Chapter 943 The Wave of Reform

Why do you say it's a waste of time?

Originally, gold coins were used as currency and were circulated directly between Star Diamond Bank and consumers after they came out of the Illus Mint. Due to the characteristics of gold coins, the participation of the Illus Mint was no longer needed.

Dragons like gold, and goblins like wealth, so that both parties can reach a consensus on cooperation on gold coins. But if gold loses its currency properties, the main premise for cooperation between goblins and dragons will disappear!

On the other hand, after changing to banknotes, consumers will inevitably face problems such as currency damage and depreciation. In this case, they can only go to the Central Bank of Purandal for exchange.

In addition, the Central Bank of Purandal has obtained high-level authority to supervise currency and issue currency. This is equivalent to inserting a management agency between Star Diamond Bank and consumers.

In this case, Star Diamond Bank cannot be too casual in its savings policy and must look at the face of Purandal Central Bank...

What's worse is that all the gold coins in their vault have to be replaced with new banknotes. It's not that simple to get in and out, and the doorways inside are huge...

Would the giant dragon be willing to take out the gold coins that have been collected and exchange them for pieces of paper?

Galian was in an extremely bad mood. He glanced at Sasha Grott secretly, and then said: "Sir Tang En, I feel that this may be a bit inappropriate, right? What if people are unwilling to change to banknotes? Is it possible that you can still force them? Can’t do it?”

"Of course I won't force it."

Tang En took a sip of tea to moisten his throat, and before Galian could relax, he said calmly: "However, we have given a redemption period. If it is not redeemed after this period, we will cancel the currency status of the gold coins and will It is treated completely as an ordinary metal material, which means that if you don’t redeem it as soon as possible, the value of the gold coin will depreciate in the future.”

Normally, as one of the rare metals, the value of gold will not rise but fall after losing its currency status because of its wide range of industrial uses.

But in Purandhar, this route is not feasible.

Gold is soft and cannot be used to create armor.

Gold is not a good conductor of magic, and is inferior to magic metals in magic applications.

The rarity of gold is only among ordinary metals. Looking at the metal deposits contained in the entire Purandar and even the star world, the reserves of gold are definitely not rare. There are even rarer magic metals here.

There is no complicated microelectronics here, which requires the properties of gold.

Therefore, gold's final status is likely to be used to create some beautiful tableware, decorations, etc.

The market value it represents will plummet.

Tang En shrugged and continued, "At the same time, this also means that if the gold coins in your vault are not exchangeable or circulated, it will have no impact at all. You can do whatever you want."

Even if the dragon wants to collect a large amount, the reduction of gold will not affect the currency circulating in the market.

All in all, Tang En's attitude has been very clear. He is determined to abolish the gold standard and abolish gold's monetary status - after all, this thing will be used as the raw material for Oliha Steel. If the price is still so high, Costs are quite difficult to control.

Galian took a deep breath and said in a deep voice: "Sir Tang En, you are too confident. The value of gold coins is widely known. You can't cancel it just because you want to cancel its legal tender status. Solant Kingdom, Gray The Si Kingdom, the Ronitante Kingdom, the Renne Empire, and even those principalities are still using gold coins, and you cannot force everyone to do what you want."

Tang En looked at him meaningfully and said, "That's what I need to worry about, isn't it?"

He has been working hard to promote the influence of the Datang Chamber of Commerce. For what reason?

advanced technology!

Far beyond the financial resources of ordinary chambers of commerce!

Relying on the huge influence of the Datang Chamber of Commerce and promoting the new currency with the Datang Chamber of Commerce as the core, this is the only opportunity for currency reform.

Counting on the policies of the Illrus royal family? hehe……

From the moment the currency reform policy is implemented, gold coins will only come in and out of the Datang Chamber of Commerce. All currencies flowing out of the Datang Chamber of Commerce will be replaced by banknotes. Not only that, the Datang Chamber of Commerce will then issue salaries, bonuses and the like. It will also be completely replaced by banknotes, and Ellington will be the first to achieve full banknotes.

At the same time, the salaries of civil servants in the Illrus Empire will all be replaced by banknotes. It won’t be long before all the gold coins circulating in the Illrus Empire will be completely recycled and smelted, extracted into gold nuggets and stored, waiting to be synthesized into Ori. Harbin Steel.

In addition, the Tang Dynasty Chamber of Commerce has spread its presence in the Rennes Empire and the Ronitante Kingdom, and its influence is gradually expanding. Those two countries will soon have a mixed circulation of banknotes and gold coins. When merchants realize that carrying banknotes for transactions When it becomes more convenient and faster than gold coins, the influence of paper money will further expand.

At that time, even if Star Diamond Bank is unwilling to accept banknotes, there is nothing they can do - unless they are willing to give up the savings market, they can only watch the gold coins in their vaults being withdrawn bit by bit, and eventually face bankruptcy.

At that time, the worst case scenario is that Tang En will just open another Datang Commercial Bank to provide online savings services. Isn’t it great to fully embrace the market of Star Diamond Bank?

Tang En said earnestly: "The times are progressing and society is reforming. If you don't keep up with the times, you will only be eliminated."

"It's useless to say so much."

Gallian had no choice but to pin his last hope on Sasha Grot: "Your Majesty the Dragon King will not agree to the currency reform plan!"

"I agree."

"Look, I just said - wait!? Your Majesty the Dragon King!? What did you say? Do you agree!?"

The unexpected reply left Gallian completely stunned.

"Yes, I said I agree."

Sasha Grot waved his hand and said, "We will discuss this matter with Rivitz, so you don't need to say anything more."

If Gallian was struck by lightning, what would happen to the world?

Even the giant dragon, who loves gold coins so much, can actually accept this ridiculous reform plan! ?

"Without further ado, let's go find Rivitz now."

Tang En stood up, Sasha Grott nodded, and then the two of them left directly using the teleportation technique.

The confused Gallian didn't even know how he left the Lord's Mansion. He only knew that he was probably getting further and further away from the golden gold...

"Rare visitor!"

When he saw Rivitz, he was riding his tricycle in the garden. When he saw Sasha Grot looking at his tricycle curiously, Rivitz grinned and said with a flattering look on his face: "Dragon King Your Majesty, do you want to try it?"

"Forget it, it's not suitable for me."

Sasha Grot waved his hand and sat down next to him.

Rivitz looked at Tang En curiously: "Your Excellency Tang En, now is the busy time in Alexis, how could you think of coming to my place to sit here?"

"Of course I have something serious to talk to you about."

Tang En smiled slightly and told Levitz about the currency reform.

As he expected, Rivitz also panicked when he heard that Tang En had reorganized the Illrus Mint into the Purandal Central Bank. However, he did not speak immediately, but listened to everything he said.

When he learned that the Central Bank of Purandal did not provide savings and loans, he was relieved, but then he felt worried again.

"The status of paper money replacing gold coins? This is simply, simply whimsical!"

Rivitz said with a look of disbelief: "How can a mere piece of paper be compared with the value of a gold coin?"

Tang En pondered for a moment and said: "Sir, Mr. Rivitz, if I want to buy something from you, but I don't have any cash on me, then I will write you an IOU and take the things away first, and then I will give you the money in a few days. Can you Can’t you accept this kind of transaction?”

"Of course, you certainly don't need that little money -"

Tang En chuckled: "Since IOUs can represent a certain monetary value, why can't banknotes?"

Levitz was stunned and didn't know how to answer him.

"We came to you just to communicate with you and open the banknote storage business of Star Diamond Bank as soon as possible. You can directly exchange currency with the Central Bank of Purandal. When customers withdraw cash, they will replace gold coins, silver coins and copper coins with banknotes of equal amounts. Help us as soon as possible Promote the circulation of banknotes.”

Seeing what Rivitz wanted to say, Tang En waved his hand and continued: "You can not accept this condition and continue to trade with gold coins. However, if customers bring banknotes to your place to deposit, and you do not accept it, the market will inevitably collapse. It will create another bank that offers this service, and you will have to watch your customers go to other banks.”

"hiss--"

Rivitz took a breath of air and subconsciously looked at Sasha Grot: "Your Majesty the Dragon King——"

"I have expressed my support for Twain's currency reform plan."

Sasha Grot raised his chin: "You talk, don't worry about me."

Sasha Grott came here just to express his position. How to talk about it depends on Twain and Levitz.

"Sir Tang En, this news comes too hastily, and I cannot give an immediate reply."

Rivitz decided to delay and consider the risks and opportunities involved.

"Of course, that's your right."

Tang En made a "please" gesture and said with a smile: "However, I will not slow down the pace of currency reform. I promise that it will take no more than one month for the entire Illus Empire to complete the currency conversion. New versions of banknotes will appear even here in Nanila, and they may start to face a situation where they cannot save money. I thought that at that time, you will make the right choice."

Levitz became anxious: "You are forcing me to have a baby!"

"No."

Tang En pulled his collar and said, "I'm just kindly reminding you - the pace of reform has already begun. Whether you want to catch up or stay put, it all depends on your thoughts. "