banknote
Sign in to saveA banknote or bank notealso called a bill (North American English) or simply a noteis a type of paper money that is made and distributed ("issued") by a bank of issue, payable to the bearer on demand. Banknotes were originally issued by commercial banks, which were legally required to redeem the notes for legal tender (usually gold or silver coin) when presented to the chief cashier of the originating bank. These commercial banknotes were only traded at face value in the market served by the issuing bank. Commercial banknotes have primarily been replaced by national banknotes issued by central
AI overview
A banknote is a piece of paper money issued by a bank that can be exchanged for its stated value whenever someone presents it. Originally, commercial banks issued these notes and had to exchange them for gold or silver coins, but today central banks issue the banknotes we use as currency.
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Article
17 sectionsContents
- History
- Issue of banknotes
- Materials used for banknotes
- Paper banknotes
- History of counterfeiting and security measures
- Polymer banknotes
- Other materials
- Vertical orientation
- Vending machines and banknotes
- Destruction
- Intelligent banknote neutralisation systems
- Dynamic Intelligent Currency Encryption
- Confiscation and asset forfeiture
- See also
- References
- Bibliography
- External links
A banknote or bank notealso called a bill (North American English) or simply a noteis a type of paper money that is made and distributed ("issued") by a bank of issue, payable to the bearer on demand. Banknotes were originally issued by commercial banks, which were legally required to redeem the notes for legal tender (usually gold or silver coin) when presented to the chief cashier of the originating bank. These commercial banknotes were only traded at face value in the market served by the issuing bank. Commercial banknotes have primarily been replaced by national banknotes issued by central banks or monetary authorities.
By extension, the word "banknote" is sometimes used (including by collectors) to refer more generally to paper money, but in a strict sense notes that have not been issued by banks, e.g. government notes, are not banknotes.