Currency has been a central element of human existence for thousands of years, and by the seventh century BC, coins were already in circulation. However, with money comes the desire for more money, and with that desire comes crafty ideas of how to secure more. This is the origin of counterfeit money.
Nowadays, modern banknotes are created with counterfeiting in mind. In fact, the modern banknote is one of the most technologically advanced items you’ll encounter in your everyday life, and you might not even know it. We’ve already covered how countries approach the creation of their currencies very differently, but one thing tends to remain the same: the commitment to advanced anti-counterfeiting measures the world over.
Counterfeiting: A Problem Since the Birth of Society
For as long as there has been money, there have been counterfeits. The most commonly recognized is the fourée, which reached its peak of use during the Roman Empire. Rather than using fully gold or silver coins, counterfeiters would “stuff” the middle with less valuable metals such as copper, then plate the coin in gold or silver. After stamping it with an official die, it looked nearly indistinguishable from the real thing. A fourée’s identity was usually only discovered many years later, when its plating began to chip.
The sixth-century Byzantine counterfeiter Alexander the Barber took this work seriously; so seriously, in fact, that Emperor Justinian reportedly did not punish him when caught. Rather, he hired him into the finance department. And in colonial America, Mary Butterworth figured out how to use starched cloth and a hot iron to transfer the pattern of a banknote, then sold the finished bills for less than their face value. Counterfeits are baked into history, no matter where in the world you may be.
Modern Anti-Counterfeiting Features on Currency
Financial institutions have been trying to stay ahead of counterfeiters for centuries, to varying degrees of success. Nowadays, thanks to robust technological support, currency is more secure than ever. However, it is still not immune to counterfeits. Some of the protections governments rely on include:
Watermarks
Unlike many modern watermarks, which are placed prominently in the middle of a design or file to obscure a clear view, banknote watermarks are hidden. This feature is created during papermaking, not printing: the paper is formed with varying thicknesses, and the image lives in the thinner and thicker areas. By shining a light through, the image will become visible on both sides.
Serial numbers
In many parts of the world, including the US, banknotes are printed with a serial identification number. This allows the note to be tracked, because the number includes important information about where it was made and when. Serial numbers have been used to track down criminals, and it is common for forged notes to all be based on the same origin note (thus, the forgeries all have the same serial number, which can be used to identify them).
Holograms
Currencies containing holograms will look different depending on the angle at which you view the bill. This is achieved by a ribbon of micro-lenses woven directly into the paper. The US $100 bill, for instance, uses a 3D security ribbon made of around 650,000 microscopic lenses placed on top of an image. As the viewer’s angle shifts, the lenses display differing images (a bell and a 100). It is nearly impossible for counterfeiters to replicate the moiré pattern of these lenses.
Threads
Some notes include a ribbon of thread woven directly into the substrate material. In US dollars, it extends vertically on one side of the note and can be seen when held up to any light source.
Color-shifting ink
Similar to holograms, some currencies include color-shifting ink that will change shade depending on how the bill is oriented. Known as OVI, or optically variable ink, this ink is made of numerous microscopic layers of metallic film. They reflect light in different ways, so the shade changes as you change your viewing angle.
Omron rings
One of the simplest ways to counterfeit currency would be to print new bills. In order to prevent this, many governments have incorporated Omron rings, or configurations of five small circles, into their printed money. This pattern is repeated in different orientations across the bill, and many photocopiers, scanners, and image-editing programs will refuse to reproduce any image containing Omron rings.
The Future of Counterfeiting
While anti-counterfeiting technology is more advanced than ever, the reality is that humans are smart. Counterfeit banknotes will likely continue to exist, and the most feasible goal is to reduce the scale of these operations. With the technology currently available, counterfeiting rates are historically low, but there is still more work to be done. Exciting new developments in banknote creation could one day make currency replication an impossibility; only time will tell.
