Fiat Currency After Colonial America

      Colonial America used Spanish dollars and some English coins, but it gradually went away from items of value into paper and fiat money. Banks are flawed systems that fail to be beneficial to average modern citizens because of fiat money.

     Fiat money isn’t really anything, it’s just paper. In the 18th century Spanish and Portuguese coins were the easiest items of value to exchange. People also had a tendency to write down how much money they had and exchange pieces of paper with written worth because that was even easier and often more convenient. Federal government and mercantilism turned this system into something the society at large never intended it to be.

     Fiat money isn’t anything, because the only thing it’s backed by is the government, not valuable metals. The government prints pieces of paper and says that not only will they accept that as a form of valuable trade, but that all other businesses need to accept it as something valuable as well. This is how they gained a monopoly on counterfeiting. 

     Printing money that isn’t linked to anything like gold is creating counterfeit money with no real value other than the government says it has value. If cash is not backed by anything then federalists can just make more and the value of the money in your pocket will go down. That is what we common people call inflation.