From Coin to Code: The Evolution of Money

Article by Deidre Prinsloo (13.12.2025)

Money was created as a medium of exchange in 700 BCE to help the inefficient barter system. The first coin was created by the Lydians and was made out of electrum, which is a natural alloy of gold and silver still used today. Later on, bartering was completely switched out for coins and in the 7th century bank notes were created in China for safer travel and better convenience. In the 16th century, the modern day check was invented, and in 1865, the charge coin was created, which was an early form of credit made for trusted customers to buy now and pay later. While not all stores used charge coins, many gave charge coins to regular customers so that they could pay at a later date, most typically at the end of the month. This system introduced the idea of delayed payment, something that is still used today. 

This system was used for many years, even after IBM 801 Bank Proof Machines were invented in 1934. Their purpose was to sort, list, prove and endorse checks which proved to make handling checks a lot easier. Although the checks were a lot simpler, not everyone enjoyed using them and kept using charge coins, so to make it easier Farrington Manufacturing Company invented the charga plates in 1928. Charga plates were metal plates, all metal plates with customer information made by large scale merchants for their regular customers. The clerk would put charga plate onto an imprinter, then put a charge slip on top where all the customers’ information was pressed through an ink ribbon ready to be taken to the bank.

In 1949 Frank McNamara, who was a businessman, forgot his wallet at home during a business dinner, leaving him determined to find a cashless way to pay. He partnered with Raph Schneider and Matty Simmons to create the Diners Card. Whereas ordinary Charga-Plates functioned only as store-specific credit tokens, McNamara reinvented the idea as a universal charge card, which was the first of its kind. By 1950 it was already accepted in 27 New York restaurants. The credit card was widely used by different businesses in the late 1950s to early 1960s. As credit cards became more popular more companies developed it. Although it wasn’t the first credit card company, the first successful general-purpose revolving credit card was made by Bank of America and was called Bank Americard. It was called a revolving credit card because it lets you borrow up to a certain amount of money and works in an endless cycle; you borrow money, repay it at a later date and then re-borrow it and so on and so forth. Bank Americard later expanded outside the United States and changed their name to Visa, which is one of the most widely recognized credit card brands.

Contactless payments provide a quick way to pay without having to enter a PIN. In 1995 the first contactless payment was recorded in South Korea by a Bus Transport Association and the first commercial credit transaction was recorded in Orlando, Florida, 2003 with MasterCard and after around 15,000 PayPass credit cards were issued to customers. 

Metal plates, paychecks and coins are rarely carried around in today's society, instead the tap of a phone or a smartwatch will instantly pay thanks to the development of Apple Pay, in 2014. With up to 744 Million users, Apple Pay is available in over 90 countries and supported by over 11,000 banks.

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