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organizations, and governments still use, and often prefer, barter as a form
of exchange of goods and services.
9,000 - 6,000 BC: Cattle
Cattle, which include anything from cows and sheep, to camels, are the
first and oldest form of money. With the advent of agriculture came the
use of grain and other vegetable or plant products as a standard form of
barter in many cultures.
1,200 BC: Cowrie Shells
The first use of cowries, the shell of a mollusc that was widely available in
the shallow waters of the Pacific and Indian Oceans, was in China. His-
torically, many societies have used cowries as money, and even as recently
as the middle of this century, cowries have been used in some parts of Af-
rica. The cowrie is the most widely and longest used currency in history.
1,000 BC: First Metal Money and Coins
Bronze and Copper cowrie imitations were manufactured by China at the
end of the Stone Age and could be considered some of the earliest forms
of metal coins. Metal tool money, such as knife and spade monies, was
also first used in China. These early metal monies developed into primitive
versions of round coins. Chinese coins were made out of base metals, of-
ten containing holes so they could be put together like a chain.
500 BC: Modern Coinage
Outside of China, the first coins developed out of lumps of silver. They
soon took the familiar round form of today, and were stamped with vari-
ous gods and emperors to mark their authenticity. These early coins first
appeared in Lydia, which is part of present-day Turkey, but the techniques
were quickly copied and further refined by the Greek, Persian, Macedo-
nian, and later the Roman empires. Unlike Chinese coins which depended
on base metals, these new coins were made from precious metals such as
silver, bronze, and gold, which had more inherent value.
118 BC: Leather Money
Leather money was used in China in the form of one-foot square pieces of
white deerskin with colorful borders. This could be considered the first
documented type of banknote
800 - 900 AD: The Nose
The phrase "To pay through the nose" comes from Danes in Ireland, who
slit the noses of those who were remiss in paying the Danish poll tax.
806 AD: Paper Currency
The first paper banknotes appeared in China. In all, China experienced
over 500 years of early paper money, spanning from the ninth through the
fifteenth century. Over this period, paper notes grew in production to the
point that their value rapidly depreciated and inflation soared. Then begin-
ning in 1455, the use of paper money in China disappeared for several
hundred years. This was still many year before paper currency would re-
appear in Europe, and three centuries before it was considered common.
1500s: Potlach
"Potlach" comes from a Chinook Indian custom that existed in many
North American Indian cultures. It is a ceremony where not only were
gifts exchanged, but dances, feasts, and other public rituals were per-
formed. In some instances potlach was a form of initiation into secret
tribal societies. Because the exchange of gifts was so important in estab-
lishing a leader's social rank, potlach often spiralled out of control as the
gifts became progressively more lavish and tribes put on larger and
grander feasts and celebrations in an attempt to out-do each other.
organizations, and governments still use, and often prefer, barter as a form on base metals, these new coins were made from precious metals such as
of exchange of goods and services. silver, bronze, and gold, which had more inherent value.
9,000 - 6,000 BC: Cattle
118 BC: Leather Money
Cattle, which include anything from cows and sheep, to camels, are the
first and oldest form of money. With the advent of agriculture came the Leather money was used in China in the form of one-foot square pieces of
use of grain and other vegetable or plant products as a standard form of white deerskin with colorful borders. This could be considered the first
barter in many cultures. documented type of banknote
1,200 BC: Cowrie Shells 800 - 900 AD: The Nose
The first use of cowries, the shell of a mollusc that was widely available in The phrase "To pay through the nose" comes from Danes in Ireland, who
the shallow waters of the Pacific and Indian Oceans, was in China. His- slit the noses of those who were remiss in paying the Danish poll tax.
torically, many societies have used cowries as money, and even as recently
as the middle of this century, cowries have been used in some parts of Af- 806 AD: Paper Currency
rica. The cowrie is the most widely and longest used currency in history.
The first paper banknotes appeared in China. In all, China experienced
1,000 BC: First Metal Money and Coins over 500 years of early paper money, spanning from the ninth through the
fifteenth century. Over this period, paper notes grew in production to the
Bronze and Copper cowrie imitations were manufactured by China at the point that their value rapidly depreciated and inflation soared. Then begin-
end of the Stone Age and could be considered some of the earliest forms ning in 1455, the use of paper money in China disappeared for several
of metal coins. Metal tool money, such as knife and spade monies, was hundred years. This was still many year before paper currency would re-
also first used in China. These early metal monies developed into primitive appear in Europe, and three centuries before it was considered common.
versions of round coins. Chinese coins were made out of base metals, of-
ten containing holes so they could be put together like a chain. 1500s: Potlach
500 BC: Modern Coinage "Potlach" comes from a Chinook Indian custom that existed in many
North American Indian cultures. It is a ceremony where not only were
Outside of China, the first coins developed out of lumps of silver. They gifts exchanged, but dances, feasts, and other public rituals were per-
soon took the familiar round form of today, and were stamped with vari- formed. In some instances potlach was a form of initiation into secret
ous gods and emperors to mark their authenticity. These early coins first tribal societies. Because the exchange of gifts was so important in estab-
appeared in Lydia, which is part of present-day Turkey, but the techniques lishing a leader's social rank, potlach often spiralled out of control as the
were quickly copied and further refined by the Greek, Persian, Macedo- gifts became progressively more lavish and tribes put on larger and
nian, and later the Roman empires. Unlike Chinese coins which depended grander feasts and celebrations in an attempt to out-do each other.
27
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