International Journa l of Multidisciplinary Research and Develo pment

Volume: 2, Issue: 6, 83-91

June 2015 A comparative study on security features of banknotes
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e-ISSN: 2349-4182 of various countries
p-ISSN: 2349-5979
Impact Factor: 3.762 Manisha Mann, S.K. Shukla, Shruti Gupta
Manisha Mann
Abstract
Amity Institute of Forensic
Counterfeiting is a major problem in banknotes. To prevent counterfeiting every country includes various
Sciences, Amity University,
types of security features in their banknotes. These security features make banknote less prone to
Noida, UP, India
counterfeiting. These are the special features which were added either at the time of manufacturing of
banknote or in the middle of the manufacturing process. These special features are paper quality, intaglio
S.K. Shukla printing, watermarks, security threads, latent image, etc. Every country has their own type of security
Amity Institute of Forensic features. In this paper security features of Indian Rupees ( ), Australian Dollar ($), British Pound (£),
Sciences, Amity University, Euro (€), American Dollar ($) and Renminbi (¥) are studied and compared. After studying the features it
Noida, UP, India can be concluded that Indian currency i.e. Rupee ( ) has the maximum number of security features
present and the latest addition is the anti-photocopying feature i.e. “Omron” feature. Due to these security
Shruti Gupta features, they make Indian Rupee less prone to counterfeiting.
Amity Institute of Forensic
Sciences, Amity University, Keywords: Counterfeiting, security features, bank note, currency
Noida, UP, India
Introduction
The most serious issue of the new-age banknote is to keep the bank notes with up-to-date
security features to prevent counterfeiting of money. A bank note is a paper money,
comprising a cardinal bank promissory note to pay someone a particular sum of money on
demand. The cardinal bank varies from country to country; they are responsible for issuing
currency of a particular country. Like- Reserve Bank of India (India), Reserve Bank of
Australia (Australia), Bank of England (England), European Central Bank (For all European
countries- Spain, France, Italy, etc.), Federal Reserve System (USA), The People’s Bank of
China, etc. The currencies issued by these banks are Indian Rupee ( ), Australian Dollar ($),
British Pound (£), Euro (€), American Dollar ($) and Renminbi (¥) respectively and these
currencies are the most tradable currencies in the world. Counterfeiting of currency means an
imitation of bank notes with intent to fake out. The criminal activity of counterfeiting currency
is as old as making of currency itself. Latest growth in computer technologies and
photography, along with the accessibility to low-cost tools, has made the manufacturing of
fake money simply and this leads to serious menacing to national financial systems, banking
organizations and customers globally. Just to stop the counterfeiting of money, every country
is updating its currency regularly by adding technical security features to its banknote, security
features are of two types’ one which can be seen by naked eyes and others require use of
equipment’s like Magnifying glass, Ultra Violet lamp, Infra-red viewer, etc.
Every modern banknote consist of following security features like-
1. Paper quality- The type of paper that we use in our daily lives is totally different from the
type of paper used in manufacturing of a banknote, special type of paper are used in order
to give longer life to a bank note and make it more complicated to counterfeit. Now a
day’s special type of polymers are also been used because they have more average life
than paper notes and they are resistant to fire and water.
2. Security thread- Security threads are the most common and safe features, which are
remarkably hard to be made without the help of any specialized tool / equipment. These
threads are ingrained into the paper at very early stage of banknote production. Usually
there are two types of security threads: internal security thread and diving security thread.
The internal security threads are completely within the sheet of the paper and these
Correspondence: threads may be solid and transparent, comprising some micro-inscriptions. Plastics and
Manisha Mann metal can be used. The diving security threads are generally formed of foil, these types of
Amity Institute of Forensic threads contains written text in them, which is noticeable when seen across some light
Sciences, Amity University, source.
Noida, UP, India
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3. Gradient coloring- It is also most reliable security feature special kind of dyes or paints are used and these paints or
which is nearly difficult to recreate even with best dyes appear darker when exposed to IR source.
duplicating devices. Banknotes are printed with color 11. Color changing- It is also one of the newly introduced
gradients that change so a little bit that a copier would not security features in modern banknotes. This is a special
be able to figure out the variations in color. kind of effect, in which when the imprint is viewed from
4. Intaglio printing- It is also very common type of security different angles its color changes. And when the imprint
features used in modern banknotes. Intaglio means is viewed under microscope it shows a raised polygonal
‘raised’. In this technique the image is carved into the object whose topmost side is of one color and other sides
surface. It is designed by putting about 60 layers of have different type of color.
colour on the same position on the banknote. Just because 12. Denomination marks- It is the most commonly used
of this layering the letter or image gains volume and thus security feature. It is large size numerical written several
you can feel it by touching it with your fingers. times in different locations of a banknote. Now a day’s to
5. UV glowing- It is the most newly added security feature prevent counterfeiting, the denomination marks are
in modern banknotes. In this the particular image or repeated in several ways like in backgrounds, micro texts,
denomination in the banknotes glows when they are etc.
exposed to UV rays, because of fluorescent paint or dyes 13. Numbers- numbers written on banknote have relation
used in their production. with the security features. Numbers present on the
6. Micro texts- micro texts are extremely texts which cannot banknotes are unique because every banknote has its
be seen by naked eyes. These are hidden in any part of a unique number and they never repeat.
banknote like near portraits, numbers, etc. in order to 14. Complicated portraits- This feature is most difficult to
prevent counterfeiting. copy because of presence of fine details in a portrait.
7. Holograms- Holograms are the most modern feature of Currently most of the currencies in the world possess
today. They are very difficult to counterfeit because portraits.
hologram are imitated from the main hologram which 15. Background decorations- The background decorations are
needs costly, specific and technically innovative complicated and also very hard to copy because they are
equipment. They are ingrained via a special technique made by putting several layers on one another.
like hot-stamping foil. 16. Mark for blind- Every currency in world consists of
8. Anti-copying feature- This feature was incorporated in different type and different shapes of mark. These marks
banknotes in late twentieth century. These are specially help in identification of particular type of banknote for
types of lines and decorations incorporated in banknote blind people by using their fingers. [1]
with help of special software and hardware that makes it
difficult to be copied. This paper will be discussing about security features of Indian
9. Watermarks- these are the most well-known security Rupee ( ) and five other major currencies- Australian Dollar
feature of paper banknote. A watermark is basically any ($), British Pound (£), Euro (€), American Dollar ($) and
type of image or pattern. When a watermark is exposed to Renminbi (¥).
any light source it appears lighter and darker as compared
to its surrounding area. It incorporated during Observation
manufacturing by using water coated metal stamp. Security Features of Indian Rupee (500 and 1000 )
10. IR glowing- It is one of the newly introduced security Indian Rupee ( ) is issued by Reserve Bank of India (RBI).
feature in banknotes. Currently only two countries are In India following denomination of note are in circulation- 5
using this feature in their currency i.e. the Euro and note, 10 note, 20 note, 50 note, 100 note, 500 note
Russian Rouble. It is similar like UV glowing. In this and 1000 note. [2]

Fig 1: security features present in a 500 note

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Fig 2: security features present in a 1000 note

1.1 Security Features Of American Dollar (50$ and 100$)-

American dollar is also known as United States Dollar, US
dollar and U.S. Dollar. American dollar is the main leading
currency all over the world. An American dollar ($) is issued
by Federal Reserve Bank. Currently in United States of
America following are the banknotes which are in circulation
- $5 note, $10 note, $20 note, $50 and $100 note. [3, 4, 5]

Fig 5: Legends

1.2 Security Features Of Australian Dollar (50$ and 100$)-

Australian dollar ($) is issued by Reserve Bank of Australia. It
was established in January 14, 1960. Currently there are five
distinct denomination banknotes are in circulation $5 note,
$10 note, $20 note, $50 note and $100 note. Australia is
among one of the few countries where the counterfeiting of
money is very low, because of their security features present
Fig 3: security features present in a 50$ note in banknotes. Special feature of Australian banknotes are that
they are made up of polymer. [6, 7, 8]

Fig 6: security features present on front side of $50 note

Fig 4: security features present in a 100$ note

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Fig 7: security features present on back side of $50 note

Fig 8: security features present on front side of $100 note

1.3 Security Features of British Pound (20£and 50£)-

British pound is issued by Bank of England that is the central
bank of United Kingdom. Bank of England was founded in
1694. It is also known as “Old Lady” of Thread needle Street.
The motive of the bank is to “promote public good and benefit
of our health” by keeping up monetary and financial stability.
Currently in UK there are four distinct denomination
Fig 8: security features present on front side of $100 note banknotes are in circulation, which are £5note, 10£note,
£20note and £50note (old and new). [9, 10]

Fig 9: security features present on 20£ note

Fig 10: security features present on 50£ note (new style)

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1.4 Security Features Of Euro (200€and 500€)- ECB is to maintain “the euro’s purchasing power and price
Euro is issued by The European Central Bank (ECB); it was stability in euro region.” Currently there are five distinct
established in June 1, 1998. Eighteen European Union denomination banknotes are in circulation, which are €5, €10,
countries are the member of this bank. The main motive of €20, 50€, €100, €200 and €500 notes. [11, 12, 13]

Fig 11: security features present on €200 note

Fig 12: security features present on €500 note

1.5 Security Features Of Renminbi (50¥ and 100¥)- Printing and Minting Corporation (CBPMC), which is located
Renminbi (¥) is Chinese currency which is issued by the in various parts of People’s Republic of China, for example-
central bank of china that is The People’s Bank of China Shanghai, Beijing, Chengdu, Nanchang, etc. Following
(PBC). PBC was established in 1st December 1948. Renminbi denomination of note are currently in circulation in People’s
is also called as Yuan; basically Yuan is primary unit of Republic of China- 1¥ note, ¥5 note, ¥10 note, ¥20 note, ¥50
Renminbi. The Chinese currency is printed in China Banknote note and ¥100 note. [14]

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Fig 13: security features present on ¥50 note

Fig 14: security features present on ¥100 note

Results And Discussions (£). The latent image feature was only present in Indian rupee
The various security features present in all the six currencies ( ) and Renminbi (¥). Only American dollar lacks see
were studied and compared with each other. It was found that through register feature and intaglio printing feature.
for the manufacturing of the banknote pure cotton is used, Apart from the common features encountered in the
except in the case of the American dollar ($), Australian banknotes, there were some special security features present
dollar($) and Renminbi(¥) they are made up to 75% - paper in all the six currencies which are not common. For instance,
25% - linen, polymer and paper respectively. The most Indian Rupee comprises Anti-photocopying “Omron” feature.
common security features encountered in all the banknotes American Dollar ($) contains ‘three dimensional ribbon’ and
were watermark, micro text/micro lettering, denomination ‘bell in the ink’ feature. Australian Dollar ($) consists a ‘clear
mark and complicated portrait. Security thread was present in window’ feature. British pound (£) has ‘foil patch’ and
all the banknotes except in Australian dollar ($). American ‘motion thread’ feature. Euro (€) banknotes consist of
dollar ($) and Renminbi (¥) lacks UV features. The hologram ‘perforation’ feature. Renminbi (¥) consists of ‘white
/ holographic strip was only present in British Pound (£) and denomination watermark’.
Euro (€). Identification mark was only present in Indian
Rupee ( ), American dollar ($) and Renminbi (¥). Color
changing ink / optically variable ink feature was present in all
the banknotes except Australian dollar ($) and British pound
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Table 1: Shows the features which are commonly present in the following currencies-
Serial Security features Indian American Dollar ($) Australian British Euro (€) Renminbi
no. Rupee ( ) Dollar ($) Pound (£) (¥)
1. Intaglio printing  ×    
2. Watermark      
3. Security threads   ×   
4. Material used Pure cotton 75% - paper 25% - Polymer Pure Pure cotton Paper
fibre linen cotton fibre
fibre
5. UV features  ×    ×
6. Micro texts      
7. Hologram / × × ×   ×
Holographic strips
8. Anti-photocopying  × × × × ×
feature
9. Color changing   × ×  
ink / Optically
Variable Ink
10. Denomination      
mark
11. Complicated Portrait of Portrait of Benjamin Portrait of Portrait Portrait of Portrait of
portraits Mahatma Franklin($100), Dame Nellie of queen. bridges, Chairman
Gandhi Ulysses S. Grant Melba arches and Mao
($50), Andrew ($100), gateways.
Jackson ($20), David
Alexander Hamilton Unaipon
($10), Abraham ($50), Mary
Lincoln ($10), Reibey ($20),
George Washington AB Banjo
(1 $) Paterson
($10) and
Her majesty
Queen
Elizabeth II
($5)
12. Identification   × × × 
mark
13. Latent image  × × × × 
14. See-through  ×    
Register

Table 2: Shows the features which are unique in currencies

Serial no. Currency Security features
 Anti-photocopying feature-

1. Indian Rupee ( )

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2. American Dollar ($)

 3-D ribbon-

 Bell in ink-
 Clear window-

3. Australian Dollar ($)

 Foil patch-

4. British Pound (£)

 Motion thread-

 Perforation –

5. Euro (€)

6. Renminbi (¥)  White denomination watermark-

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Conclusion 14. Security features,

The conclusion that can be drawn from the present study is http://www.cbc.gov.tw/ct.asp?xItem=31557&CtNode=50
that Indian currency, i.e. Rupee ( ) has the maximum number 4&mp=2
of security features present and the latest addition is the anti-
photocopying feature i.e. “Omron” feature. This feature is
basically present on the backside of the note on the right and
the front side of the banknote above the denomination of the
note. Due to these security features, they make Indian Rupee
less prone to counterfeiting rather than any other country’s
currency notes.
Further improvements can be introduced in Indian Currency
to make it less prone to counterfeiting. Various software
applications are available worldwide for instance counterfeit
detector and EyeNote to check whether a bank note is genuine
or not, similar applications could be developed in India to
cope with the serious issue of counterfeiting of Indian Rupee.
Awareness regarding security features should be created
among Indian citizens to make them efficient enough to check
whether the bank note is genuine or not. Paper quality can be
improved by adding jute, polymer or other fibers, as it is more
stable and cheaply available, which as a result can cut the cost
of making a single banknote. Specific chemical can be
incorporated into the ink that is used in the manufacturing of
the banknote, it improves the quality and it will enhance the
individuality of the genuine banknote.

References
1. Security features, http://stevenbron.nl/security-features
2. Indian currency security features,
http://www.rbi.org.in/currency/security%20features.html
3. American Dollar security features, www.
secretservice.gov
4. Bureau of Engraving and Printing-U.S. Department of the
Treasury, www.moneyfactory.gov
5. Genuine US currency production, security features and
counterfeiting, Ken huffler, SAIC-Phoenix field office,
United States secret service.
6. Recent trends in counterfeiting, Arianna Cowling, note
issue department, Reserve Bank of Australia.
7. Counterfeit detection guide- Reserve bank of Australia.
8. Banknote features,
http://banknotes.rba.gov.au/securityfeatures.html
9. Take a closer look- Bank of England
10. Current banknotes,
http://www.bankofengland.co.uk/banknotes/pages/current
/default.aspx
11. Quick guides of the security features of Euro banknote-
European central Bank.
12. Security features,
http://www.ecb.europa.eu/euro/banknotes/security/html/i
ndex.en.html
13. Euro banknotes- security features, http://www.new-euro-
banknotes.eu/Euro-Banknotes/Security-
features/FEEL/THE-FIRST-SERIES-%E2%82%AC5

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