Concept in Definition ABC

The Euro is the legal tender in a part of the countries of the European Union. Its circulation took place in 2002, the year in which it surpassed the price of dollar. Previously, there was already his draft in the Treaty of the European Union, which establishes the creation of a monetary union in which the countries that comply with a series of regulations established in advance would participate. The Euro itself was agreed on December 15, 1995, through an agreement in Madrid that established its circulation as of 2001.

The first countries to accept take part of the single currency plan were Portugal, the Netherlands, Italy, Luxembourg, Ireland, France, Finland, Spain, Austria, Belgium and Germany, later joining Greece. There was a period of coexistence of the old national currencies until they were out of circulation.

The reasons for the establishment of the Euro, in addition to the aforementioned union, are the benefits that can be achieved from the economic point of view. Thus, investment beyond one's borders is facilitated, conversion costs are eliminated, and, in general, costs for companies.

In order to avoid counterfeiting, the banknotes have a series of security measures safety. From the perspective of touch, the banknotes have raised prints for texts and themes. Regarding the measurements perceptible by sight, they have a mark of Water (different thickness of paper observable against the light), a metallic security thread, a dotted (also observable against the light), a reason holographic, an iridescent band, color-changing ink, micro texts and fibers visible in ultraviolet light.

Currently, the euro represents an alternative to the dollar due to its enormous strength. In fact, in 2006 it dropped the dollar as the most widely used payment currency for cash transactions. This is of importance not only economically but also politics, due to the growing number of countries that disagree with US policies.