Still confused about the fiat system praised last week [2]so highly by the Chairman, to students from a university named for a person who would do away with the Fed in a heartbeat? The following 3:30 mintue video will explain everything.
Or, if still confused, here is old GW himself:
"Paper money has had the effect in your state that it will ever have, to ruin commerce, oppress the honest, and open the door to every species of fraud and injustice."
George Washington -- in a letter to Jabez Bowen, Rhode Island, Jan. 9, 1787 [3]