Chapter
The History of Fiat Money
1:47:30 - 1:52:39 (05:08)
This episode discusses the origins of fiat money and how it came to replace gold-backed currency during the First World War. We learn about the Bank of England's decision to encourage its customers to turn in their gold for paper money, the cost of mining gold, and how it all led to the use of fiat money as we know it today.
Clips
The Bank of England confiscated gold from customers and forced them to use paper money during World War I, but promised to return to using gold after the war.
1:47:30 - 1:49:46 (02:15)
Summary
The Bank of England confiscated gold from customers and forced them to use paper money during World War I, but promised to return to using gold after the war. However, this never happened, leading to Britain being unable to do anything about their situation.
ChapterThe History of Fiat Money
Episode#284 – Saifedean Ammous: Bitcoin, Anarchy, and Austrian Economics
PodcastLex Fridman Podcast
The manipulation of currency through wars throughout history has been a way for individuals to play a game of money.
1:49:46 - 1:52:39 (02:53)
Summary
The manipulation of currency through wars throughout history has been a way for individuals to play a game of money. While gold is difficult to obtain, copper and government currencies are viewed as "easy money." However, altcoins and other cryptocurrencies that can be produced at a different cost from the market cost are considered "shitcoins."