Tobacco as Money?

In Colonial America, tobacco was used as money, independent of state control. While modern theories like MMT suggest money's value comes from the state, the colonial use of tobacco challenges this. The government didn’t declare tobacco as currency, yet it functioned as one, driven by market needs. This highlights that currency can be valued based on its utility and demand rather than governmental decree. The role of tobacco as currency in Colonial America demonstrates that true economic value often comes from society's needs and interactions rather than state interventions.