Modern monetary systems have fiat basis- literally money by decree- with depository institutions, acting as fiduciaries, creating obligations against themselves with a fiat basis acting in part as reserves. The decree appears on the currency notes: "This note is legal tender for all debts, public and private". While no individual could refuse to accept such money for debt repayment, exchange contracts could easily be composed to thwart its use in everyday commerce. However, a forceful explanation as to why money is accepted is that the federal government requires it as payment for tax liabilities. Anticipation of the need to clear this debt creates a demand for the pure fiat dollar.