Silver is a precious metal and serves as one of the baselines of currency in Faerûn. When used as currency, it is usually cast into silver pieces (sp) of a standard weight. A common silver piece is worth 1/10th of a gold piece (gp). Silver is also prized by artisans for its malleability and its aesthetic qualities. Silver, like gold, is much more common in Faerûn than it is on Earth, and is thus less valuable.
Silver also has many magical uses. Due to its natural purity, it is often used by spellcasters who need such a material due to it being such a common metal. It is also used in light and moon magic as well in items to combat shapeshifters. When properly refined and treated with the right magical processes, silver can be made as hard as steel and said magical processes also reverse the natural conductivity of silver to electricity, providing a resistance to it. Weapons forged of this treated silver are especially deadly to creatures such as lycanthropes.
Using a process involving metallurgy and alchemy, silver can be bonded to steel weapons. It dulls the weapon slightly and isn't quite as effective against those creatures weak to silver but this process is much, much less expensive.