www.sditraining.com.au A short presentation summarising the history of paper money.

1. The History ofThe History of
MoneyMoney

2. First there was BarterFirst there was Barter
 From 9,000-6,000 B.C., livestock wasFrom 9,000-6,000 B.C., livestock was
often used as a unit of exchange.often used as a unit of exchange.

3. ShellsShells
 At about 1200 B.C. in China shellsAt about 1200 B.C. in China shells
became the first medium of exchange,became the first medium of exchange,
or moneyor money

4. Metal moneyMetal money
 China, in 1,000 B.C., produced mock cowryChina, in 1,000 B.C., produced mock cowry
shells at the end of the Stone Age.shells at the end of the Stone Age.
Ancient Chinese coinsAncient Chinese coins
had holes in the middle sohad holes in the middle so
that they could be carriedthat they could be carried
on strings, making it easieron strings, making it easier
to control large sumsto control large sums
of moneyof money

5. Silver coinsSilver coins
 about 500 B.C., pieces of silver wereabout 500 B.C., pieces of silver were
the earliest coins.the earliest coins.
These coins wereThese coins were
first shown in Lydiafirst shown in Lydia
or Turkeyor Turkey

6. Leather CurrencyLeather Currency
 In 118 B.C., banknotes in the form ofIn 118 B.C., banknotes in the form of
leather money were used in China.leather money were used in China.

7. Notes and PaperNotes and Paper
currencycurrency
 99thth
Century to 15Century to 15thth
century Chinesecentury Chinese
developed first paper moneydeveloped first paper money
 Excessive printing caused massiveExcessive printing caused massive
inflationinflation

8. Gold StandardGold Standard
 In 1816, England made gold aIn 1816, England made gold a
benchmark of value.benchmark of value.
Prevented inflationPrevented inflation
The USA adopted theThe USA adopted the
gold standard in 1900gold standard in 1900

9. Hyper InflationHyper Inflation
 In 1923 Germany experienced massiveIn 1923 Germany experienced massive
inflation by printing excessive money toinflation by printing excessive money to
pay it’s WWI debtpay it’s WWI debt
Inflation reachedInflation reached
270% per week270% per week

10. DepressionDepression
 In 1930 America began a world wideIn 1930 America began a world wide
trend to end the Gold standardtrend to end the Gold standard

11. Plastic MoneyPlastic Money
 In 1988 Australia invented the worlds firstIn 1988 Australia invented the worlds first
plastic note that lasts four time longerplastic note that lasts four time longer
than paper and is also fully recyclablethan paper and is also fully recyclable

12. FutureFuture
Digital cash and EFTDigital cash and EFT
will one day replacewill one day replace
currencycurrency