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RE: "Where Does The Money Come From?" 💰💰💰 What Non-Crypto People Can Teach Us About 'The Value Of Steem'

in #money7 years ago

Money was invented to make exchanges more comfortable, not needing to take your herd of donkeys to the market anymore in order to get some food in return.

It seems there aren't many people who understand this. Money is a tool that was invented to make trading more efficient, and it's an exceptionally useful invention.

Without money, if you have a donkey and want a loaf of bread, you need to find someone who has a loaf of bread and wants a donkey. That might be nearly impossible, and even if you do find that perfect trading partner, you're going to have problems making change. Your donkey is worth much more than a loaf of bread, so how do you make that exchange? You can't.

So you then find someone who's willing to give you rice in exchange for your donkey. You take that rice, not because you want the rice, but because you know that rice is more marketable than your donkey, plus you can make change with your rice. Now, you can take your rice and exchange some of it for a loaf of bread.

In this example, rice just became a form of currency.

p.s. We miss you Marly! See ya in Lisbon!

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You perfectly filled in the gap and explained what I didn't. Nice adding Jordan, thank you!!

I miss you, too - and can't wait to meet you two again in Portugal :-)
Have you seen that we'll be at a Snooker bar the first evening? That totally reminded me of our unforgettable beer pong night in Vegas! To be continued...

Haha totally. Should be fun!