Gold and Silver in Fantasy Coinage

Are your fantasy characters in the market for a loaf of bread? A new suit of armor? A mercenary army? Then it’s time to think about how people in your world buy and sell things. Of course, the beauty of fantasy is that you can do anything. Do you want to write a world where the common currency is bolts of silk and songs of youth? Go for it! But if you want your world to be more grounded in the familiar, coins stamped out of gold and silver are both historically accurate and staples of the genre.

Gold and silver are both relatively soft metals that were easy to work using pre-modern technology. They are unreactive and resistant to corrosion, so coins will not lose weight over time and use. They are also metals that are rare and highly valued for creating objects of beauty and prestige, which gives coins struck from these metals intrinsic value not dependent on confidence in the state that issued them, unlike modern paper money. Gold and sliver coins were worth something no matter where you carried them, even if just to be melted down as bullion.

In the modern economy, with prices driven by industrial demand and market speculation, the relative values of gold and silver can vary widely. In pre-modern times, the values of these metals was more stable, shaped by the productivity of mining and refining on one hand and cultural demand on the other. Geological research has found that silver and gold ores occur naturally at a ratio of about 19 to 1, which is to say that for every 19 grams of silver in the earth waiting to be dug up, there is about 1 gram of gold. Ancient mining techniques were of limited efficiency, however, and it is likely that the ratio of metals actually put into use was closer to 10 to 1. Where we are able to compare the historical values of gold and silver coins in use by the same culture, we tend to find them falling within these brackets: one gold coin was typically worth 10 to 20 times its weight in silver coins. Bear in mind also that gold has about twice the density of silver, so a gold coin will weigh about double what a silver coin of the same size weighs. When gold and silver coins are struck at the same size, that means that we would expect one gold coin to have a value of anywhere from 20 to 40 silver coins.

Assigning an actual value to an individual coin is a trickier proposition. Pre-industrial economies are hard to compare directly with the modern world. Some things are much cheaper in real terms for us today than for our ancestors, like clothes and books; others are much more expensive, like labor. We rarely have good, comprehensive evidence for what a given amount of money could buy in any historical context (and when we do, it is often hard to tell whether the values and prices quoted are realistic or an expression of what someone in authority thought things ought to be worth).

In many cases, our best way of estimating the worth of a coin is to put it in terms of daily wages for a soldier. Military pay was a pressing matter of state finance that was important to get right—you definitely don’t want to forget to pay the people hanging around your castle with swords. That leaves us with reasonably good evidence for soldiers’ pay in many historical contexts (of course, not all soldiers are paid in money).

Gold coins are classic standbys for fantasy currency, but historically gold was too valuable for everyday use. The value of any specific coin depended on its weight, with heavier coins naturally worth more, but even a small gold coin was typically worth a great deal. Examples like the Persian daric or the Roman aureus had a value of approximately a month’s wages for a soldier or a skilled crafter. Most people in their daily lives would never even have seen a gold coin, let alone had occasion to spend one.

Silver was the standard metal for coinage in most places and times. Silver, like gold, could be minted at whatever weight the issuing state wanted, from large, high-value coins to tiny small change. Often, however, the basic silver coin in circulation, like an Athenian drachma or an early Islamic dirham, amounted to about a soldier’s daily wage.

The difference in value between gold and silver helps explain why gold coinage was rarely debased (issued at lower purity by mixing precious and base metals or applying a precious coating over a base metal core), but silver sometimes was. Gold coins were used for major state expenses and usually only came into the hands of people who could cause real trouble if they felt stiffed; silver was used for routine purchases and changed hands among people with limited recourse except to treat their debased coins as being worth less than face value.

Now, if you remember your classic Dungeons and Dragons coin charts, you may be wondering “What about platinum, electrum, and copper?” All of those metals do appear in pre-modern coinage, but they all have their limitations.

Platinum is extremely rare and hard to work by pre-industrial means. At least in the eastern hemisphere, it was not identified as a distinct metal until the 1500s. There is some evidence that metalworkers in pre-Columbian South America created alloys of platinum and gold, but the process is poorly understood, and they weren’t making coins with it. Traces of platinum are found in some ancient and medieval gold coins, but only as impurities not refined out of the metal. Moneyers in any pre-industrial world are unlikely to have the technology to deliberately produce platinum coins, and even if they did, the expensive and labor-intensive process would make it impractical.

Electrum is an alloy of gold and silver, either naturally occurring or produced by smelting. Some early coins were minted out of electrum, but a problem arose: because the ratio of gold to silver in a particular batch of electrum coins could vary, it was hard to be confident of its real value. Too much silver in the mix, and people might be reluctant to accept a coin at its stated value; too much gold, and it would be more profitable to melt coins down for their bullion value than to spend them. Most monetary systems moved away from electrum to pure gold and silver for the sake of stability.

Copper, usually in alloyed form like bronze or brass, was used for low-value coinage in many places. These coins could be useful for paying wages to ordinary workers or buying everyday goods like a mug of ale or a loaf of bread. Since copper is a much more common metal than silver or gold, its intrinsic worth was much less by weight. As a result, for copper alloy coins to have enough worth to be useful, they had to either be made much larger and heavier than contemporary silver and gold coins or else be issued at a face value significantly higher than their worth as raw metal. Most states that issued copper alloy coinage chose the latter route, making their copper coinage essentially a token whose value was guaranteed by the state’s promise to accept it at the issued value for taxes and fees rather than its metal content. For this reason, copper alloy coinage rarely circulated beyond the reach of the state that originally issued it, while gold and silver were useful as international means of exchange.

As always, you have the flexibility in building your own worlds to make the money work however you want, but for historical verisimilitude you can’t beat gold and silver for your coinage.

Image: Lydian gold Croessid, obverse, photograph by Classical Numismatics Group via Wikimedia (minted Sardis; 564-539 BCE; gold)

History for Writers looks at how history can be a fiction writer’s most useful tool. From worldbuilding to dialogue, history helps you write.

Swedish Riksdaler Plate Money Could Seriously Weigh You Down

Did you know that Sweden used to be a major power in northern Europe? A major power as in having land holdings pretty much all around the Baltic Sea and even beyond? If I hadn’t learned that at school, I probably wouldn’t know; it’s really not talked about much these days.

Anyway. One fascinating detail from my classes that has stayed with me is the large riksdaler plate money (Swedish: plåtmynt). They were circulated in the 17th to 18th centuries to reduce the costs of minting coins and ease the transportation of money.

The riksdaler could be quite large. For example, according to my old history book, the 1644 coin measured 20 x 70 cm (approximately 8″ x 27″) and weighed 19,7 kg (approx. 43-44 lbs). The one pictured below is from 1744 and obviously not nearly as big as that.

Swedish Platmynt 1 Daler

What if in your secondary fantasy world, instead of chests of thousands of coins, your intrepid adventurers had to deal with large metal sheet money, a dozen or so to a chest? Wouldn’t that be an interesting worldbuilding detail?

Image: Anja Laurila et al. Historia kurssi III. Porvoo: WSOY, 1990, p. 73.

History for Writers is a weekly feature which looks at how history can be a fiction writer’s most useful tool. From worldbuilding to dialogue, history helps you write.

Toss a Coin to Your Mercenary

If you’ve played a role-playing game, whether tabletop or computer, you’ve probably seen your hero complete a quest and get rewarded with a handful of coins (be they copper, silver, gold, or something more exotic). It’s a perfectly familiar experience that makes sense from a modern point of view: do a job, get money. There’s a historical connection, though, between mercenaries (which, when you come right down to it, is what a lot of RPG characters are) and coins.

Various objects have been used for trade in cultures all around the world, from cowrie shells to cacao beans, but the earliest coins as we traditionally know them—lumps of precious metal in standardized weights stamped with symbols—were produced in the kingdom of Lydia, in the mountains of western Anatolia (modern-day Turkey), in the seventh century BCE. Lydia had two good reasons for producing coins. One: they had an abundance of precious metal wealth in the form of electrum (a natural alloy of gold and silver) collected from the rivers that ran through Lydia’s mountainous land. Two: they needed soldiers.

For a period in the seventh and sixth centuries, Lydia was one of four major states that dominated the region we know today as the Middle East. The others were Egypt, Babylon, and Media. These four states competed for dominance in the region and needed to maintain strong military forces. Many of them looked to the smaller, poorer, less well organized societies on their borders as recruiting grounds for mercenary soldiers.

There are certain advantages to hiring mercenaries rather than recruiting your own people to fight your wars. Hiring mercenaries lets you put troops on the front lines quickly while keeping your own peasants in the fields producing food. The loyalty of mercenaries is not constrained by local ties or obligations. They can be tasked with dangerous or onerous tasks like digging siege tunnels or standing guard duty that might prompt unrest if you asked a levy of your own people to do them. Finally, if you send a company of mercenaries into battle and a lot of them die, you don’t have to deal with their angry families back home.

Mercenaries are not integrated into the economies in which they serve. Pre-modern societies were held together by bonds of mutual obligation established over years and generations of living and working together. Landowners had an obligation to protect the tenant farmers who worked for them, and tenant farmers in return had an obligation to work the land. Small farmers living together in a village owed one another mutual support. Crafters and other specialists such as priests, doctors, entertainers, scribes, and others who offered services for pay still did so in the context of long-standing relationships. When people like these were called upon to form an army, they fought in defense of their homes and families, but also within existing relationships of obligation and patronage. Even if there was no formal compensation for militia service, a tenant farmer or a blacksmith who went off to war could expect that some of the benefits of victory would filter down to them through these relationships.

If you want mercenaries to fight for you, though, you have to pay them. You can offer food, clothing, and other goods like that, but a person only needs so many shirts, and extra food is hard to lug around from camp to camp. You can promise them land once their service is done, but that can cause conflicts with your own people who may not want a bunch of foreigners settling nearby. Also, having a lot of experienced fighters with nothing to do hanging around your kingdom can lead to trouble—once they’ve finished fighting your wars, you generally want them to go away again. For similar reasons, you don’t want your mercenaries to feel as though they’re being cheated or paid unequally, so whatever you pay them should be something whose value is easy to measure.

So the ideal characteristics of mercenary pay are:

  • Something that doesn’t excessively burden your own people to spend.
  • Something easily portable.
  • Something whose value is not dependent on being tied into your society or economy.
  • Something whose value is easy to measure.

For the kings of Lydia, the answer was easy: lumps of precious metal in standardized weights stamped with symbols. Or, as we know them now: coins.

Lydia had plenty of electrum to spare; handing it out to mercenaries put no extra burden on the Lydian people. (Electrum, containing variable proportions of silver and gold, was hard to make coins of standard value out of, so early electrum coins were soon replaced with coins made out of pure silver or gold processed out of raw electrum.) Coins were easy to carry. Although the exact value of a given weight of metal could vary depending on local circumstances, a full year’s pay for a mercenary might amount to no more than a kilo and a half of silver or a tenth of a kilo of gold. Precious metals were in demand everywhere. Mercenaries from Greece, Thrace, or Caria could easily take their coins home and exchange them for land or goods. The symbols stamped on coins served in part to guarantee that they were minted to a standard weight, which made it easy for soldiers to confirm that they were being paid what they had been promised and that pay was distributed fairly.

The symbols on coins had another function as well. Early Lydian coins were marked with the heads of a lion and a bull. These images suggested harmony on many levels, including cosmological (the lion representing the sun, the bull the moon), ecological (lion representing the wilderness, the bull cultivated land and civilization), and social (predator and prey together as one). It was an apt symbol for a rich and powerful state recruiting the services of its poor and underdeveloped neighbors. The coins that mercenaries carried around with them were meant to remind them of their role as the hungry lions who fought for the rich Lydian bull and were rewarded for it. Not long afterward, kings began to put their own images and personal symbols on their coins, an even more pointed reminder to the mercenaries who received them of who they owed their loyalty to.

Not long after Lydians began minting coins, many other peoples began to do the same—some directly inspired by the Lydians’ example, others independently but for much the same reasons. The usefulness of these coins for facilitating trade soon also made them appealing to merchants, crafters, wandering minstrels, and lots of other people not embedded in the agricultural economy, but paying mercenary soldiers continued to be an important reason for kings and empires to mint coins for many centuries to come.

So the next time your hero returns to town after clearing out another dungeon full of monsters and gets a handful of coins as a reward, know that you are part of a very long tradition.

Image: Lydian gold Croessid, obverse, photograph by Classical Numismatics Group via Wikimedia (minted Sardis; 564-539 BCE; gold)

History for Writers looks at how history can be a fiction writer’s most useful tool. From worldbuilding to dialogue, history helps you write.