Why does commodity money has value?

Commodity money has value because it is made from a material that has intrinsic worth, such as gold, silver, or other valuable resources. This intrinsic value is derived from the commodity's usefulness, scarcity, and demand, which gives people confidence in its ability to serve as a medium of exchange. Additionally, since commodity money can be used for purposes other than trade (like jewelry or industrial applications), it maintains value even outside of its role as currency. This dual function helps to establish and sustain its acceptance and stability in economic transactions.