The conclusion of the currency swap agreement took less than a day.
A slapdash administrative process that could hardly be called high-speed.
The speed conveyed Arkenia’s desperation.
“Don’t you think this is too coincidental?”
“To offer such a proposal right before the kingdom collapses. In a situation where we have no choice but to accept.”
“Could that dragon, Teonar, be the mastermind? That… what was his name again?”
“Adam Smith?”
“Right. What if that guy’s actually a dragon?”
Of course, there was talk behind the scenes.
Even the merchants who heard the news whispered amongst themselves.
They suspected it was Milanoi’s doing, but,
“That’s unlikely.”
“Master?”
“I participated in reviewing that contract. There weren’t any clauses that particularly favored them.”
“Could it be a money laundering scheme? The kind that was rampant fifty years ago.”
“Paper money is supposed to have the value of one gold coin. It’s like exchanging gold for gold, so that’s not it.”
“…Is that so? Then why are they doing something that only benefits Arkenia?”
“They’re monsters, aren’t they? There’s no way they’d know how to profit like us.”
“I guess Teonar is just exceptionally intelligent.”
Unexpectedly generous transaction terms.
Deep-rooted prejudice against other races.
The combination of the two quelled the suspicion.
Everyone just assumed it was a dragon’s whim.
“……Krr?”
‘They’re still not suspicious? Aren’t medieval people too naive?’
Teo, who was eavesdropping, found the scene pathetic.
* * *
Three days passed like that, and it was the first day of the currency swap.
“How many did you exchange?”
“Ten for now. How about you?”
“Twenty. I’ll need at least that much.”
The merchants were the first to encounter the paper money.
From today, the currency used by the other races would be paper money.
They wouldn’t accept anything other than the ‘ten thousand won’ note.
To participate in trade, they had no choice but to exchange, whether they liked it or not.
“Did you check? About the gold coin that’s supposed to come out if you tear it.”
“I tried it. A Millenian gold coin came out. The purity is top-notch too.”
“More reliable than Arkenian gold coins.”
Fortunately, no one doubted the value of the paper money.
It was only natural, since one ten thousand won note corresponded honestly to one gold coin.
“Then let’s go. To spend money and make money.”
“Good luck.”
Anyway, the merchants with the paper money headed towards the steam train.
They flocked to purchase the other races’ manufactured goods.
The result?
“…Somehow, I ended up with more paper money.”
“It can’t be helped. The other races only made purchases on the first day.”
They had even more paper money in their hands.
Some even had bundles of cash.
…It couldn’t be helped.
The other race merchants had declared that they would only import on the first day, so what could they do?
They only sold, so it was natural for them to have more paper money.
Of course, it wasn’t a bad feeling.
“What are you going to do with this? Exchange it for gold coins?”
“There are still three days until the steam train leaves. They say they’ll be opening stalls from tomorrow, so I should go and see.”
“I was thinking the same thing. Let’s leave it as it is for now.”
The merchants all returned in high spirits.
It felt refreshing to trade with money instead of bartering for the first time in a while.
Perhaps it was because what they had in their pockets was paper money instead of gold coins, but their steps were light.
* * *
Three more days passed.
The atmosphere in the Merchant Guild was like a festival.
“This paper money is the best!”
“It’s been so long since I’ve traded without worrying about counterfeits.”
“Cheers to Leopoldus!!”
The merchants shared drinks with bright expressions.
It was a natural reaction.
How much had they suffered because of counterfeit gold coins?
Whenever they received gold coins from someone, they were in a hurry to trade them in case they were replaced with light fakes.
In the process, they had no choice but to take a painful loss, what they called a ‘fire sale.’
It had been months since they had traded comfortably and shared drinks without such worries.
“……Damn it.”
‘Those damn things, they only pick up strange rumors from somewhere and sell to me at a high price?’
A few, like Groza, who were firmly marked by the other races, couldn’t laugh…
But the atmosphere was mostly amicable.
“What are you going to do?”
“Master? What brings you here, Master?”
“I was finally freed from being tormented by His Majesty, and I saw you all looked happy, so I took a seat. I paid the participation fee, so don’t worry.”
In the midst of all this, the Guild Master of the Merchant Guild sat down.
Everyone smiled bitterly at the sight of him drinking wine straight from the bottle.
No one didn’t know how much he had suffered.
“Of course. By the way, what do you mean, what am I going to do?”
“The paper money. Are you going to exchange it for gold coins?”
“Ah, um….”
Perhaps that’s why.
No one took his question lightly.
Everyone pondered while holding their drinks.
‘The original plan was to cash out everything except what was needed for trade…’
‘But it’s light and convenient to use, this thing.’
‘A bond that can be exchanged for gold coins immediately? It’s revolutionary.’
Surprisingly, few people were negative about the paper money.
Usually, gold coins are difficult to counterfeit because of their weight…
But that also means they’re heavy.
Carrying just ten gold coins was quite heavy.
On the other hand, what about paper money?
First of all, it’s light. It’s easy to count. Its credibility is also high.
“Besides, you can carry this around comfortably. Without worrying about gold coins clinking together.”
One more thing.
Gold and silver are inherently soft metals.
If you put them in your pocket and jingle them around, the surface wears down and crumbles.
In other words, the weight of gold coins decreases just by carrying them around.
It even costs money to collect the fallen gold dust and turn it into gold.
It was bound to be unpleasant for merchants.
“The fact that it’s paid out immediately, unlike bonds, is especially good.”
“And unlike worn-out gold coins, they’re all shiny and new.”
“I almost want to use only this for a while.”
In that respect, paper money is a viable alternative to gold coins.
It has that many advantages and…
Above all, it has credibility.
That was the impression the merchants who had used paper money for three days had.
“Kk, Kkheu…!! Do you guys trust those monsters?”
“Groza? You were here too?”
“They’re all monsters! That thing will be just a piece of paper in a few days!”
Of course, some, especially those who were hostile to the other races, thought differently.
But the merchants didn’t pay much attention.
For now, they had to use paper money anyway.
“I’m just going to keep it as paper money. It’s going to be used only in Arkenia for the time being.”
“I’m actually going to exchange for more. They said you can exchange up to 100,000 for gold coins right away, right? I need to secure a lot.”
“Why, why are you ignoring me!! You guys trust those monsters….”
“You’re drunk, Groza. I’ll escort you to your mansion.”
“Even you, butler!!”
“…Now that the noisy guy’s gone, shall we have another toast?”
“”””To a golden future!!!””””
* * *
Paper money, the ten thousand won note, quickly replaced gold coins.
It was thanks to Mel, who had made up her mind to spread it around.
“Why is the line so long!? It’s still dawn….”
“Human over here! Milanoi will help you with the exchange!”
“…An imp? Ahem, I’m not trying to trick you, but this is a counterfeit gold coin.”
“No problem. His Majesty Leopoldus has agreed to pay for that amount in the future, so don’t worry and exchange it!”
“…Long live His Greatness Leopoldus!!!”
They even exchanged counterfeit gold coins.
It was only natural that merchants, the middle class, and even servants of noble families were lining up.
The 100,000 special currencies with Teo’s magic quickly ran out.
“From now on, we will exchange for ordinary paper money without magic!”
“Does that mean a gold coin won’t come out even if you tear it?”
“Even if you don’t tear it, you can bring it to the bank and exchange it for gold coins.”
“Hmm, I’ll come next time.”
Of course, after it was changed to ordinary paper money, it became a little less frequent…
“…Um, I received this from the head of the merchant guild. Can I exchange it for gold coins?”
“Haa, I told you not to tear it, but you didn’t listen.”
“He said his young son tore it. You guys have a heart for your children, so please, just this once.”
“You don’t have to appeal to emotions. If more than 80% of the paper money remains, we will exchange it for the full amount, and even if it’s up to 60%, we will exchange it for gold coins if you pay a few silver coins.”
“…Really?”
“Here, take one gold coin.”
“Thank you!”
Heartwarming stories heard from everywhere.
After rumors spread that they exchanged paper money that a baby had accidentally torn for gold coins, things changed.
The credibility built up with magic became even higher after the magic disappeared.
“Hmm… I can ban the use of gold coins now.”
‘The longer the mixed use period, the more Adam Smith will benefit.’
It was almost a month later that Leopoldus issued a ban on the use of gold coins.
Seras interrogated those entering and leaving the bank one by one with the Sword of Truth.
Nevertheless, it was uncertain whether they had completely blocked those ‘invisible hands.’
It was right to stop using gold coins as soon as possible.
“Your Majesty? Then what about silver coins?”
“Of course, we will continue to use silver coins.”
“What if they counterfeit them….”
“Counterfeiting would require the cooperation of a high-ranking magician. Counterfeiting silver coins has a low effect on disrupting the kingdom, and the benefits are significantly less than the effort. There’s no reason to do it.”
“Still, you never know.”
“I understand. From now on, we will reduce the silver content of the silver coins we issue.”
Unlike gold coins, silver and copper coins maintained their position as key currencies.
The two coins were practically the currency used in the kingdom’s daily life.
Changing that would have a big impact, so it was only natural.
“Hoo….”
‘This disaster is finally over.’
Now that paper money has successfully taken hold, the kingdom’s economic crisis is finally over.
With this much, the chaos and damage have been minimized.
Leopoldus assessed himself this way.
…It would have been clear if it had ended like this, but,
“Captain- Aren’t you drinking more? You’ve been working hard at the bank every day~.”
“I’m good.”
‘I haven’t seen Leo for a while. I’m worried about whether he’s eating well, so I should go quickly.’
On the day the gold coin exchange officially ended.
Seras left the Knights’ banquet early, and,
“I’ll pay in advance, so don’t worry about money and drink.”
“Oh, are you sure? This place is quite expensive~?”
“Can’t I treat my hardworking subordinates? Owner? Please give me the bill.”
-Thump.
“Calculate the cost of what they will eat all night with this. Keep the change.”
“…!!!? This is 100 gold coins worth?!”
“Captain, aren’t you drunk?!”
“I’m not drunk. I just want to commemorate a good day.”
The bundle of ten thousand won notes she threw on the table.
Lastly—
“Don’t be stingy, eat and drink to your heart’s content. That’s an order as the captain of the Knights.”
“……Yes!”
‘What’s that. Cool.’
The moment the knights’ chivalry was stimulated by seeing that.
Things started to go wrong.
“…They’re even exchanging silver coins for paper money?”
‘Even if it’s the great currency with your face on it, aren’t humans crazy?’
It was the start of a mega-trend that even Mel couldn’t have predicted.