Asset currency - Currency secured by the general assets of the issuing bank instead of by
government bonds as at present under the National bank act.

The two essentials for this form of currency are safety and elasticity. There is general agreement
as to the desirability of a currency that shall be responsive to the demands of business, expanding
in volume when trade is brisk and contracting in the dull intervals, thus insuring stability of interest
rates and preventing stringency at one period and redundancy at another.