Who Creates Money?
How We Manifest Money through Faith

The collective consciousness has the power to manifest money simply by sustaining a faith in its value. There is no value to money other than what society collectively thinks its worth should be.

This is the preliminary work performed by the collective mind in its ultimate capacity to distribute individual wealth.

Is Money Worth Nothing? Some people are surprised to learn that money today has no intrinsic worth. Its value isn’t tied to a store of precious metals sitting in a vault somewhere.

That outdated understanding of money stems back to the mid-20th Century when we had systems of representative currency, such as the gold standard, where money could be redeemed for something of actual value.

In those days, you could go to a bank and exchange your paper money for gold bullion or melt your coins down into silver and use them to purchase goods and services directly. In this way money was a utility, like the car you drive or the water you drink.

The gold standard has been long dead, but the public is taking awhile to catch up.

Today, the world today follows a monetary system developed first by China over a thousand years ago called fiat currency. With fiat currency, governments manifest money by agreeing to accept a certain currency from the public in satisfaction of tax obligations.

Governments then back the currency so that as a holder you can basically go out and buy domestic goods and services with the currency in the same manner as the government could, with the government backing the currency with its full faith and credit.

See the circular reasoning? We manifest money and sustain its value with nothing but a pure belief in our ability to convince others that it has value.

A Little Faith Goes a Long Way. The collective determination of a currency's value is extremely democratic and defiant of government interference. There have been times when society at large has overriden the government’s will to decredit a certain currency when society still had faith in it.

For example, in the 1990’s the Kurdish Iraqis refused to guarantee the Swiss dinar, yet the currency still kept its value there. Why did this happen? Because the people had faith in the legitimacy of the currency and in the ability of it to self sustain.

The Faith Is Boundless. In international markets, investors value a foreign currency as if it were an IOU that could be discharged with payment in physical supplies from the country(ies) circulating that currency.

The value of a currency is linked to the value associated with supplies manufactured or otherwise located in these countries, as well as the international perception of the government’s ability to protect these supplies while the “IOU” is outstanding.

It is commonly believed that a government wouldn’t manipulate information used to form these perceptions because that would have too many destructive domestic ripple effects to be worthwhile.

Conclusion. Money is the result of perceptions of consumers and investors who trust that governments can protect their borders.

Add to that the perception of merchants who trust that the government will continue to back the currency accepted in merchant business dealings so that they can use the currency later as a consumer.

Other than faith, nothing else – no gold, no silver, no future guarantee - justifies that trust.

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