Crucial part of a free economy actually is anarchy.
Anarchy is the absence of government.
Government is the institution that is allowed to violate property rights through a monopoly on legitimate violence.
Unfortunately, most people don't understand that there's no such thing as legitimate violence ever.
Violence is the use of force in order to violate a right.
Free societies are not willing to use violence to violate rights. But what is a right?
A right is every behavior inducing or preserving freedom.
Free societies understand what true freedom is:
Freedom is the absence of aggression.
Aggression is every attempt of enforcement outside of defense.
Therefore, free societies don't use aggressive force (violence) to fund anything. The people are free to choose how they spend their money.
A free society offers public contracts to fund public projects. For example, when the society needs roads, a puplic insurance contract is offered in order to fund the roads. People are free to not be insured, but in the case of an accident, would have to pay everything. That's why it's better to be insured. That concept is used everywhere, because it's really easy to understand and doesn't violate property rights.
As far as the money goes, free societies are not limited to one currency alone. There is no monopoly on money creation. The effect is that people can choose the money they deem trustworthy and stable. There are no more regulations needed, because bad money will lose its value rapidly when compared to stable money.
Stable money essentially is created if you understand how money devaluation works. For example, combining money creation and interest rates is not a good idea. You also need to have a mechanism that destroys money if needed, so you can balance the money suppley. People on Earth don't understand how this works, because they are not willing to destroy money. That's why inflation and expropriation is a perpetual problem on this planet.
