The dinar was worth the same amount as the British pound until 1959. The current dinar value is worth a fraction of one US dollar, so some people may think that investing in Iraqi dinars is a smart idea because the current dinar value may rise at any time. Iraq has few exports other than oil, so there is small demand for the dinar. Because of this they remain in exotic status.
After the Gulf War in 1991, dinars were printed on poor grade paper rather than the previous cotton or linen. The first 500 dinars note was issued in October of 2004. In 2002, the Central Bank of Iraq issued a 10,000 dinars note to be used for both larger and inter bank transactions.
Converting dinars back to US dollars may be difficult, so invest at your own risk. There is no way to get your money back if the value of the Iraq dinar goes down lower. If you are wondering where to exchange dinars to dollars, there are not many options. You can sell them back to the person you bought them from, or you can attempt to sell them to a back. There are also many collectors out there who many be willing to buy your dinars. A good place to try and sell them is on auction sites such as eBay.
Buying Iraqi dinar has become popular because people are expecting a rise in the value of the current dinar value when Iraq reforms their government. This, though, may never actually happen, and if it does, there is a chance that the value of the dinar will not be effected. Dinar trading is a slight gamble, but it could be greatly worth the risk in the end.