A currency is used for exchange and is a pecuniary
unit. Generally, every state has one specific currency.
The name of the currency can be similar or different.
Some currencies are stable and their value does not
change frequently. So these currencies are much more
important in the financial business and one country
can represent its currency in terms of another.
Let us go to the history of the currencies. We see
that there were several forms of money in the past.
In ancient times, different metallic coins were used
as a means of exchange such as gold, lead, silver,
etc. First time, the coinage started by the Greeks
and with the passage of time, many other countries
began to use their coins, e.g. China, Europe, India,
The name of the major currency used in Greece was
Athenian Drachma that was a coin made up with silver.
Its size was 67 grains of sliver and it was stable
currency. It was a great success of the Greeks that
their currency got recognized on the international
In the Roman states during the reign of Nero, the
currency soon lost its value and gold coins declined
by 11 percent while silver coins devalued by 14 percent.
US Dollar also devalued in the period of 1940-50.
India introduced pure gold as a currency. Septimus
Serverus reduced the Denarius from 32 grains to 26.
Then, the Roman emperor named Caracalla brought a
sliver coin “The Antoninianus” on the scene, but after
45 years, it was also rejected.
There were many demerits of these metal coins in fact.
The rich people were used to hoard the precious metals
and thus, the circulation of money affected. The copper
coins were also introduced, but lost their worth.
These currencies were selected keeping in view their
quality and weight. Their value was due to stamp and
the characteristic that people could not create their
substitute or match themselves. It was controlled
by the government under a particular standard.
After coins, paper currencies were introduced that
are still worthy all over the world. The paper currency
has a watermark and it cannot be copied. Some years
back, a few people tried to put RFID tags on the paper
and hence, prepared notes illegally, but such paper
notes were detected and banned.
In 1999, Euro was at the 2nd number with respect to
its value internationally. The most used currencies
of the present time are US Dollar, British Pound,
Japanese Yen, European currency Euro, etc. and Foreign
Exchange business is going on successfully due to
the consistency of these currencies worldwide.