What is the difference between a coin and a note?

A coin is a piece of currency which is created out of metal and which its value is directly proportional to the quality and amount of metal used in its minting. A note, on the other hand, derives its value by the amount of coinage that that note can be traded for in good faith. Before the gold standard was taken away, actual gold and silver coins were the basis on which notes derived their value.

 

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