Post 1:With the changing time period, evolution of fmoney has been done to make it morereleeby to use money for making transaction throughout the world. With the evolution, there are thre ebasoc functions fo money that makes it legally acceptable, that are:
- Medium of exchange
- Store of value for future transactions
- And, unit of account.
No, if anything does not fulfill these basic function of Money, that will not be considered as the legally acceptable money in an economy.
Bitcoin is not a physical form of money as it is used digitally because it is a virtual money. Bitcoin can be used as the unit of value, it can be stored for future transactions, and it can be used as the means of exchange. Therefore, it can be considered as money. But, in some countries, it is not legally acceptable by the government, while people are not stopped to use it for their personal interest. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
Post 2: Money is defined as the medium of exchange. Coins, banknotes, and currency collectively form the money in an economy. It is the most accepted mode of payments in economic exchanges. Money is an economic unit that functions as a generally recognized medium of exchange for transactional purposes in an economy. Money is a generally accepted, recognized, and centralized medium of exchange in an economy that is used to facilitate transactional trade for goods and services.
1. Store of value
2. Unit of account
3. Medium of exchange.
No , in long run , a thing would not be able to serve as money if it does not fulfill the basic functions of money. Â Money must perform ALL THREE of these functions â€“ anything that doesn’t perform all three functions (like your credit card) is not money.
Bitcoin is a digital currency which operates free of any central control or the oversight of banks or governments. Instead it relies on peer-to-peer software and cryptography. A public ledger records all bitcoin transactions and copies are held on servers around the world. Bitcoin is a digital currency, a decentralized system that records transactions in a distributed ledger called a blockchain.
Yes , I would consider bitcoin as money because it is a cryptocurrency i.e. a form of electronic cash and it even fulfills the basic conditions of money.