> with the only reason that it has value being a state power or arbitrary group of people (as in the case of cryptocurrency) has assigned it one... also known a

> with the only reason that it has value being a state power or arbitrary group of people (as in the case of cryptocurrency) has assigned it one... also known as fiat. While that's true, a state has much more power in "assigning" value to currency. They have the power to levy taxes on all economic activity in their territory, and the power to demand payment of those taxes in the national currency. If you have a job, do business, or make any other sort of profit in the U.S., you must pay taxes, and you must pay them in USD only - otherwise the state will throw you into jail. This means that there is always a demand for USD, no matter which other currency you use for transactions.