Interesting Facts About China
Paper Money
While paper money has long existed across the world, it was first created in Ancient China during the Tang Dynasty in the 7th century. The first paper money (folding bills) that Chinese people used were privately issued bills of credit or exchange notes. Paper money would already be used in China for 500 years before the practice spread to Europe. This practice only spread to the rest of the world during the 17th century.
As an advanced society, China also encountered some advanced financial issues. Because the production of paper notes skyrocketed, their value plummeted, resulting in an early form of inflation. This led the Chinese to halt the use of paper bills in 1455, and it would take another few hundred years for them to resume their usage.
