Gao Wu Da Xia: The fox demon lady at the beginning

Chapter 138 The Foundation of a Commercial Empire

Currency has brought great convenience to people’s economic life, and most people have become accustomed to it.

However, if the monetary system loses control, especially if the credit foundation of the currency is shaken, it will fall into a currency crisis in which the currency value collapses.

Inflation is overwhelming, and its negative effects are so severe and influential that no other invention in the world can compare with it.

The consequences of the currency crisis are mainly manifested in severe devaluation and inflation.

Since time immemorial, those in power—whether kings, emperors, or parliaments.

They all try to use the method of increasing the amount of money as a means to obtain the resources required for war, or to establish immortal achievements or to achieve other purposes.

They are often tempted by this, and whenever they do, inflation ensues.

In fact, inflation in Daxia is already very high. Take the price of rice, which people are most concerned about, as an example.

The price of rice in most states has doubled from one stone and one tael of silver a few years ago to one stone and [-] taels of silver now.

In Yuzhou, where disasters were severe and rebels were rampant, the price of rice even rose to one stone and three taels of silver.

In troubled times, the most valuable thing is food.

Once caught in a war, in many cases even gold and silver cannot buy food.

In the current summer, the main cause of inflation and rising prices is drought.

The drought has led to a reduction in grain production, and as soon as the grain production is reduced, prices begin to rise.

Second is the currency confusion.

The currencies on the market are too chaotic now. The treasure coins of the southern states are used by the most people, followed by the imperial court coins.

Many people even stopped accepting money from the court when they were collecting money.

Because the composition of currency is becoming less and less, the currency of one tael of silver may be half of silver, and the remaining half of tael is mixed with other cheap metals.

Corrupt officials in the court became more and more blatantly exploiting the poor people.

Various local treasure coins are also adulterated, but they are better than ordinary coins.

Han Chufan thought in his heart that if he could issue a high-quality gold and silver currency, it could replace the bad coins on the market.

Once you monopolize the right to issue currency, you will gain huge benefits.

The seigniorage tax alone will be a huge sum of money every year.

Moreover, through currency, the entire empire will be controlled from hidden corners.

People in the Daxia court did not understand the importance of currency issuance rights at all.

What they know best and are most interested in is fighting among themselves, making money, and keeping concubines.

Han Chufan looked at the gold mine in front of him, his eyes sparkling.

This gold mine would be the beginning of his business empire.

Han Chufan returned to Ping'an Fort and called in his financial steward Chen Jingwan.

"Meet Marquis Pingbei." Chen Jingwan bowed respectfully.

"Haha, let's skip the ceremony, Jingwan."

"Hehe, your Excellency is now a Marquis, and your majesty is getting more and more serious."

"Don't talk nonsense here. I asked you to come here for a serious matter."

"What orders do you have, sir?"

"Look at this." Han Chufan took out the gold particles.

"Gold particles, sir, where did this come from."

"A gold mine was discovered over there in Wanren City. I brought it out from there."

"It's great that there is a gold mine there. The value of a gold mine is huge."

Chen Jingwan said excitedly.

"Jingwan, through these gold particles, what other ideas do you have?" Han Chufan asked with a smile.

"Um? Sir, besides selling this gold, what else can we do? Do we want to open a gold jewelry store ourselves?"

Chen Jingwan thought for a while, but couldn't think of anything else.Han Chufan shook his head.

"This gold is the foundation for the birth of a business empire."

"Sir, how do you say this?" Chen Jingwan asked in confusion.

"I have an idea. I will mint a new gold and silver currency myself to replace the Tongqian and Baoqin that Daxia currently uses."

"My lord wants to mint coins."

Chen Jingwan nodded. Nowadays, many of the rich local businessmen are minting coins privately, especially in the southern states, where most of them are minting coins privately.

But Han Chufan said that he wanted to replace all common money and precious money circulating in the market, which shocked Chen Jingwan.

The common money and treasure money currently circulating in the market are mainly made of copper and silver.

One tael of silver can be exchanged for a thousand copper coins.

Because of its low output, gold is not a mainstream currency.

Most people will exchange gold for silver.

One tael of gold can be exchanged for ten taels of silver.

"Sir, if you want to replace all the common money and precious money circulating in the market, let's not say how difficult it is to achieve it.

The amount of silver and copper required alone is extremely huge. "

"Of course we have to do it step by step. The first thing I want to do is to make silver and gold coins without any adulteration.

This high-quality currency will gradually be recognized by the people. We can slowly increase the number of issuances and eventually obtain a currency monopoly.

Jingwan, once we obtain the currency monopoly in this world, do you know what it means? "

A magical smile appeared on Han Chufan's face.

Chen Jingwan found that her mind could no longer keep up with Han Chufan's thoughts.

She thought for a few minutes, a look of shock on her face.

"Sir, once we monopolize currency, we will control the economic lifeline of this world."

Han Chufan smiled and shook his head.

"No, you should think more boldly, we will control the whole world."

Chen Jingwan was so shocked that she couldn't close her mouth, digesting Han Chufan's words in her heart.

Through currency, control the entire world.

"People in the Great Xia court don't know the importance of currency issuance rights and monopoly rights.

They don't even know how much benefit they can get from issuing currency.

They are short-sighted and only focus on the material money of minting coins. They are really stupid.

Jingwan, we will create a business empire of our own through new currency. "

Although Chen Jingwan could not fully understand Han Chufan's words, she felt that a bright door had slowly opened.

Behind the door is what Han Chufan calls the business empire.

"Another important point is that I will establish a bank to store and lend gold and silver coins. In the future, I will also be in charge of the issuance of gold and silver coins, and even banknotes."

"A bank? Is it similar to a bank? I can understand gold and silver coins. What are the banknotes, sir?"

Chen Jingwan asked again in confusion.

"Paper currency is similar to the banknotes, but it is different from the banknotes. It will replace gold and silver and will become the mainstream currency in the future."

"How is this possible? Only a few wealthy businessmen use banknotes, just for the convenience of carrying them. They will eventually be exchanged for silver.

How could something like this become a mainstream currency? "

Chen Jingwan said in disbelief.

"Why is it impossible? Then let me ask you, what is the nature of currency?"

(End of this chapter)