some different color, but it doesn’t. Defacing or destroying US currency is illegal,
and since I’d rather get in trouble for copyright than for burning money, here’s
someone else’s video where they burn money. See? It burns the normal fire color. There’s nothing special about it, it’s
made of cotton and linen, it actually isn’t even paper. But it’s again illegal for people to counterfeit
money, even in the movies. So whenever you see money in a movie, it’s
real, it has to be, by law. I mean, they’re not going to burn money
but whenever you see it in a briefcase or whatever, that’s real money, at least the
top layer anyway. That blew my mind when I found that out. But here’s another one, in my intro you
saw me put a dollar bill in my scanner. You shouldn’t do that, or any of the other
things in my intros, but on top of that, you CAN’T do it. Your scanner or copy machine simply won’t
do it. Because of the Eurion Constellation. It was introduced in 1996 and it’s on almost
every paper currency around the world. Where is it on the 20? Oh, it’s all of the zeros from those random
20s everywhere. Here it is on the pound, and the euro… and
you probably never even noticed it. The moment your scanner or copier detects
that constellation, it will stop. That’s a legally required to be hardwired
into the machine, you simply can’t do it. How cool is that?! So now let’s talk about how different currencies
work together. I know you just rolled your eyes, I promise
it’s not as difficult as you think or as complicated as certain people want you to
believe. To start off, let’s use a made up currency,
let’s call it the Ferret. And you want to go on vacation to some lame
developing country, once you get there, you have to convert your money into the local
currency, the Turtle. Right now, one Ferret is worth… I dunno… 360 Turtles. It’s like pesos okay, it’s a really low
value currency. But, now that you have brought more value
into the country, each individual turtle is worth more. So the next person who wants to come visit
will trade their one Ferret for 357 Turtles. Then someone from here goes back and it costs
355 Turtles for 1 Ferret, which devalues the Turtle *against the* Ferret. So for the next person it takes 356 et cetera
et cetera. But this is what those financial experts on
the news mean when they say the dollar lost value against the euro today. They mean that value has transferred between
two currencies, making one more valuable or “stronger” than the other. Which is why it’s possible to lose value
against one currency, but still gain value against another. But what do they mean when they say that China
is a currency manipulator? Well now let’s take a look at the real world. As you should know, the United States has
a trade deficit with China, which means that we send money to China in exchange for goods,
but get very little back. So we are introducing more value into China. Remember what happened when we exchanged a
Ferret for a Turtle? The value of the Turtle went up against the
Ferret. So the value of the… Yoo-wan? Juan? Yuan should go up with each transaction. But… it doesn’t. China keeps the value of their currency artificially
low to encourage more trade with China. China. I’m sorry… I don’t know what it is about the way he
says it, but that’s just funny. Actually I’m not sorry, I don’t take any
of that back. Anyway, this could all be avoided if we just
had some sort of universal currency, right? There’d be no more exchange rates or confusion,
it would just be simple. There’s actually no catch here I kinda do
mean that. Prime example is the Euro. The Euro is the universal currency of an entire
continent. When I was a kid there were francs, deutschmarks…
francs again… kroners? There were a lot of currencies is what I’m
saying. But they all standardized and converted to
the Euro in 2002. That is the best practical example of a universal
currency today, and by 2023 the African continent is set to adopt their own universal currency
called the Afro. I really, really wish I was making that up,
I mean what a horrible name… what’s next, the Amero? I was… kind of kidding. But that one’s pretty unlikely because people
love themselves some dollars. Many currencies around the world, instead
of pegging their value to gold or silver, peg it to the dollar or the euro, or other
top shelf currencies, because they are relatively stable. But what about those electronic universal
currencies, like bitcoin? How does that work? Just like every other currency. Every time you buy bitcoins, you are increasing
the value of all bitcoins. When bitcoin first started in 2009, it was
basically worthless. In March 2010, someone tried to sell 10,000
BTC for $50, and nobody bought it. A month later, 1 BTC was valued at 0.003 dollars. That’s a third of a penny. Today? Each bitcoin is worth $2,669. Which means if you could go back in time and
buy that guy’s 10,000 for 50 bucks, you’d now be sitting on well over 26 million. The only real difference between bitcoin and
other currencies is that it exists digitally rather than physically. It’s worth noting that the vast majority
of “real” currencies like dollars and euros also only exist digitally but that’s
a different story for a different time. You can’t go into a bank and get bitcoin
banknotes. It only exists in the ether. So how does it work? First, you need what they call a wallet, again,
it’s electronic… basically a fancy online bank account. Then, you have to buy bitcoin from someone. You are exchanging your dollars for bitcoins,
just like you would any other currency. So now, they can go take your dollars and
spend them wherever, whereas you can really only use your bitcoins at shady online stores
and dark web services, at least for now. Every time there is a bitcoin transaction,
you are announcing to the secure bitcoin network all of the information regarding that trade. Which is then kept on several decentralized
ledgers, which are then combined to make the main ledger. I know that sounds complicated, but it’s
really not though. There’s no central authority like a government
or a bank, the people who keep these ledgers or “blockchains” are just other bitcoin
users, known as miners. Every time a user’s ledger is added to the
main ledger, that user is rewarded with 12.5 bitcoins. So… a lot of money. Which is why people volunteer their computing
power to try and mine bitcoins. I wouldn’t bother though, because of computing
power required to work the cryptography is more than most of us can afford. The cryptography is hella complicated, and
while I did take a few classes in crypto because I thought that’s what I wanted to do in
the army I… *I don’t have time to explain why*. Anyway, every time several hundred thousand
ledgers are added, the reward gets cut in half, it started at 50 bitcoins and the last
whole bitcoin reward will likely be mined in the year 2140, and there is a fixed amount
of bitcoins in existence, unlike other currencies. But just like other fiat currencies, bitcoin
only has value because people think it has value. If people didn’t want to accept bitcoins
as payment and people didn’t want to exchange their other currency for bitcoins, they would
essentially become worthless. Or, since there are no physical bitcoins,
if there happened to be a solar flare that wiped out all electronics… or the zombie
apocalypse were to occur. In that case though, dollars and euros would
probably become pretty worthless too. So what would the currency be if society collapsed? Many people might say gold and silver. Because unlike all those fake fiat currencies,
gold and silver is real money with intrinsic value. Is it though? And does it? Aside from some very recent electronic and
space flight applications, gold and silver is pretty intrinsically worthless. For well over 99% of human history, gold and
silver was only valuable for jewelry because it was shiny. It’s only valuable because it’s nice to
look at and so people think it’s valuable. Just like any other currency really. But that won’t stop people from fear mongering
you into thinking the dollar will collapse at any moment and they you should invest in
gold and silver… by buying it from them. But they won’t actually send you the gold
or silver because that would be crazy expensive and insurance blah blah, no, instead, they’ll
send you a certificate saying that they are holding onto some gold in your name. Definitely nothing shady about that, I’m
sure that gold will come in real handy when the bombs fall. Just like bottlecaps. Oh g… okay, we probably all saw this coming
so… go on. You know my main problem with bottlecaps? Bottlecaps aren’t rare enough to be a currency
and they’re way too easy to counterfeit. One of the missions in New Vegas is to shut
down a bottling facility that’s being used to counterfeit bottle caps, but is it really
counterfeiting if they’re also real bottlecaps? Not only that but bottlecaps way 2.2 grams
apiece, there are some items in the game that cost 20,000 caps, you know how much that weighs? I do because I did the math. 97 pounds! Oh yeah sure, could you just head on down
to the grocery store for me? Off you pop! Not only that but old school pre-war money
still exists in the game, and it still has value!? Why use bottlecaps?! K I’m done. Okay so really though, what would the currency
be if everything fell apart? If we’re being honest about it, bullets,
food, and knowledge. *knowledge* Take a look at the Walking Dead…
or don’t because it’s getting kind of old… and I’m just gonna tell you about
it anyway. They don’t use money. They trade in actual goods and services, smart
people are valued, guns and bullets, food… the ability to work is the main currency really. When you really boil it down, the Walking
Dead is pure communism. Everyone just keeps working in order to benefit
themselves and the group as a whole. And whenever someone acts selfishly and tries
to be a capitalist, they’re usually killed off in some horrifying way, sometimes realizing
the err of their ways in their final moments. So the next time someone tries to tell you
to invest in some precious metal because the dollar is going to collapse at any moment,
or they tell you that international trade or the value of currency is some great mathematical
mystery, at least now, you know better. So what do you think the currency in post-apocalyptia
will be? Let me know down in the comments. And don’t forget to manipulate the value
of that subscribe button… by clicking it. And in the meantime follow me on facebook
and twitter, and join the conversation on the subreddit.

100 thoughts on “The Real Value of Currency

  1. So there has never been a US $500 bill? I guess that was a myth I always thought was true at one time.

  2. Contrary to the old proverb, (paper) money reek, I have acquaintance that works in a bank, but with high security safe. So there is no ventilation to the safe for that reason, and due to the fact that the money they keep in there are not brand new they reek due to the bacteria, skin cells etc from continuous human use – the smell is, and I quote – worse than ripe carcass left in the sun to rot.

  3. Despite being in the eurozone, most places in Czechia still use the crown (kuron) as their currency. A lot of places that take euro also dont use a fair exchange rate.

  4. Belgium & Luxembourg had a monitary union before it was cool. Dutch however weren't cool enough and didn't. So the proposed BeNeLux currency was just BeLux currency

  5. I made 3 billion dollars once in Zimbabwe by trading one USD! I felt like I was ballin! Vlog in my channel.

  6. Unlike gold, silver has real value, and its speculative value is very close to its industrial value. The applications of silver in things like catalysts and electrical conductors primarily control the price, with jewelry and currency being a minor player. The same is true to a somewhat lesser extent for platinum, which is critical for making catalysts like those in cars, as well as for other metals in the group like palladium and rhodium. Gold however has a grossly inflated price due to its primacy as the metal currency of choice. Gold certainly does have some industrial value, but it is relatively low; even though platinum group metals are far rarer than gold, far less gold is used industrially than platinum. Most gold is simply held in vaults or made into jewelry.

  7. Whaddayaknow… Aussie plastic mickey mouse currency has the "Eurion" anti copy device printed on it too.

  8. With the whole societal collapse set aside, if you look at history, gold and silver were used as valuable commodities for trade and were the most common raw material for minting coins going back into antiquity. Also don't rule out precious metals as investments.

  9. money gets it's value from people who created money and spent it into circulation and then need to work to retrieve it out of circulation.

    so when you need something but don't have money you create money and spend it into circulation on what you need THEN you have to work and produce to get that money back out of circulation, that's where money gets its value from.

  10. I’m totally with you about the caps thing. That was actually the first remotely confusing thing for me when I entered the fallout universe.

  11. Unfortunately this is the one video I’ve watched by you whereYOU DON’T KNOW BETTER. I actually hoped based on the title and the extensive research of your other videos that this was equally well done. But currently you are still indoctrinated by the money system and what gives it value. The money is in a state of declaration by our government but the money isn’t operated by our government. You didn’t touch on The Federal Reserve and how they are privately owned. You didn’t discuss that privatized banking systems run almost every countries financial institution and that the only countries we get into open warfare with anymore are the countries not yet on the Western Fiat money system. And you didn’t discuss that this elite group of private banking families make money appear out of thin air by sending bonds with fancy seals and symbols to our government that say they’re worth $50 billion(or whatever amount they want) and so the government prints the cash issued by the bond and then gives that money to the Federal Reserve(which is not subject to US laws) to distribute through the banking system. There’s no system of control for The Federal Reserve or printing allowance, they can do what they want without oversight. There’s some particularly disturbing things Alan Greenspan said about how the financial institution wasn’t subject to government influence. Our money system and our entire financial debt that we are always hearing about is 100% artificial.
    I understand why you feel the way you do about Gold and Silver, but as commodities they are actually stable in terms of worth establishment for a currency. The USA implementation of a set weight to the Dollar value was a mistaken philosophy. Instead declaring the treasury holdings as a grand sum to the public and printing a currency that could be inflated or deflated by the material worth of the Gold/Silver held would have been smarter and made for a stable world currency system that had a real commodity to base that value on. There’s other more ancient reasons for why gold in precious to us, it has a direct tie to world religions and god origin tales. We are intrinsically linked to Gold through our DNA to want and desire it. And ironically in our DNA is where Gold, Silver, Platinum and other commodity metals are actually most valuable. Monoatomic mineral ingestion can promote extreme health and wellness along with cellular repair.
    But anyways, the point still is, you didn’t even touch on why we switched off the gold standard in the first place or that before we were taken off the gold standard it had been illegal to own gold in any significant quantity since the 1930’s. Or how many US citizens had their gold confiscated during the Great Depression by the government to put into the treasury. None of that stuff was mentioned. The federal reserve was already well into the subjugation of our money system before the 1978 removal of the Gold Standard, by removing it we gave the money controllers a license to print as they saw fit and further subjugate us all.
    I was hoping this video would be about the fact that money in our current system is corrupted, worthless, and in desperate need of a return to a commodity based standard and the return of a Government owned banking/financial system.

  12. If I could time travel forward to a the post apocalypse, I hope the hard currency is bullets. Fallout is fun but like you said individual caps are difficult to really transport, but they're great games anyway and you just kind of accept something has replaced paper money which is now just ancient antiques., though you could also argue everything's on a barter system since everything can be sold with caps still not catching on as the full currency (go to a store and try to barter anything for $1, we're just not at that point where anything can be useful and bought)

  13. All currency is Fiat (defined by what government, or whoever is accepting it thinks it's worth) currency. Really. Nothing has intrinsic value, only relative value.

    If someone offered me ten tons of gold for my coat while we were in a blizzard, I'd tell them to go freeze… But, in the same situation, if someone offered me a space heater, some gas, and a generator for ten tons of gold… Yeah, have fun with the gold!

    All currency is Fiat currency (we set its value ourselves!)

    Which is why it's suprising and mind-boggling, to me, that some people seem to believe that gold or silver has somehow more concrete value than say, paper or digital money! (99+% of all money is digital and has zero physical representation, btw!)

    After the zombie apocalypse, a roll of toilet paper or a bottle of vodka, let alone some antibiotics, will each probably be worth far more than it's weight in gold, eh?

  14. Also, fun fact-

    All of the gold that has ever been mined/refined/etc in all of history is less than the amount that it would take to fill up one single Olympic size swimming pool!


  15. Re: ferrets and turtles, and turtles being 'low value currency'…

    For Christ's sake, please don't make me explain why this is so super duper really so really wrong!!!

    (Ok, i will- if 360 turtles equals one ferret, then if a banana costs one ferret, it also costs 360 turtles, since one can exchange one ferret for 360 turtles, then, the currencies nhave the SAME VALUE!!! (In different nominal proportions)

    Be it 360 to one, or 200 trillion billion divided by 33 2/23 + 376.1876 x bluh meh thumd to one… They're worth the SAME AMOUNT!!!

    I think you know this. So why make a big deal about it? Really!!!

    See: purchasing power, or, 'value' in the philosophical sense…

    This is the first vid from this channel that is really disconnected from reality that I have seen… You are better than this crap!

  16. The euro is actually a good example why universal currencies won't work. It has nothing to do with the money itself, but with the politics behind it. The euro is also the main reason why Southern European countries like Greek, Italy, Span and Portugal have a hard time getting out of the recession. Meanwhile most of North Europe was out of the recession around 2013. Take iceland for example. Iceland had some major financial issues after the fall of the Iceland bank. What did Iceland do? Well they started printing money, lots of it, so they use that new money to pay for mostly infrastructure projects. This workers than had money to buy food and so employees of the supermarket also got their wage (money) and that one bank notes keeps snowballing through the economy.

    If the US prints a $1 bill, it is worth one dollar. No matter how they print, within the US that bill had the value of one dollar. However outside the US the dollar did loose value. So printing money inflates the economy, but deflates your currency compared to other currencies. It took a few years, but once the Icelandic economy no longer needed financial injections (read: government creating money), it can start taking currency out of circulation. This will start to increase the currency value again, but you have to be careful to not remove too much money at once from circulation. Now, the Icelandic Krone has again good value.

    The Southern European countries cannot perform this trick because of the euro. In 1999 the exchange rates of the national currencies of twelve European countries were fixed to each other. In The Netherlands one euro was worth 2.20371 guilders (it's a value that I will never forget the rest of my life, much like 3.14159265 (pi)) or 1.95 Deutsche Mark. I will ignore the still ongoing discussion that the wrong exchange rate was used. But also the currencies of Spain, Italy and other were fixed against the euro..

    Now, what happens when the ECB starts printing money? It will deflate the value of the euro for the Northern European countries. But because this is blocked, the Southern countries can't inject extra money into the economy. But to avoid bankruptcy of Greek and Italy, the EU/ECB had to be something. They started to create money that was injected into the economy and they also started to buy up debt. The result: Large European banks are now very week and pensions are getting into trouble because the pension firms cannot create enough dividend to balance out the deflation of the currency. Now there are two options: Premiums go up in order to cover the pension, or they lower the value of your pension. We are now in a position they do both..

    That is why the interest rate of the ECB is still at zero, but they can't hold it on zero for too much longer. If they do Northern European countries get into serious financial issues (pensions are just the tip of the iceberg), but if they raise the interest rate, debt of Southern European countries will start rising. Trump has the same issue with the FED. Every time the FED raises the interest rate, the debt of the US increases every month just a little bit harder..

    Every government has a budget. To execute this budget it gets the financial funds from parliament (Congress in the US). Simply put that Trump asked for a budget of $5. This includes interest payments, government vehicles, buildings but also the wages of government personal (police, armed forces, public school teachers, etc, etc). Let's say that that interest installment is $1 every month. This means that $4 is needed for pay for everything else. Now the FED increases the interest rate so that the installment becomes $1.25, meaning that only $3.75 is left. This is not enough as $4 is needed. The president has now two options: 1) budget cuts, 2) ask for more money. Usually it is a mix between those options. But the money that Congress gives the president (executive branch) has to come from somewhere. Usually it is borrowed money, meaning that debt has grown and you see the vicious cycles here.

    Both the FED and the ECB have some very hard choices to make, but my prediction is that the current currency system will collapse globally within 5 years. It is a bubble and at some point it will burst..

  17. Ferrets, ideal currency for the hard times, keep your food safe from vermin, carry in yer pockets for warmth.

  18. You literally approved you don't shit about what the fuck you're talkin about!! I have LITERALLY been in 100s of movies and television shows in Hollywood and can tell you WITHOUT A DOUBT that money that you see in briefcases is never real!!! It's Hollywood money… They don't even use real dollar bills! So where you got your information it's utter fucking bullshit!

  19. Binging all your videos and i finally found an intro that i was right about! I knew about the constellation

  20. The problem with the eu is having a currency union without a political union. The policy of the government is what gives the currency value. This is why you see problems in the eu.

  21. human logic "that metal looks shiney. I like that. that has value"
    I guess we aren´t so different form animals like crow after all.
    they laso like shiney things.

  22. If society collapses under the zombie apocalypses, the currency will become food, water, clothing, medical supplies, ammunition, etc. What used does gold has for survival?

  23. What's wrong in that scene is that we all just casually overlooked the fact that that Chinese guy Lau was still tied to a chair on top of the pile of money when we first saw that movie.

  24. I think you missed a lot about why people actually invest in gold or other precious metals. Although their are some people who preach it as a end of the world hedge, it’s really a currency depreciation/inflation hedge and if you listen to some “reputable” people they explain that a 5% allocation to precious metals in a long term portfolio isn’t insane. If for example you lived in a developing nation that is in too much debt and can’t raise rates due to weak economy (sounds more like USA & Eurozone right now) you would expect that a way to get rid of the debt could be currency devaluation which will wash away the debt burden. This scenario has happened many times actually most notably and of recently was the Asian Financial Crisis in the 90s. Gold is thus the optimal asset to hedge against this risk because it’s supply is pretty much fixed and so is its demand. The only thing that really effects its value is the value of the dollar which is just like most commodities since they trade on the global market in dollar denominations 98% of the time. Things like government bonds could be catastrophic to hold during a currency devaluation cause you can see your bond lose most of its value over night. So with that said i hope you do your own research I recommend maybe googling “Ray Dalio Gold” or just looking at some Reuters/Wall Street Journal/Financial Times articles on it.

  25. shitpaper, tabaco and booze,(also tools and such) i tell you! dont stack gold and silver, stack the stuff YOU need to live your life, because they will not give it to you when shtf

  26. Ha I've always wondered why people pretend gold and silver is some kind of magical material that has any more value than fiat currency, it's all in our heads no matter what.

    I believe things that maintain life, like food and water, would make for good currency. That certainly has value that isn't a product of beliefs.

  27. I wish you'd talked more about the where currency comes from. Currencies come from monetary authorities with the power to regulate its value and use. The reason we won't have a supernational currency is because throughout history currency has been issued by, and derived its value from a taxing authority. That's one of the reasons the Euro crisis is proving so intractable. As long as nation states struggle to cooperate, we will need national currencies.

  28. Gee, I'm glad (today, August '19) that I started accumulating Bitcoin at just about the same time as this video was released (though I wasn't yet a fan of the channel.) It's worth 4 or 5 times more today than it was then. It's a terrific idea (IMHO) and I hope it catches on. Alas, I'm pretty old, and might not get to use it for its intended purpose (it still has a long way to go technically).

    Bear in mind that although the autos of Daimler and Benz were invented in 1885, Ford's popularly priced Model-T didn't show up for another 23 years — during which owners of cars had to put up with the snarky remarks of the "get a horse" crowd. But the car won. That's not an anomaly. The phone quality over twisted pairs of copper wire was cleaner and more reliable than current phone service, but time marches on. My father told me that, in around 1950, he estimated that he would be set if he could make 5k/yr. Our suburban house on 1/2 acre in the outskirts of NYC cost $32k in 1958. Tell me that "there's no significant inflation." Why? Because the computer in your pocket would have cost $500 mil, so look how much you've "made". Okay. Fine, but I still like the idea of non-inflationary money. The days of objects emblazoned with the likeness of the ruler really should be coming to a close, don't you think?

  29. Actually the US dollar is the closest to an international currency as it's mostly accepted and is almost always is the currency used in international business. The euro is the closest if you look at countries that use it while the US dollar is the closest in terms of purchases and acceptance

  30. Actually that part about gold isn't entirely true. it is because it is rare and therefore valuable but also it is easy to work with making it perfect for use as currency. I'm sure other items could become used as currency depending on just what caused things to collapse but gold would be currency again.

  31. You forgot to mention that part of what makes gold and silver so valuable is that historically supply and demand rarely change making them a very stable currency.

  32. Already prepared myself for some comparison of US money to European money and how Merica is backwards and racist and don’t know nothing, but Europe is so much better and we should be more like them? Have I gotten the gist of your stance?

  33. Money is a unite of exchange that comes from nothing. How can nothing, be something, of value? Money says, love me, and only me. Ask and receive having heaven in you does not need chickens or wood.  Faith is needed with ask, and receive. Faith is what Jesus wants to see. Faith is not,  my belief system, is better than your belief system. That is like a kid saying: my father, can beat up you your father. That unite of change says punish people who don't have me. Money says: ignore the pain suffering and death of animals that are used to make me. They are needed for you to make me. Think of me meditate on me. Say we have free trade lying through your teeth. I j have hypnotized the masses do they will believe your blatant bald faced lie. Money says: I want to see Satan's dividing rejecting, condemning, character in people, so they will be incinerated, in God's light, when it shines. I purposely lied about Hell, through the church, to blind people, to this. What I talk about is not socialism. Money is still used in socialism. Money divides us. Ask and receive will do  the oppooissite to that. We will need to not gather what is, unto ourselves. That is what Lucifer did, when he was cast down. That being wanted to be cast down so that being could call, what was, his, through us. The higher the price of gold and gems, the higher the ego grows, in Satan, who is covered in gold and gems. The lie of what Satan looks like, visually, makes people to not see this.Mus;lo9ims are bowing to tat destructive condemner. That is the Abomination of Desolation, that we need to get away from, when seen standing on the earth, trying to prove, that, that being, is God. God gave us all things without a price when he made what is. God will do that again. Gods mind needs to be in our mind.  Ask, and receive cannot be local. The church worships money. Money demands a sacrifice. The Catholic church who lies about what charity is Biblically 1 Corinthians 13:4 – 8 KJV. does exactly that. Children have been routinely and systematically murdered  on schedule, in church rituals. Church leaders did that, in a relaxed  manner, as if they were preparing, dinner.

  34. Disagree about the the gold and silver, it's value is in that there as of now is a limited amount of the stuff; can't print more of it. A lot of countries who go through currency collapse end up resorting back to gold currency for trade. Usually black market, but commonly used.

  35. So I have a $100. Bill that actually states it is not actual currency and was made specifically for movie purposes. Someone actually tried to pass it at my store.

  36. Here in Brazil we say that our currency value is based on our politician's I.Q and Honesty, so it is very very low

  37. 6:00 …. now I wonder what happens, if I try to scan a photography of the real orion-constelation…

    12:00 … before you answer that question. I swear I haven't watched much further. I'd say small easy to handle stuff, like cigarettes, weedbags, bandages, probably bateries. And probably something akin to the Fallout series – not necessarily bottlecaps – but the basic idea of a water (or other real valuable resource like gasoline, or medicaments) backed currency.

    Edit: after I've seen the rest of the video – I still stand by my point. Agreed in a phase of turmoil directly after the desaster and the following decades until there is sufficcient infrastructure rebuild, currency most likely will be something like ammonition and workforce etc – and cigarettes, weedbags and other real valuable stuff. Canned food perhaps.

    But then – people on average don't like to live in such conditions. If enough people survive, they'll establish a new society sooner rather than later (one of the things I really find unrealistic in all of the Fallout series – it's decades after the bombs but no one, literally no one bothered to tidy up and give those shabby shacks a new coat of paint – even if there are paintcans everywhere. I mean seriously, who want's to live in a ramshackle slum if there is enough building material laying around to build propper housing? We had that long before the fifties…. Ok. Enough.)

    If such a society is established some form of standartisised currency will arise. Probably backed by – as said above, water, food, gasoline, electrical power or other real valuable things. It will be something hard to counterfit, easy to transport and store and durable. So the idea of the bottlecap isn't as outlandish as it seems on first glance.

    The game establishes, that the bottlecap is backed by water – at least in the New California / Nevada region. You can go in one of the larger settlements and get a fixed amount of water per bottlecap. And before the events of NewVegas it was assumed that there are no functional cap-presses around anymore and counterfitting bottlecaps without proper tools is pretty much impossible. (it's probably a bit gullible, as other way more complex stuff also still exists and works pretty well, but still)

    tl; dr Easy to carry around stuff like cigaretts or bullets for the direct aftermath phase; some form of valuable resource backed money after establishment of a new society.

  38. Technically speaking American currency doesn’t include a penny. A penny is 1/100th of a British pound sterling. 1/100th of an American dollar is a cent.

    Sorry… I’ll see myself out.

  39. I have to disagree with you when you said that gold and silver have no intrinsic value. Both minerals make really good, natural modicums of exchange. Sure, gold will lose its value compared to necessities like food and medical supplies in a FUBAR scenario, but it would also gain its value back faster than any fiat currency. Gold also has a proven track record of being more stable than any fiat currency, and is only outclassed by bonds when it comes to being a low-risk asset for those looking to save and retain value at relatively low risk. Its only real problem nowadays is its liquidity, but that stems from its strength of not relying on the infrastructures that most other assets used as a store of value do.

  40. golds value came from its ability to last. it wont rust, it wont decay, it just stays as is forever. that's what makes it precious.

  41. I tried the eurion constellation thing and my printer printed a bill looks pretty rilistic to almost fooled friend untill he touch it

  42. In Robert Heinlein's "Stranger In A Strange Land", the Martian, Valentine Michael Smith, goes into an orgasmic coma when he finally groks (understands) how money works….

  43. Hey, I like your videos but please do some more research on the economic implications of single currency like the Euro. Worldwide this would be a really bad idea because the role of floating currencies is absolutely necessary to balance international trade. Eliminating this is kind of one of the fundamental problems of the euro by impoverishing the southern nations

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