What is meant by currency and their types?

June 7, 2020 • By

Money is more important to lead a life. We need money to purchase things like provision, and other products. The banks are available to save money, to get loans, credit, etc. Most of people have accounts in banks. There are various types of accounts in banks such as fixed deposit accounts, savings account, current accounts, etc. In previous days, people have to go for banks to send and receive money from their account to another. This type of money transaction process may take a long time. So, people have to spend a lot of time in banks. So, they may become more tired. But these days, technology has developed a lot.

People may use electronic devices such as computers, laptops, mobiles, etc. People may use the internet over these electronic devices. The internet is the medium where you can get information around the world. Among all those electronic devices, people widely use mobiles. People used to carry mobiles along with them wherever they go because mobiles are portable devices. We can have various applications in mobiles and each application is used for different purposes. The application is available to transfer money from one account to another account. Currencies are available in two types such as fiat currency and digital currency. Bitcoin is one of the most widely used digital currencies. It is possible to get a bitcoin price in usd.

bitcoin price live

Fiat currency

Fiat money is legitimate delicate whose worth is upheld by the legislature that gave it. The U.S. dollar is fiat cash, just like the euro and numerous other significant world monetary standards. This methodology contrasts from cash whose worth is supported by some physical great, for example, gold or silver, called commodity cash.

Digital currency

The currency which is available only in the digital form and it is not available in physical form is known as a digital or electronic currency. The digital money can be used as traditional currency and is used for buying products. Bitcoin is a digital currency and it can be converted into the required form of money. For example, we can convert bitcoin price in usd.