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However, they did not displace commodity money, and were used alongside coins.
These banknotes, known as "jiaozi", evolved from promissory notes that had been used since the 7th century.
Paper money or banknotes were first used in China during the Song Dynasty.
Eventually, these receipts became generally accepted as a means of payment and were used as money.
According to Herodotus, the Lydians were the first people to introduce the use of gold and silver coins.
Societies in the Americas, Asia, Africa and Australia used shell money – often, the shells of the money cowry
The first usage of the term came from Mesopotamia circa 3000 BC.
The shekel was originally a unit of weight, and referred to a specific weight of barley, which was used as currency.
Instead, non-monetary societies operated largely along the principles of gift economics and debt.
Bank money usually forms by far the largest part of the money supply.
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In 1971 the US government suspended the convertibility of the US dollar to gold.
The US dollar was in turn fixed to gold.
These gold standard notes were made legal tender, and redemption into gold coins was discouraged.
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