Water Margin: From today on, Liangshan is my decision!

Chapter 75 Minting Money and Establishing a Financial System.

Because it occupies the main north-south water transport route, Liangshan has become a north-south commercial trading center. Previously, it was also a merchant from the north and south, trading with each other the specialties of their respective regions.

But as the industry of the territory developed rapidly on this basis, it took root and swept the north and south markets with the posture of no competitors.

The industrial products produced by Liangshan have reached the point of dominating the world. Of course, the dominance of this industrial commodity is extremely fragile.

The fundamental reason is that if the Great Song reacts and wants to be ruthless and cut off the north-south transportation, then the external channels established by Liangshan will be completely lost.

Industrial products produced in large quantities cannot be sold.

But for this, Xiao Chen had already taken precautions and prepared for the worst.

The first is to achieve self-sufficiency in raw materials, in case there are no external raw materials to enter, territorial workers

“Karma has completely stopped and abandoned. The second is the sales channel. ”

In this regard, sales channels can be established internally to achieve internal circulation. Three million people in the territory are already eligible to achieve small-scale internal circulation of industrial goods.

Another way is to open up a sea outlet and open up maritime trade. If the Great Song can still stop the water transport internally.

Then for sea transportation, the Great Song did not have such a strong control. The huge industrial scale of the territory, as well as the huge sales channels to the outside world.

It is enough for the territory to build a financial system that is beginning to take shape. And the financial system, the most important point, is to achieve monetary autonomy. That is, minting money!

In terms of coinage, Xiao Chen decided to go steadily first. Copper and silver coins are minted first.

The territory’s industrial technology reserves can allow the territory’s precious metal currency to achieve mass production, as well as exquisite, to achieve a large amount of market flow.

The biggest benefit of minting money is that you can get a “seigniorage tax”.

The so-called seigniorage is that copper coins and silver coins are not all made of copper and silver, but a small amount of cheap metal is added.

In this way, as long as the minted currency can be circulated, then the “seigniorage tax” can obtain a profit of five percent of the issuance.

If it is a black heart point, ten percent or even twenty percent, then it can be done! It may seem that the profit is not high, but if the circulation is large, it will become a financial hegemon. Then, a “seigniorage tax” can be levied on the whole world.

This is the most significant benefit of financial overlords!

And the “seigniorage” of metal money is only the least profitable.

Subsequently, in order to facilitate transactions, bearer and essentially paper money such as copper and silver tickets were issued. At that time, the seigniorage will be high and scary.

In essence, it is a piece of paper that is not worth much, and the world’s copper, silver, and gold and other precious metals are scavenged.

At that time, it will be the leeks of the whole world that will be cut!

For this point, those Xiyi white skins, but in the future life to the people of the world, fiercely taught a lesson. On the other hand, it also makes people dare to be angry and dare not speak.

I know that I am cutting my own leeks, but I have to use it. This is the power of financial hegemony!

And the financial system, in addition to minting coins, collects “seigniorage tax”. That’s the deposit lending business.

At this point, the profit is also extremely high.

Most importantly, when it is necessary to liberalize the territory in order to stimulate the enthusiasm of the territory. Then, controlling the deposits of all the subjects of the territory is strengthening its control.

This trick is to harvest leeks internally!

When it’s time to concentrate and do big things.

Then print money wantonly and overissue currency, so as to implicitly achieve the purpose of concentrating manpower and material resources. This trick is not needed by Liangshan Army at present!

At all that time!

But what needs to be done is still needed to lay the foundation for the future.

At the same time, it is also Xiao Chen, a means to further strengthen the control of the territory.

Minting the currency belonging to Liangshan Army, establishing banks to absorb deposits, and finally achieving the purpose of issuing paper money and replacing metal money with paper money.

These take a long time to evolve and cannot be done in one step. But just minting metal money, it also makes a lot of gains. After deciding how to develop the financial industry and establish a territorial financial system.

Xiao Chen gave an order and began to build a comprehensive financial system from the territory. The first step was to set up a mint.

Copper coins, silver coins were minted on a large scale.

Then, in the foreign trading area of Liangshan, a bank was established to officially open the currency exchange and promote the market of the currency minted in Liangshan.

This step needs to be implemented forcefully.

It was impossible to rely on the merchants from the north and south to accept Liangshan’s copper and silver coins on their own.

It has to be strongly promoted.

Accept by their heads!

Because, in the eyes of these merchants from the north and south, the Liangshan army was surrounded by the Great Song Regiment, and there was no possibility of growing stronger.

In their opinion, as long as the Great Song Forbidden Army came, the Liangshan Army would have to be destroyed.

If you want them to obediently accept the currency of Liangshan Jun, it is impossible!

Therefore, Xiao Chen directly stipulated this.

……

But everyone who trades in Liangshan needs to use Liangshan’s currency!

Entry tax, berthing fee, transaction tax, food and accommodation, shop and warehouse rent, etc.

Everything that needs to be used must be traded in Liangshan’s currency.

In this case, the merchants of the north and south had to take out a large amount of copper money and silver gold to exchange for Liangshan’s currency.

In addition, Xiao Chen went further.

That is, the industrial products sold by Liangshan to the outside world are all settled in Liangshan currency.

At the same time, the raw materials purchased externally are also settled in Liangshan currency.

These axes fell down, forcing the merchants in the north and south to use the currency of the Liangshan army.

Subsequently, Xiao Chen took advantage of the trend to launch copper tickets, silver tickets, these bearer bills came out.

These bills, he did not force people to enforce acceptance.

Take the will-taker approach!

But when it comes to implementation, it’s also extremely fast.

Because exchanging copper coins, silver coins is too troublesome.

The trade of merchants in the north and the south, it is a ship of transactions.

The copper coins needed need to be packed in baskets.

As long as they were in Liangshan, they were more willing to exchange these bearer copper and silver tickets for trading.

And among so many merchants, there are always merchants who are troublesome and are too lazy to leave, and exchange copper and silver coins back.

When the purchase of full industrial products leaves, the profits earned are directly deposited into the bank in Liangshan.

So much so, after the establishment of Liangshan’s financial system.

Not only did money begin to circulate in a big way, but even heavy metals such as gold, silver and copper hoarded a lot.

These were all deposited by merchants from the north and south.

For Xiao Chen, that is, wealth has increased a lot in disguise.

In addition to the full circulation of Liangshan military currency to the outside world, Xiao Chen also began to gradually reduce the distribution of materials, but distributed copper and silver coins to the people working below.

With the passage of time, Liangshan’s currency began to gradually circulate in the market, and its stock was quite large.

This also means that the financial system of the territory is gradually established.

But if you want to become a financial hegemon, there is still a long way to go.

First of all, it is necessary to convince everyone that the regime of Liangshan Army will exist for a long time!

This restricts the development of the territory’s financial industry.

For now, the territory has only established the financial system, and it is not yet time to develop vigorously.

But even so, the establishment of the financial system has also raised the territory’s integrated use of resources by several levels.