Money - The Origins (of Foreign Currency)

What is money?

Do you know how money came about? Watch the video and you will understand money so much better!

Without money, how would life be like? All of us would need to start planting our own vegetables because the Barter system is so inconvenient! Just imagine how difficult it is to exchange for something when someone doesn't want what you are having now. No exchange is going to happen.

So Governments created paper money as a promise by the Government to pay with the money stored by the Government. And when Governments started to form, each of them issued their own currency so that each of them had the power to control the nation's finances. This created the need for countries to have foreign exchange (Forex) to encourage transfer of goods and services.

What do you think about foreign exchange between countries? How are foreign exchange rates determined? Can you make money from foreign exchange? Share your views in the comments

For more information, about foreign exchange, stay tuned for more information.