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So, wouldn't you like to discover how it was invented, and when where and why? well then, grab your wallet and get ready to go on a long journey back in time to uncover the weird and wonderful history of money. Wait there is more. WE are also going to share a fantastic secret that will show you how to save money and make it grow!
MONEY THROUGH THE AGES
[1] Barter Blues
Long, long ago, before money was invented, people exchanged or traded something they had for whatever else they needed. This is called barter.
From around 9000 BC, they began to exchange animals like sheep, goat, cows and camels for other things. In fact, cattle are still being bartered in some of the poorer parts of Africa, Asia and South America. Later, when people started growing crops, food grains and vegetables too were traded.
Of course, barter did not always work well. Imagine wandering around with cattle or cupboards! Also if someone wanted just a few cabbages he couldn't very well offer his buffalo's ears or tail in exchange . Nor could he give the whole buffalo - it would have been like trading a computer for a paint box. Then, if a man wanted rice and had pots to trade, but the farmer didn't want pots, he was in trouble. It all becomes a real pain, and in many parts of the world people came up with something better - MONEY
[2] Shell Money
Around 1200 BC, the Chinese started using cowrie shells as money. Others followed suit, and shells began to be used as money and jewelry in several parts of the world. The value of the shell depend on its shape and how rare it was.
Some of the best-known shell money comes from America. Native American tribes had been used strings of beads made from clam shells as money. These were called wampum, which means "white" - the color of the shells . Although wampum were discovered by Europeans in AD 1535, no one knows how long they had been in use before that.
[3] Banks Begin To Boom
Soon, people wanted to save, store, share and spend... and that's when banks come into the picture, to help them do all of that. The earliest form of banking started around 3000 BC, in Babylonia, which was part of present-day Iraq. People kept their money and valuables in the temples there for safety, because they had strong walls and were considered sacred, so thieves were afraid to steal from them. These temples, in turn, grew very rich and also started lending money, as did the temples in Ancient Greece.
In Ancient Persia, Egypt, India and China, people were allowed to keep there grain in state granaries, which also acted as banks. Do you know that the word "bank" come from Ancient Rome, where moneylenders would set up their stalls on a long bench called bancu!
[4] Metal Money
Okay.. so you know wandering around with coins clinking in your pocket. Imagine how the Chinese must have felt when they went jingle-jangle-poke, Once China introduced cowrie shells made of metal, and even knives and spades as money, around 1000 BC!
The earliest metal coin came from Lydia, which is part of present day Turkey, in 600 BC. They were round, made of gold and silver, and easy to carry. So everyone was happy. Some believe that similar coins were made in China and India too, at the same time.
The Greeks, Persians, Macedonians, and Romans soon copied those coins. Soon were stamped with their holy symbol such as turtles and owls, gods and goddesses; while Alexander the great started the custom of making coins stamped with the head of the ruler.
In the beginning, nobles and rich traders too made their own coin. Some were cheats and mixed with gold and silver. So to stop this, governments took over the making of coins.
[5] Leather And Paper Money
Every heard of leather money? Well around 118 BC, one-foot-square pieces of deerskin with color full edges were used as money, in China.
Now chalk up on more first to China! In AD 800, it became the first country to use paper currency. But the emperor kept printing more notes and the paper money grew and grew and grew. Do you know what happens when there's too much of something? It loses its value and no one wants it any more... and that's exactly how it turned out!
So from the fifteenth century, people stopped using paper money in China for several years. Paper money was invented again in Europe in the seventeenth century. And the rest of the world began to use it too as it's light and easier to carry than coins.
[6] Electronic Money
The next time you go to a mall, watch the way people pay their shopping bills. You'll notice that many of them don't use paper money, coins or cheques. Instead, they offer a credit card with which money can be transferred from their bank accounts, through computers, to the shop.
Nowadays , many people make payments this way, through the internet, for what they buy. It is called electronic banking. No, the computer doesn't handle actual notes and coins, but the money paid exists in its memory.
[2] Shell Money
Some of the best-known shell money comes from America. Native American tribes had been used strings of beads made from clam shells as money. These were called wampum, which means "white" - the color of the shells . Although wampum were discovered by Europeans in AD 1535, no one knows how long they had been in use before that.
[3] Banks Begin To Boom
Soon, people wanted to save, store, share and spend... and that's when banks come into the picture, to help them do all of that. The earliest form of banking started around 3000 BC, in Babylonia, which was part of present-day Iraq. People kept their money and valuables in the temples there for safety, because they had strong walls and were considered sacred, so thieves were afraid to steal from them. These temples, in turn, grew very rich and also started lending money, as did the temples in Ancient Greece.
In Ancient Persia, Egypt, India and China, people were allowed to keep there grain in state granaries, which also acted as banks. Do you know that the word "bank" come from Ancient Rome, where moneylenders would set up their stalls on a long bench called bancu!
[4] Metal Money
Okay.. so you know wandering around with coins clinking in your pocket. Imagine how the Chinese must have felt when they went jingle-jangle-poke, Once China introduced cowrie shells made of metal, and even knives and spades as money, around 1000 BC!The earliest metal coin came from Lydia, which is part of present day Turkey, in 600 BC. They were round, made of gold and silver, and easy to carry. So everyone was happy. Some believe that similar coins were made in China and India too, at the same time.
The Greeks, Persians, Macedonians, and Romans soon copied those coins. Soon were stamped with their holy symbol such as turtles and owls, gods and goddesses; while Alexander the great started the custom of making coins stamped with the head of the ruler.
In the beginning, nobles and rich traders too made their own coin. Some were cheats and mixed with gold and silver. So to stop this, governments took over the making of coins.
[5] Leather And Paper Money
Every heard of leather money? Well around 118 BC, one-foot-square pieces of deerskin with color full edges were used as money, in China.
Now chalk up on more first to China! In AD 800, it became the first country to use paper currency. But the emperor kept printing more notes and the paper money grew and grew and grew. Do you know what happens when there's too much of something? It loses its value and no one wants it any more... and that's exactly how it turned out!
So from the fifteenth century, people stopped using paper money in China for several years. Paper money was invented again in Europe in the seventeenth century. And the rest of the world began to use it too as it's light and easier to carry than coins.
[6] Electronic Money
The next time you go to a mall, watch the way people pay their shopping bills. You'll notice that many of them don't use paper money, coins or cheques. Instead, they offer a credit card with which money can be transferred from their bank accounts, through computers, to the shop.
Nowadays , many people make payments this way, through the internet, for what they buy. It is called electronic banking. No, the computer doesn't handle actual notes and coins, but the money paid exists in its memory.
