Token money is money made from tokens of some form, as opposed to account money. Most modern coins used in circulation are token money, as are paper notes.
Token money has a strong privacy feature in that it works as money without the intervention of any other party in each transaction between two parties. Privacy makes money safe from interference by more powerful third parties. Where property rights are not strong, privacy is required to protect assets and permit trade, and token money works well in this regime.
Read more about Token Money: Hybrid Forms, Value
Famous quotes containing the words token and/or money:
““With the gracious consent of the audience, you will be made to don the red tophat”Ma token phrase that the courts had evolved, whose true meaning was known to every schoolboy.”
—Vladimir Nabokov (1899–1977)
“Words are wise men’s counters, they do but reckon by them: but they are the money of fools.”
—Thomas Hobbes (1588–1679)