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Money surrounds us every day, but how often do we stop to consider what it actually is? From the salt-based currencies of Ancient Rome to the digital cryptocurrencies of today, the concept of value has undergone remarkable transformations throughout human history.

We dive deep into the foundations of modern monetary systems, exploring how virtually all global currencies now operate as "fiat money" - valuable only because governments declare them so. Before 1971, American dollars were backed by gold reserves, allowing anyone to theoretically exchange their paper money for precious metal. When President Nixon severed this connection, it fundamentally altered how we perceive and use money, pushing many to seek value in tangible assets like real estate.

The consequences of purely government-backed currency can be devastating when trust collapses. In post-WWI Germany, hyperinflation reached such extremes that people spent wheelbarrows of cash to buy simple groceries, with one US dollar worth an astounding 4.2 trillion German marks. This historical context helps explain why Bitcoin's finite supply of 21 million coins appeals to those seeking alternatives to potentially unlimited government-issued currency.

But does cryptocurrency represent a return to a gold standard-like system, or is it something entirely different? We examine both perspectives, weighing Bitcoin's scarcity against its intangibility during crises like power outages, when physical gold would retain value while digital assets become inaccessible.

Whether you're curious about financial history, contemplating cryptocurrency investment, or simply want to understand the money in your wallet better, this episode offers clear, practical insights into what truly gives currency its value. Subscribe for more thought-provoking discussions that help demystify the complex world of finance and empower you to make more informed decisions with your money.

Credits:
An AmeriServ Financial, Inc. Production 
Music by SchneckMind
Hosted by Drew Thomas and Jeffrey Matevish

Thanks for listening! You can find out more about AmeriServ by visiting ameriserv.com. You can also find us on Facebook, Instagram, and Twitter.

DISCLAIMER
This podcast focuses on having valuable conversations on various topics related to banking and financial health. The podcast is grounded in having open conversations with professionals and experts, with the goal of helping to take some of the mystery out of financial and related topics; as learning about financial products and services can help you make more informed financial decisions. Please keep in mind that the information contained within this podcast, and any resources available for download from our website or other resources relating to Bank Chats is not intended, and should not be understood or interpreted to be, financial advice. The hosts, guests, and production staff of Bank Chats expressly recommend that you seek advice from a trusted financial professional before making financial decisions. The hosts of Bank Chats are not attorneys, accountants, or financial advisors, and the program is simply intended as one source of information. The podcast is not a substitute for a financial professional who is aware of the facts and circumstances of your individual situation. AmeriServ Presents: Bank Chats is produced and distributed by AmeriServ Financial, Incorporated.