Currency is simply a medium of exchange. It allows people to store value in a symbolic way without having to carry around bulky or awkward items of actual value.
For example, many cultures throughout history have valued gold, silver, jewels, etc. But, today most of us don't carry these items around to make payments. Why not? Gold and silver are heavy. Jewels usually cannot be split up into smaller amounts. In general, these items are very impractical for use as a medium of exchange.
Instead of these historic forms of payment, people have invented the idea of stored value that is symbolic. For example, look at a U.S. Dollar or Euro. These are printed on paper and are not really worth anything other than the cost of the paper and ink. The metals used in the coins are worth far less than the face value stamped on the coin. The value is completely symbolic.
There was a time when currencies were backed by precious metals. But ever since 1971, not one major currency in the world is backed by any physical item of value. If you would like to learn more about this, just look up "fiat money" with your favorite search engine.
For example, many cultures throughout history have valued gold, silver, jewels, etc. But, today most of us don't carry these items around to make payments. Why not? Gold and silver are heavy. Jewels usually cannot be split up into smaller amounts. In general, these items are very impractical for use as a medium of exchange.
Instead of these historic forms of payment, people have invented the idea of stored value that is symbolic. For example, look at a U.S. Dollar or Euro. These are printed on paper and are not really worth anything other than the cost of the paper and ink. The metals used in the coins are worth far less than the face value stamped on the coin. The value is completely symbolic.
There was a time when currencies were backed by precious metals. But ever since 1971, not one major currency in the world is backed by any physical item of value. If you would like to learn more about this, just look up "fiat money" with your favorite search engine.
What is "virtual" currency?
Virtual currency is currency that exists in electronic form. It is not physical, such as printed paper money or minted coins.
Just as humanity has moved away from currency backed by precious metals, we are also slowly moving to completely virtual currencies. Most national currencies today are "hybrid" currencies that exist in both physical and virtual form.
If current trends continue, it won't be too long until physical currencies are not used at all. Some people are already there. Today, many people go through life without using physical money at all. They move their money around virtually, electronically, with credit cards, debit cards and even make electronic payments to pay bills and debts.
Just as humanity has moved away from currency backed by precious metals, we are also slowly moving to completely virtual currencies. Most national currencies today are "hybrid" currencies that exist in both physical and virtual form.
If current trends continue, it won't be too long until physical currencies are not used at all. Some people are already there. Today, many people go through life without using physical money at all. They move their money around virtually, electronically, with credit cards, debit cards and even make electronic payments to pay bills and debts.
What is PayBox?
PayBox operates a private virtual currency and payment processing service for that currency. We have plans to integrate our new virtual currency with real-world vendors, merchants and services.
What is it worth? How can I use it?
Like most major currencies, our currency is not backed by precious metals or any physical item of value. It is a symbolic value store and the worth of it is determined by our users, just as it is with nearly every currency used in the world today.
We plan to open up PayBox to integrate with real-world payment networks and shopping carts. We are preparing to allow merchants of all sizes to begin accepting PayBox as a form of payment. This will happen in stages and we believe the rate of acceptance PayBox receives will be largely determined by how much our users value their PayBox earnings.
We plan to open up PayBox to integrate with real-world payment networks and shopping carts. We are preparing to allow merchants of all sizes to begin accepting PayBox as a form of payment. This will happen in stages and we believe the rate of acceptance PayBox receives will be largely determined by how much our users value their PayBox earnings.
What is the exchange rate?
What is the exchange rate to U.S. Dollars, Euros, or other currencies? Once PayBox currency becomes openly exchangeable, the exchange rate will be determined by our users and "market forces". This exchange rate will be a fluid and moving thing. As with every major currency in the world, the exchange rate can't be controlled and there is no way to know what the exchange rate will be in advance...only as it happens.
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