Money refers to a financial instrument with certain purchasing power under a certain economic environment. Money is a form of money, which has the characteristics of liquidity and substitutability. It is a financial instrument for circulation, and its main function is to exchange goods or services, and to preserve and transmit wealth.

Second, the currency type.

According to the forms and characteristics of money, money can be divided into cash, bank cards, loans and other types.

1, cash: refers to banknotes and coins circulating in real life, that is, the common form of money.

2. Bank card: refers to a card opened in a bank, which can be used to deposit and withdraw money at bank counters or ATMs.

3. Loans: refers to loans provided by banks or other financial institutions for the purchase of goods or investments.

Third, the characteristics of money.

Money has the following characteristics:

1. Liquidity means that money can circulate in the economy and can be used to buy and sell goods.

2. Substitutability: Money can be used to replace other currencies, and it can also be used to pay for goods and services.

3. Can save: Money can be used to store wealth and can also be used as an investment tool.

4. Money can be mortgaged: it means that money can be used as collateral or used to mortgage loans.

Fourth, the role of money.

1. Money can be used to circulate goods and services: it means that money can be used to pay for goods and services, thus realizing the circulation of goods and services.

2. Money can be used for saving: this means that money can be used to store wealth for future use.

3. Money can be used for investment: it means that money can be used for investment and gain investment income.

4. Money can be used as collateral: it means that money can be used as collateral to obtain loans.

Verb (abbreviation for verb) currency type

Currency can be divided into currency and foreign exchange.

1. Currency: refers to a country's currency, such as USD, EUR, JPY, etc.

2. Foreign exchange: refers to currencies circulating in the international market, such as Hong Kong dollars, Swiss francs and Singapore dollars.

Six, the circulation of money

The circulation of money includes the following steps:

1, central bank issuance: refers to the central bank issuing money in the form of printing money or electronic money.

2. Banking operation: refers to the transfer of money from the central bank to the society by banks through deposits, loans, checks and bank cards.

3. Social circulation: refers to the circulation of money in society to buy goods and services.

4. Withdrawal from the central bank: It means that money will eventually be withdrawn from the central bank to maintain the circulation of money.