In looking at today’s current reserve currency, which is the only “Money” most of us have ever known i think it may be a wise idea to examine world financial systems, keeping in mind the true durability of today’s medium of trade on the international scale compared to those of our forefathers and nation’s of yesteryear.
Keeping the idea of International Reserve Currencies these major currencies began circulating around 5 BC with the Drachma of the Greeks who were one of the dominant people’s in what we know of today as the “Middle east” prior to the emmigration of today’s inhabitants. This was replaced by the Gold Aureus and Silver Denarius of Rome through the 4th. century AD which suffered from devaluation, think inflation and deflation a predictor of today’s financial systems. This provided way for the Gold Solidus of the Byzantine Empire to dominate trade through the 6th. century. Next to take it’s place was the Arabian Dinar through the 7th. & 10th. centuries. Does that coinage sound familiar? Later in the 13th. century Florence appeared on the stage introducing the Florino which held dominance until the 15th. century bringing us to the modern age of Reserve Currencies to be summarized below.
Portugal: 1450 – 1530, 80 yrs.
Spain: 1530 – 1641, 111 yrs.
Netherlands: 1642 – 1720, 78 yrs.
France: 1720 – 1815, 95 yrs.
Britain: 1815 – 1920, 105 yrs.
United States: 1920 – Present
When looking at ancient coins we should observe a common denominator, these gold coins have the image of a Caesar, King, or Queen emblazoned on them, and this is because gold coins were minted very rarely to commemorate a leader or an event such as a period of reign. Those wanting to “Go back to a gold standard” need to keep this in mind and realize that using a “Standard” isn’t using the actual asset, but using a symbol of the asset. Through history this has only been a tactic to re venue the true asset. Doesn’t the term Revenue sound familiar? We should keep in mind a quote:
“Gold is the money of Kings, Silver is the money of Gentlemen, Barter is the money of Peasants, but debt (Paper) is the money of Slaves”!
~ Norm Franz
While we know many other specie of trade have existed this shows the life of a global currency at approximately 95 years showing the U.S. Dollar knocking on the door of 100 years and inline to step aside for the next God of the commercial realm. Whether it’s the Dinar, Franc, Pound, or Dollar, there is nothing new under the Sun/Son!