A form of currency utilizing lightweight material, primarily processed plant fibers, as its base value representation. This type of monetary system contrasted sharply with commodity-based economies that relied on precious metals like gold or silver, offering a more portable and manageable medium of exchange. An early example includes the use of promissory notes in China during the Tang Dynasty, which eventually evolved into government-issued bills.
This innovation significantly impacted global trade networks. It facilitated larger transactions across greater distances, reducing the logistical challenges and security risks associated with transporting bulky metallic coinage. The ease of production and management allowed governments to control the money supply more effectively, influencing economic policies and facilitating state-sponsored projects. Its adoption spurred commercial activity and urban growth in various parts of the world.