The process of converting something into, or adopting it as, money (i.e., legal tender). It usually refers to the coining of metal currency or the printing of banknotes by central banks. Precious metals, such as gold or silver, have unique intrinsic value and therefore when coined into money, their value comes from two sources: intrinsic value and monetary value. However, paper currency is intrinsically worthless, and its legitimacy or value is principally based on being generally and legally accepted by all economic units (individuals, traders, firms, government agencies, etc) in a given country.

Monetization may also apply to selling securities (like bonds) in exchange for money. As such, a selling firm is said to be monetizing its debt.

Generally speaking, monetization involves selling a possession, right, or interest, as when an entity charges for something that was previously free or not part of the profit-making process, such as a local government charging drivers highway tolls, i.e. fees for using the main roads in a city.