Gold is and was money through out human history , it was used as exchange medium and is still used. Fiat was initially based on gold means gold was grantee behind fiat and in some countries it still is , in poor countries governments did fraud to people and started printing more fiat as they need which resulted inflation and currency devaluation.
Fiat is stable if gold is its guarantee if its not then Paper currency is just garbage.
I don't know much about
human history to make a comment about it۔ Maybe even the
history of money is much complex. There have been several variations in medium of exchange as well. In a way everything is money (or wealth) - maybe time (or labor) is also money or is a reservoir of labor. In history, when gold coins were a dominant currency, there have been several varieties in medium of exchange (currency) as well depending upon specific markets .
However modern currency is not merely a medium of exchange It is a much larger measure.
It is easy to say that "in US till 60s dollar was gold-based but underlying realty is not so simple Also there has not been one-to-one corresponding between circulated currency and gold deposits after introduction of fiat money.
Beyond history, here, we are talking only about the modern economy - or modern capital - or information-based economy based upon data which did not exist at this scale in history. So there is no point to indulge upon past. Archaic or outmoded concept of currency were replaced with new fiat/paper money due to solid reasons. needs and public demand.
My take was only on the word"
real" -- No - gold is not a "real" currency by any means (nor has been in the history but depends how one views economics) On the other hand - fait money is
real- based upon real data, facts of market and human potential and like all modern economies is goal-oriented. Since the data or information is always deficient and keep changing, and sometimes external factors (like say covid in present time) intervene, the real worth of fiat money also keep changing. That has to be so. I may add that "stability" of gold money is also an empty statement - gold price also depend upon market factors like any other commodity - there is nothing special in gold.
I understand you wont agree because we differ in concepts of modern currency and what is economy - that's ok but no point to tell about human history in this regard.
