Say for example I owned a big city, could I make my own currency within that city just for the people that live their. Like anybody visiting their would need to get their currency exchanged weather it be $ or into my currency? Would that be illegal?
Just a random question, I cant afford to buy a city lol :-)
It is perfectly legal (at least in the United States), so long as the money you create are not coins. Its also being done right now in several places in the US, but the biggest and most successful place is in Great Barrington, Massachusetts. The region has opted to print their own money, which can be used in local stores for goods and services. The exchange rate is 1/Berkshare = $0.90/cents.
Most mom and pop stores accept the money, whereas the big national chains do not. Overall, the exchange rate gives people an automatic 10% discount on goods, making local stores more competitive than big retailers. The retailers (if they wish) can exchange those Berkshares back into US Dollars (ie: When its time to pay for the electric bill) or they can keep those berkshares and recycle them in the economy (ie: A Hardware store owner who just sold a box of nails for berkshares, then takes the currency and buys new window shades for the store from the MomPop Shade store down the street).
Im honstly note sure, but i would imigane that it is leagle, because the somtimes have the equal amount of money in Canadian dollars on the back of books. Dont go only on what i said. Google it!
Not if you