1) What are monetary operations, and
2) what are they for? [We forget, and even forget to ask.]
3) How do we seek a general method for answering those unending questions, and keeping emerging monetary Q&A meaningful to all.
As you'll see, these questions can't be separated, only revisited in a useful, variable sequence.
Initial answers, up front are, respectively:
for accelerating cultural growth; and
by simultaneously optimizing [people+nation], not either separately.
Some needn't read any further.
In small groups, organization can track affinity bonds, and currency can be considered to be "backed" by Central Stores of arbitrary commodities. Yet as separation between transactions scales - with population size and/or market complexity - currency becomes a more distributed form of bookkeeping. A currency transition occurs, from primarily a store of local value, to primarily a unit of account for coordinating widely separated events in increasingly complex transaction chains. Transitions occur because net value to an organized group trumps any local definition of value. Strategic, organizational agility can't co-scale with population without a transition to fiat currency methods.
Someone smarter can always take your Central Stores, whether your men, your women, your horses, your gold, or any other commodity. Therefore, currency is always backed by group initiative. Affinity bookkeeping can't scale with population, so organizational state requires more distributed logistics accounting. In larger populations, currency must be backed more & more directly by distributed public initiative.