Brief History of MoneyImage by Steve Buissinne from PixabayBitcoin is the newest means of functioning as money, an invention that uses the technological capabilities of the digital age to solve the challenge that humanity has faced since time immemorial: the movement of economic value in space and time. To understand bitcoin, you first need to understand what money is, and for that, you need to study its functions and history.The simplest way to exchange value is to exchange one valuable item or product for another. This process of direct, direct exchange is called barter, but this format works only in narrow circles with a limited range of goods and services. For example, in some hypothetical, isolated from the world community of fifteen people there is not much room for the division of labor and the market, so each individual will be able to produce essential goods and directly exchange them with a neighbor. Barter has always been present in human society and is used to this day, but today it is extremely impractical and is resorted to only in exceptional situations, as a rule, by people who are personally or fairly closely acquainted with each other.In larger and more complex economies, the individual gets the opportunity to specialize in the production of certain goods and enter into business relationships with a wide range of people. Here, personal acquaintance is no longer necessary for exchange, therefore, offsetting goods, services, and works loses its meaning. The wider the market, the more prospects for production and exchange, but the more acute is the problem of mismatching requests: for example, what you intend to offer to a certain artisan in return does not interest him. And it\u2019s not just about different tastes and needs \u2014 the problem is much deeper and is characterized by\u2026<\/p>","protected":false},"excerpt":{"rendered":"
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