Yen History
The history of the Yen
The origin of Japanese currency can be traced to the Wu Zhu bronze coin of China, which was introduced under the Han Dynasty around 221 BC. Until the 8th Century the Japanese imported such coins from China. However, in 708 the Japanese government began minting their own silver and copper coins called the Wado Kaichin or Wado Kaiho, which imitated the Chinese Kai Yuan Tong Bao coin 's size, shape, and weight.
Approximately 250 years later though, the Japanese government entered into a period of decline and as they could no longer mint their own currency, begun to import Chinese currency again. Over the next few centuries, the inflow of Chinese coins did not meet the demand for a monetary medium that resulted from the growing trade and economic expansion. To meet this demand, two privately minted Japanese coins (from the 14th - 16th century) Toraisen and the Shichusen entered into circulation.
Around the late 15th Century, warlords had accumulated large debts that needed to be paid off, which subsequently encouraged the minting of gold and silver coins known as the Koshu Kin. Under the rule of Toyotomi Hideyoshi (Edo Period), gold coinage was made into a standard currency. The Tokugawa Shogunate Government then established a unified monetary system that consisted of these gold coins in addition to silver and copper. Minting took place in the Kinza Gold mints where the present head office of the Bank of Japan now stands.
Although some paper currency had been introduced previously (circa 1600), it was not until the Meiji Restoration that the first nationally accepted paper money was established. The Meiji Government wished to simplify and centralise all the various coins (holding different values) that came about under the Edo Period and thus created the Yen in 1871. The New Currency Act developed a monetary system similar to that of European countries, and made a decimal accounting system of Rin, Sen, and Yen.
Thus the gold standard
The origin of Japanese currency can be traced to the Wu Zhu bronze coin of China, which was introduced under the Han Dynasty around 221 BC. Until the 8th Century the Japanese imported such coins from China. However, in 708 the Japanese government began minting their own silver and copper coins called the Wado Kaichin or Wado Kaiho, which imitated the Chinese Kai Yuan Tong Bao coin 's size, shape, and weight.
Approximately 250 years later though, the Japanese government entered into a period of decline and as they could no longer mint their own currency, begun to import Chinese currency again. Over the next few centuries, the inflow of Chinese coins did not meet the demand for a monetary medium that resulted from the growing trade and economic expansion. To meet this demand, two privately minted Japanese coins (from the 14th - 16th century) Toraisen and the Shichusen entered into circulation.
Around the late 15th Century, warlords had accumulated large debts that needed to be paid off, which subsequently encouraged the minting of gold and silver coins known as the Koshu Kin. Under the rule of Toyotomi Hideyoshi (Edo Period), gold coinage was made into a standard currency. The Tokugawa Shogunate Government then established a unified monetary system that consisted of these gold coins in addition to silver and copper. Minting took place in the Kinza Gold mints where the present head office of the Bank of Japan now stands.
Although some paper currency had been introduced previously (circa 1600), it was not until the Meiji Restoration that the first nationally accepted paper money was established. The Meiji Government wished to simplify and centralise all the various coins (holding different values) that came about under the Edo Period and thus created the Yen in 1871. The New Currency Act developed a monetary system similar to that of European countries, and made a decimal accounting system of Rin, Sen, and Yen.
Thus the gold standard
Links: of Interest Regarding the Japanese Yen Varieties of resources are available for those who wish to invest in Japanese yen, or to become forex -savvy, at least. MSN money provides a slew of information on the Japanese yen. From the present condition of the exchange (/JPYUS), to message boards full of investor angst, you can find quotes from various online retailers, the history of the yen and it’s investment, and currency calculators so that you can compare the Japanese yen against other currencies and decide for yourself where to put your money. Forexblob.org offers well written, newsworthy, and refreshingly, cynical information on all forex and one may find their articles on the Japanese yen particularly helpful. Because September saw an election of a new Minister of Finance, Hirohisa Fujiii, learning about the minister’s plans for the yen can be of great value. Reading about the election itself in Forex blog’s Japanese Elections and the Yen is useful, as well. FX Street offers a comprehensive look at forex, and various kinds of currency, including the Japanese yen. Providing up-to-the-minute economic calendar, interest rate reports, economic indicator reports, and news, FX Street relies to published, verifiable material rather than user advice. Like other sites, FX Street does have a forum for bloggers to share tips and commiserations, but the resource as a whole draws the fact-seeking sort. Action Forex may give you insight into the outlook of the Japanese yen. This site is similar to FX Street, in that they provide you with comparisons and forums on the world market, but it also gives guidance to long-term investors, specifically, which is of especial interest for prospective yen investing. The web is essentially your oyster. Beware of sites claiming to have “the secret,” as there is no investment holy grail. Rest assured, plenty of valuable information is waiting to be discovered, and the above sites are only a few examples.