Paper Money

Money made from paper instead of heavy coins. Merchants could carry large sums more easily.

Started in the Song Dynasty.

Made trade easier, encouraged economic growth, and helped markets expand across China.

What: Currency made from paper, used instead of coins for trade and transactions.
Who benefited: Merchants, governments, and consumers for its convenience.
When: First issued during the Tang Dynasty, popularized in the Song (960–1279 CE).
Why it was important: It simplified commerce and became a precursor to modern financial systems.