The euro is the currency of nineteen of twenty-seven European Union member states. After the United States dollar, it is the second most frequently traded in the FEM (Foreign Exchange Market).
The currency is also used for a few European microstates that are not members of the European Union; these states are, Akrotiri, Dhekelia, Montenegro, and Kosovo. It is the second-largest reserve currency in the world, and the second most globally traded, behind the U.S. dollar, yet again.Â
There are over one point three trillion Euros in circulation at this very moment. The Euro is a very diverse currency, and this page will seek to tell you seven interesting facts about the Euro that you may not have potentially known.
Value
The euro is a highly valued currency that is one of the most traded, as mentioned in the introduction, in the entire world. It is used all over the globe. Its value, however, is always fluctuating.
You can check its current value using exchange websites; the professional team of ExchangeRates.org.uk is an example of one such website. You will be hard-pressed to go anywhere in the world and not find a euro.
The Need for a Common Currency
The euro was being talked about as far back as the nineteen seventies; there was a need for a common currency for all of the European member states, and this is where the euro was born from.
The euro helped to cultivate a European economic sphere that had its beginnings at the end of the Second World War and was aided significantly by the United States of America.
A significant event in the creation of the euro was the Maastricht Treaty, which implemented rules and regulations for European states to adhere to in order to be inducted into the club of euro usage.
The Transition from Electronic Currency
The euro, you may not have known, was at first a digital currency used in electronic payments. The digital euro was introduced in January nineteen ninety-nine, and it was not until at least three years later that we would see a physical euro note in circulation.
The euros were first introduced as one cent; two-cent; five-cent; ten-cent; twenty-cent, and fifty-cent pieces, as well as one euro and two-euro coins. The coin carries its worth on the front and on the reverse, a map of Europe. The map of Europe is different dependent on the country that has issued the coin.Â
The notes vary in denomination, beginning with five-euro notes, and going all the way up to five-hundred-euro notes. The script on the notes varies between Greek, Roman, and Cyrillic, hearkening back to Europe’s awesome beginnings.
Nordic Gold
Euro coins are created with highly secure machine-readable contours that prevent the creation and circulation of fake euros – the euro is a very hard currency to fake, owing to these strict security measures.
Some coins, mostly the ones of a lower value, are constructed from Nordic Gold, an alloy that is made entirely for coins. Unfortunately, Nordic Gold contains no gold at all and is a composition comprised of copper, aluminium, zinc, and tin. Its colour and weight bear no resemblance to real gold.
ECB
The ECB, or the European Central Bank, is the governing body that supervises the euros policy. Its headquarters are located in Frankfurt, Germany.
The ECB works closely with the Eurosystem, which is a conglomerate of central banks situated in the European Union that supervises the printing of, minting, and distribution of the euro coins and notes.
These agencies work very harmoniously with one another, and if it were not for their peaceful co-existence, the euro would likely not have become such a powerhouse and important global currency.
Iranian Oil
While Iran has its own currency, the oil-rich Middle Eastern state prefers using the euro for all foreign transactions, mainly oil.
Iran has converted every single dollar-denominated asset it holds in foreign countries to the Euro, and this is owing to its long-time rivalry with the United States of America. While Iran is not necessarily an ally of Europe, it certainly has less hostility toward them.
EU Contention
Some EU member states, however, refuse to adopt the euro as their currency. Some of these states are the United Kingdom of England and Wales and Denmark. There are others, however, that will not adopt the euro.
The British pound is by far much stronger than the euro, and that is why Great Britain would not adopt the euro and forsake their own currency.
Now you know seven interesting facts about the euro. The euro is a very interesting currency with a fascinating history, and now you know most of it!