State of Chartalist Theory of Money and Money as Means of Payments

The proponents of state theory of money considers that the definition of money is provided by the state or sovereign and the state describe what is acceptable as means of payments. The definition of money has always been considered as abstract and the different forms of money merely satisfy the description of money. The description of money can take many forms including varied forms of coins including silver, gold and copper coins in islamic era such as Dinnar, Dirham and Foluse etc. In modern times the money included the promissory notes, negotiable instruments, demand deposits, travelers checks, electronic money including debit and credit cards etc. what is important of money is money of account defined by state which is abstract like Dollar, Pound Sterling, Euro, etc.
Quite interestingly money is not identified from Quranic verses as one can conclude any thing which is subject matter of Riba can be considered as money. Here riba applies to loan contracts. However, all loan contracts do not refer to money. In other words all economic objects which are subject matter of islamic loan do not constitute money. Money is derived from trade contract or contracts of sale whereby economic agents try to give opinion regarding an economic object using some well established or socially acceptable money of accounts including that of dinar, dirham, and foluse etc. One can assume that money still not identified or defined in Islam as different object of reference like dinnar, dirham and foluse could have acted as money as means of payments, or money as means of exchange, money as store of value even if can be safely argued that single money of account did not existed. In other words, the decimal exchange of money of account was absent in Monetary Theory of Islam.