Money is a commodity, Mises insisted. It is not a promise to pay. Fiduciary media is a promise to pay. It is a promise that cannot be fulfilled at the same time to everyone who has been issued fiduciary media.
The value of a coin is based on the weight and fineness of its metal.
--Gary North, Mises on Money (Auburn, AL: Ludwig von Mises Institute, 2012), 23.Nevertheless, in defiance of all official regulations and prohibitions and fixing of prices and threats of punishment, commercial practice has always insisted that what has to be considered in valuing coins is not their face value but their value as metal. The value of a coin has always been determined, not by the image and superscription it bears nor by the proclamation of the mint and market authorities, but by its metal content.
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