Michael Downey is the winner there is no counrty that backs their currency with a physical commodity.

The Swiss must by law have a reserve tied to the amount of currency out is true, but it is not the full amount nor is it redeemable. You win a consolation Prize!

Ron Clewell You have also come so close you win a consolation prize too!

Since the introduction of banknotes, their value was backed by gold and silver. Any national bank has gold storage in their valuts, but since the beginning of the XX century this back up is no more possible. US and UH left the back up clause in late XX century, but the clause is still printed in the banknotes. Even in the latest Italian lire they wrote "payable to the bearer on demand", but only for traditional use.

In fact the Euro has no payability clause printed on.

Currently there are no countries backing their currencies with any physical commodities.
Dr. Roberto Cacciamani
LM 172
(International Banknote Society President)