In our recent study Perceptions and Understanding of Money — 2020, we surveyed Americans to gauge how well they understand the mechanisms of money, including phenomena such as inflation. We hope that this “Everything You Need to Know” series will help improve understanding of money-related topics and issues which could not be more relevant today.
When we launched Genesis Mining over six years ago, we set out to build the largest and most trusted crypto mining company in the industry.
Today we proudly serve over 2,000,000 customers, employ hundreds of people, and manage over a dozen large-scale data centers across our three core divisions — hosted mining which makes up 20% of our business, farm management for institutional clients, and our self-mining facilities, the biggest part of the business.
In an age of widespread misinformation, it appears that there is plenty of confusion about what gives the U.S. dollar value. According to our recent study, the Perceptions and Understanding of Money — 2020 28% of Americans believe that the U.S. dollar is backed by gold—as you may know, it’s not.
The revelation that the dollar is not backed by gold may spark a question: what, if not gold, is the dollar backed by? Posed in other terms: what gives the dollar value, exactly?
It’s tough to blame the average citizen for not knowing exactly what the Federal Reserve does (it can get complicated), but it certainly doesn’t hurt to have some idea. The Federal Reserve leadership’s opinions and actions carry real consequences for you, whether you realize it yet or not.
Most Americans may have the general sense that federal entities have some impact on their money, as they surely notice when taxes are withheld from their paycheck. Findings from our recent report, the Perceptions and Understanding of Money — 2020 indicate that knowledge of the U.S. national banking system often does not go much deeper than the “general sense” stage.