PancakeSwap (v2)
PancakeSwap (v2)
Money has historically been subject to the monetary regime established and governed by the underlying monetary authority. Such oversight by a centralized agent has been deemed necessary as a means of regulating (expanding/contracting) the money supply in order to preserve a high level of macroeconomic stability. Centralized monetary regimes depend on the reliability of base money, which is characterized by scarcity and non-monetary use value. Although variant and imperfect in form, base monies share some foundational truths that can be ascertained in their intended functions. These include a medium of exchange, unit of account, store of value, and a standard of deferred payment (Jevons, 1875).
There exist two main forms of base monies that have been accepted by monetary economists writ large. Both behave in a manner consistent with the aforementioned functions of money, but each exhibit contrasting properties.
