History of Early Currency

Early Currency

• Cowrie Shells (1200BC): First universal currency in China, found in shallow waters of the Pacific and Indian Oceans.

• Lydian Lion (700BC): First coins of precious metals, organized by weight, identified by emperor stamps.

• Chinese Copper Coins (260BC): Uniform style, established by China's first emperor. The square hole allowed coins to be strung together.

• Chinese Paper Money (806): First representative money due to copper shortage. Used for 600 years until 1455 due to inflation and distrust.

• Wampum (1535): Tiny shells strung together by Native Americans, later used as currency by colonists. Became legal tender in Massachusetts in 1637.

• Pine Tree Shilling (1652): Created in Massachusetts Bay Colony to boost economic growth. Minted without British permission.

• Massachusetts Bill of Credit (1690): First paper money in America. Issued for tax credits, also to buy goods and services.

Additional Currency Types

• British Pound: Official currency of American colonies, with denominations of pounds, shillings, and pence. Always worth more than colonial currencies.

• Spanish Dollar: Widely accepted among colonists, most trusted currency. Common denominations were Dollars, Reals, and Pesos.

• Pennsylvania Pound: Final paper currency of the colonies, used for both British pounds and Spanish dollars.

• Continental Currency (1775-1790): Issued by the Continental Congress to fund the Revolutionary War, suffered from overprinting, counterfeiting, and massive inflation, losing value.

• United States Dollar (1792): Based on the Spanish Dollar, chosen for its widespread trust and use following the Revolutionary War. Often called "Lady Liberty".