The Millennium Dollar™ (MR$) is a private currency offered for use over the Internet by Virtualmoney.com. The goal is to provide the marketplace with a monetary unit that will substantially hold its purchasing power over time. The Millennium Dollar™ will be defined as equaling the purchasing power of the U.S. Dollar on January 1st, 2000, as measured by the reference CPI-U for October, 1999.

The proceeds from the sale of the MR$ will be initially invested in cash equivalents at banks, thrifts, credit unions and/or money market accounts at broker/dealer firms. These funds will supply the liquidity for conversions back into U.S. Dollars. As the volume of MR$ increases, a portion of the invested funds will be invested in Treasury Inflation Protection Securities and Real Mortgage-Backed Securities™, which are self-adjusting for inflation. The Company will provide a regular accounting of the assets backing the private currency, thereby demonstrating the strength of the private currency.

The Millennium Dollar™ is not legal tender, but its use as a hedge against inflation, suggests that it will become the preferred tender over time. This will occur, as Gresham's Law takes effect; and people demand the good currency and disperse the bad currency.