Who was the first country to use money?
Money appeared for the first time 5000 years ago in Mesopotamia, while it originated from the oldest mint of 600-650 BC in Asia Minor when the ruling elites in the kingdoms of Lydia and Ionia used silver and gold coins, other batches This is an opportunity to enjoy watching different types of foreign currencies.
In the form of bank credit bonds, and used for 500 years in China, it moved to Europe in the early seventeenth century, then it took about two centuries to spread to the rest of the world, and it is worth mentioning that the countries of time spread to the rest of the world, and it is worth noting that The securities were canceled in 1455 AD and did not return to an idea until hundreds of years later.
The stages of the money origin and use
The money was used in several stages, as follows:
- Bronze Coins: In 770 BC, the first bronze coins appeared in China. They were initially miniature forms of tools cast from bronze, but developed into circular coins.
- Paper money: In the year 700 BC, China used paper money in barter and commercial exchange.
- Electrum Coins: Around 600 BC, the king of Lydia minted coins made of electrum, a mixture of gold and silver.
- Use of currencies in trade: Coins spread all over the world at the beginning of the first century AD, and trade spread widely between the continents of the ancient world.
- Banks’ use of paper currency: Banks used paper banknotes in Europe at the end of the sixteenth century and the beginning of the seventeenth century AD, instead of coins in deposit and lending operations.
- Currency War: The spread of bank notes sparked competition between countries, and a currency war emerged by trying to reduce the purchasing power of the enemy, which leads to the collapse of its currency.
- Digital currencies: The twentieth and twenty-first centuries witnessed a great development in the world of currencies, and the possibility of payment via phone and the Internet appeared, as well as digital currencies appeared in 2009 in the name of Bitcoin.
The importance of money in the emergence of countries
Money is of great importance since its appearance, which lies in the following:
- Merchants found that wandering and trading in gold or silver and other metals is fraught with the risk of loss or theft, so it is necessary to have an alternative to these metals in cases of trade.
- It allows the circulation of goods and commerce, since its appearance has provided wealth to its owners.
- China began its real civilization and renaissance since the use of coins and paper money; This is because of the ease and speed of carrying cash and using it in business operations.
- The currency of the kingdom of Lydia provided a lot of money to the state, and worked to stabilize the internal and external system in it, which turned it into the richest kingdoms in Asia Minor.
- Money contributed to finding sources of precious metals, and more coins were minted by European countries in the Renaissance, which led to an increase in the colonial power of these countries as their monetary wealth increased.
- The volume of trade increased remarkably when the banks converted paper currencies as money, and the banks and the ruling classes began buying cash from other countries; This sparked economic wars between countries, and in some cases, these wars turned into military confrontations.
- Currency developed throughout history and was initially gold and silver coins of an expensive price, but after a period of time it turned into coins and paper in some regions such as China, which facilitated trade and exchange of goods greatly, and as a result of this development, many countries and cities became rich, and there became cities Large ones have great armies, and during most periods of history until our recent time, countries have been involved in bloody conflicts over money, and in recent years, digital currencies have appeared in which many people circulate.
Who was the first country to use money?