Functions of Commercial Banks: – Primary functions include accepting deposits, granting loans, advances, cash, credit, overdraft and discounting of bills. – Secondary functions include issuing letter of credit, undertaking safe custody of valuables, providing consumer finance, educational loans, etc.

To summarize, money has taken many forms through the ages, but money consistently has three functions: store of value, unit of account, and medium of exchange.

Money facilitates lending and borrowings, because the borrowings are in the form of money and the repayment are also in the form of money. Due to general acceptability, stability of value compared to other goods, durability etc., money acts as a standard of deferred payments. Money works as a store of value.

Therefore, power indicator is not a function of money.

There is no common denomination under barter exchange to express the exchange ratios. All commodities are not of equal value and there is absence of common measure of value.

The unit-of-account costs of inflation are the costs arising from the way inflation makes money a less reliable unit of measurement. Shoe-leather costs are the increased costs of transactions caused by inflation. Menu costs are the real costs of changing listed prices.

Let’s start with the least debated function—bitcoin as a unit of account. This means the currency is used to denominate the value of commodities, services, assets and other items in a market.

So once again, Bitcoin is a great unit of account—if it’s going to win. In that case everyone should be trying to get as much as possible of it right now, with the expectation of it being very liquid in the future.

This indicates that the value of a bitcoin at that time was around $ 0,0025 per unit. But Bitcoin has surpassed values ​​above $ 19.000 USD in 2017 and is currently positioned around $ 7.400 USD per unit.

eight units

Technically, the smallest amount of Bitcoin you can hold is one Satoshi. That is one hundredth million of a whole Bitcoin, or 0.00000001 BTC.

Satoshi and Bitcoin USD Dollar Conversion Table