US Dollar, or What is USD?

The world economy is formed under the influence of various factors, the main one being money. The most famous and popular currency is the dollar. Pointing the price of something, after the number corresponding to the cost, put the sign "$" or the abbreviation "USD". When did the first dollar appear? And what is USD? Consider right now.

A bit of history

No matter how strange it may seem, the United States, whose main currency is the dollar, is not capable of supporting or releasing it. And the world's leading monetary unit itself has a European origin.

In 1519 a medieval coin appeared, called "Thaler", which later became the progenitor of the dollar. It happened in Germany. The official year of issue of the first coin (silver USD) is considered to be 1794, and the first paper note - 1861.

It was in the middle of the 19th century that the US Federal Reserve released a currency called the dollar. To date, the US Central Bank keeps a record of USD and is responsible for its distribution.

According to the US Ministry of Finance, in free circulation in our time is about 99% of dollar bills and coins.

The meaning of the word USD

The dollar is the official state currency not only of the US, but also of other countries (El Salvador, Bermuda, Marshall Islands, etc.). In addition, the same-name money notes are used in some states, for example, in New Zealand, in Australia, in Canada.

Despite this, its designation is invariable: "USD". It was adopted in accordance with the requirements of international ISO standards. What is USD?

The abbreviation can be deciphered as the United States Dollar, in Russian this is called the US dollar.

The cost of 1 $ equals 100 cents. Coins are issued in denominations:

• 1,
• 5,
• 10,
• 25,
• 50 cents.

Paper bills are issued in nominal value:

• 1,
• 2,
• 5,
• 10,
• 20,
• 50,
• 100 dollars.

World Leader

Almost from the moment of creation, the dollar occupies a dominant position among other currencies. It is not for nothing called the world reserve monetary unit and has been supporting its rights for more than several decades.

A huge number of states, different in size and origin of corporations, and ordinary people prefer the dollar. Therefore, speaking about what the USD is, you can call it the leading monetary equivalent. Moreover, this has been going on for a long time, regardless of various events in the world economy, even those that can negatively affect its condition.

Strong competition in the last decade, the dollar was created by the EU monetary unit, called the "Euro". Today they are both widely distributed and recognized by all states of the world.