Currency Regulation refers to the rules and policies set by governments or central banks to manage the supply, value, and exchange of money within an economy. These regulations help maintain economic stability, control inflation, and prevent illegal activities such as money laundering. Central banks, like the Federal Reserve in the United States or the European Central Bank in the Eurozone, play a crucial role in implementing these regulations. They may adjust interest rates, oversee currency issuance, and monitor financial institutions to ensure compliance with the laws governing currency use and exchange.