From the earliest days of civilization, people have used paper currency to conduct business. Learn about the evolution of paper money over time.
The history of paper money has been traced back to ancient times when clay tablets were used for accounting purposes. In the Middle Ages, merchants began using paper bills to pay for goods and services. With the invention of printing presses in the 15th century, paper money became widely available.
Early coins were made out of precious metals such as gold and silver. These coins were often used to represent rulers and other powerful figures. As technology advanced, so did the design of coins. By the 17th century, coins had become more decorative than functional.
The first paper currency was created in China during the Song Dynasty (960–1279). During this period, paper money was used to pay taxes and trade goods. However, the Chinese government banned the use of paper money because it was considered too easy to counterfeit. In 1434, King Henry VI of England issued the first English pound note. This piece of paper represented the king’s authority and was accepted throughout Europe.
Paper money was first used in China in the 11th century. as Jiaozi said:
Jiaozi was a form of promissory banknote which appeared around the 11th century in the Sichuan capital of Chengdu, China. Numismatists regard it as the first paper money in history, a development of the Chinese Song Dynasty (960-1279 CE).
Wikipedia, Jiaozi (currency), 2019
However, the Quran says that paper money was known and used long before the Chinese:
Even so, We awakened them, so that they may ask one another. A speaker among them said, “How long have you stayed?” They said, “We have stayed a day, or part of a day.” They said, “Your Lord knows best how long you have stayed.” “Send one of you to the city, with this paper money of yours, and let him see which food is most suitable, and let him bring you some provision thereof. And let him be gentle, and let no one become aware of you.”
١٩ وَكَذَٰلِكَ بَعَثْنَاهُمْ لِيَتَسَاءَلُوا بَيْنَهُمْ ۚ قَالَ قَائِلٌ مِنْهُمْ كَمْ لَبِثْتُمْ ۖ قَالُوا لَبِثْنَا يَوْمًا أَوْ بَعْضَ يَوْمٍ ۚ قَالُوا رَبُّكُمْ أَعْلَمُ بِمَا لَبِثْتُمْ فَابْعَثُوا أَحَدَكُمْ بِوَرِقِكُمْ هَٰذِهِ إِلَى الْمَدِينَةِ فَلْيَنْظُرْ أَيُّهَا أَزْكَىٰ طَعَامًا فَلْيَأْتِكُمْ بِرِزْقٍ مِنْهُ وَلْيَتَلَطَّفْ وَلَا يُشْعِرَنَّ بِكُمْ أَحَدًاQuran Surah Al-Kahf 18 Verse 19
“Warak ورق ” in Arabic means paper. “Warikikum بِوَرِقِكُمْ ” means your paper money, not coins. So the Quran says that paper money was known and used long before the Chinese.
How could an illiterate man who lived 1400 years ago have known about paper money?
(The Christian Bible falsely claims that during the time of King David they paid for the temple 10,000 gold darics; which turned out to be coins struck by King Darius 400 years later 1 Chronicle 29:7.)