The Beginnings of Western Finance

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1 The Beginnings of Western Finance During the century between 376 and 476, the Western Roman Empire passed under the political control of various Germanic peoples. In 376, the Visigoths crossed the Danube, and exactly one hundred years later, the Ostrogoths took over power in Rome. During that epoch, the formation of the Christian West began on the ruins of Western Rome. Initially, the migrating tribes basically perpetuated Roman coinage. It was only during Carolingian times that the antique concept on coins and money was overcome. With this Coin Tour, the MoneyMuseum wants to present that development. 1 von 16

2 Bavaria or Baden-Württemberg or from the Region around Lake Balaton, Undefined Issue in the Name of Theodosius II ( ), Tremissis Tremissis (1/3 Solidus) Undefined Undefined Year of Issue: 408 Weight (g): 1.38 Diameter (mm): 15.0 Gold During the hundred years between 376 and 476 AD, the West Roman Empire fell under the political control of various Germanic tribes: In 376 the West Goths advanced by crossing the Danube and obtained permission from the Roman emperor Valens to settle in the province of Moesia. Exactly one hundred years later, Odoacer, the army leader of the Germanic auxiliary troops in the imperial army, replaced Emperor Romulus Augustus and seized power himself. In the meantime the invadors had become familiar with money, of course; they used Roman money for their trade and restruck coins themselves from time to time. Germanic tremisses from the 5th century are thus not rare, yet too little is known about them to be always sure where and by whom they were struck. For the most part they are poor copies of Roman coins, bearing the name and image of a Roman emperor this coin bears the name of Emperor Theodosius II. 2 von 16

3 Visigoth Empire, Imitative Solidus in the Name of Valentinian III ( AD) Solidus Visigoths Undefined in Gaul Year of Issue: 425 Weight (g): 4.42 Diameter (mm): 23.0 Gold Though influenced to a large extent by the late Roman Empire, Visigoth coinage developed its own characteristics. True to Roman archetypes, the obverse of this solidus depicts the bust of Valentinian III, one of the last Western Roman Emperors. The reverse shows Valentinian again, holding a statue of Victory in his left and a ferula in his right hand. One foot is standing on the head of a snake with a human head. Typically Visigothic is the little circle above the emperor's head on the obverse, illustrating a laurel wreath with a small hand in the middle (the Manus Dei), which is unfortunately hard to recognize on this coin. It stands for the elective monarchy of the Visigoths: Unlike the late Roman emperors, who declared their heirs co-emperors to ensure dynastic continuity, the Visigoth kings were elected. 3 von 16

4 Germanic Tribe in Italy, Senate of Rome, Follis (40 Nummi), c Follis (40 Nummi) Senate of Rome Rome Year of Issue: 493 Weight (g): 10.3 Diameter (mm): 25.0 Bronze In 476, the Germanic leader Odoacer (also Odovacar) overthrew the last West Roman Emperor and declared himself King of Italy. On the other hand, he acknowledged the supremacy of the Eastern Roman Emperor in Constantinople, who recognized him as King of Italy in return. Odoacer's bronze coins had a value of 40 nummi. They bore the image of the city goddess Roma on their obverse and the inscription INVICTA ROMA invincible Rome. The reverse showed the Roman eagle and, as declaration of the coin's value, the figure XL for von 16

5 Kingdom of the Burgundians, Gundomar ( ), Tremissis, Lyon Tremissis (1/3 Solidus) King Gundomar of Burgundy Lyon Year of Issue: 527 Weight (g): 1.44 Diameter (mm): 13.0 Gold After the collapse of the Roman power, "barbarian" chiefs ruled in Middle and Western Europe. They called themselves kings, dukes and suchlike. One of these "barbarian" kingdoms was the kingdom of the Burgundians, an eastern Germanic tribe. The Burgundians had established a kingdom east of the Rhine in the early 5th centur. In the year of 437 the Huns destroyed the Burgundian kingdom, however, and the surviving Burgundians resettled close to the modern city of Geneva. The capital of this second Burgundian kingdom was Lyon. At this time a pronounced monetary economy did not exist any more. But many of the Germanic chieftains had adopted Roman coins and even started to mint their own money. This tremissis was issued by Gundomar, the last king of the Burgundians, whose territory was conquered by the Franks in von 16

6 Frankish Empire, Merovinginians, Theudebert I ( ), Tremissis, Metz? Tremissis (1/3 Solidus) King Theudebert I of Frankia Metz? Year of Issue: 533 Weight (g): 1.29 Diameter (mm): Gold With the coinage of the Frankish king Theudebert I, a new monetary era began in Central Europe: Theudebert was the first Germanic ruler to issue gold coins in his own name. DN THEODEBERTVS VIC reads the inscrition on the obverse of this coin: Dominus Noster Theudebert Victor (Our Lord Theudebert, Victor). Admittedly, earlier kings of the tribes that had settled within the Roman Empire had circulated gold coins already. Yet hitherto, they had always issued that gold in the name of a Roman emperor, whose exclusive right the coining of gold had been for centuries. The kings of the Germanic kingdoms, the Vandals, the Visigoths, the Ostrogoths and the Lombards, had respected this. Theudebert, however, deliberately broke the imperial monopoly on gold coinage: it was the perfect way to manifest his royal ambitions vis-à-vis the Eastern Roman emperor Justinian. In a letter to Justinian, Theudebert made it known that his realm stretched from the Visigoth kingdom (on the Iberian Peninsula) and the North Sea to Pannonia (about today's western Hungary, Slovenia and Croatia). This did not comply with reality, but it revealed his aspirations. 6 von 16

7 Kingdom of the Lombards, Alboin ( ), Tremissis, 572, Pavia Tremissis (1/3 Solidus) King Alboin of the Lombards Ticinum (Pavia) Year of Issue: 572 Weight (g): 1.36 Diameter (mm): 19.0 Gold The history of medieval coinage in Italy began with the Lombards, who invaded Italy in 568. The Lombards came as enemies, without imperial authorization, and so were unable to take over the existing administration. They likewise failed to capture Ravenna or Rome, the two major mints, and besides the country was so ruined by warfare and epidemics that there was little demand for coin. Despite of this, the earliest coins of the Lombards were copies of tremisses of Ravenna in the names of the Eastern Roman emperors. From their originals they are distinguishable only by their blundered inscriptions. This very rare tremissis was issued under King Alboin, the conqueror of Italy and founder of the Lombard kingdom. It is an imitation in the name of Emperor Justin II ( ), whose bust is depicted on the obverse. The inscription is DNIVSTI NVSPPAVC. The reverse shows a Victory with a wreath and a cross and the legend VICTORIA AVCVSTORVM and CONOB. 7 von 16

8 English Kingdoms, Primary Sceat, c , presumably in Southern England Primary Sceat Undefined Southern England? Year of Issue: 680 Weight (g): 1.26 Diameter (mm): 12.0 Coins were minted in England from about 650 AD. At first, the issue of coins went a little precariously, but since the time of Alfred the Great ( ) coins were struck regularly and in bigger quantities in diverse mints all over England. At that time, the Royal Mint in London was established, where British coins have been issued ever since. This sceat was probably struck in Kent and dates from the second half of the 7th century. At that time, a large series of sceattas was minted in England; they all show a bust with an aureole on the obverse. The reverse depicts a square standard and the letters VOT XX. For one and a half centuries, such coins were the main currency of the Anglo-Saxons and their neighbors across the English Channel until the 8th century, when they were displaced by a new coin type: the penny. 8 von 16

9 Frankish Empire, Charlemagne ( ), Denarius (Pfennig), after 793, Milan Denarius (Pfennig) Emperor Charlemagne Year of Issue: Milan 793 Weight (g): 1.7 Diameter (mm): Schweizerisches Landesmuseum Dep. ZB In the years of , the Frankish king Charlemagne conducted a comprehensive reorganization of Carolingian coinage. Charles' "novi denarii," as they were called on a synod in Frankfurt in 794, bore the king's monogram together with his name and title CARLVS REX FRA(rancorum) on one face. The other face showed a cross, and around it the name of the mint, here MEDIOL(anum) for Milan. Charles not only standardized the coinage of his realm, but also introduced a new coin weight, the socalled Carolingian pound. The exact weight of this pound is unknown, however. One Carolingian pound comprised 20 schillings (or solidi), of which each held 12 pfennigs (or denarii). Thus, from one pound of pure silver, 240 pfennigs were struck. This coin standard remained unchanged for a very long time in the United Kingdom, it was in use until in 1971! The pfennig was the successor to the Roman denarius. The German word "pfennig" and the English term "penny" correspond to the Latin term "denarius" the "d" on the old English copper pennies derived precisely from this connection. The French coin name "denier" stemmed from the Latin term, as well as the Italian "denaro." 9 von 16

10 Holy Roman Empire, Louis the Pious ( AD), Denarius (Pfennig) Denarius (Pfennig) Emperor Louis the Pious Undefined, in Italy? Year of Issue: 814 Weight (g): 1.66 Diameter (mm): 20.0 The tight organization of the coinage system that Charlemagne had imposed, was given up by his successors. Under Louis the Pious, Charlemagne's successor as King of the Franks, the privilege to mint coins was for the first time granted to a monastery for its profit. This was soon to set a precedent and is proof of the importance of the monasteries for education, promoting art and culture as well as revitalizing trade. The obverse of this pfennig shows a building with a cross in the middle, which is meant to represent a church. In the wreath it says "Xristiana Religio." This type of coin with its church façade and Louis' name continued being struck well after the king's death. 10 von 16

11 Frankish Empire, Charles II the Bald ( ), Denarius (Pfennig), c. 843, Orléans Denarius (Pfennig) King Charles the Bald of Frankia Orléans Year of Issue: 843 Weight (g): 1.78 Diameter (mm): 20.0 As the standardized coinage of the Frankish Empire began to dissolve again already under Charlemagne's immediate successors, Charles the Bald introduced a new monetary reform in 864. With the Edict of Pîtres, the empire's coinage was to be homogenized once again. At the same time, Charles replaced the traditional inscription naming individual rulers by the pious but more impersonal D(e)I GRATIA REX: King by the grace of God. The Council of Pîtres also regulated the punishment for counterfeiting, reduced the number of coin types, and tightened the control of the mints. The number of places allowed to strike coins was reduced from about 125 to 10, which was never actually realized, however. This denier was minted in Orléans, as the inscription AVRELIANIS CIVITAS indicates. Orléans was one of the ten mints named by the Edict of Pîtres as being authorized to furthermore produce coins. 11 von 16

12 Kingdom of England, Alfred the Great ( ), Penny (Lunette Type), Penny King Alfred the Great of England Undefined Year of Issue: 871 Weight (g): 1.02 Diameter (mm): 19.0 The penny was the Anglo-Saxon form of the Carolingian silver pfennig. English pennies typically bore the bust of the ruler on the obverse even of the kings would in general have been well advised to avoid representational art their diesinkers were mostly not up to that art. On the other hand, English pennies kept their weight and silver content stable for a long time, unlike the coins on the Continent. This penny from the time of the reign of Alfred the Great, who united the Anglo-Saxon kingdoms under the hegemony of Wessex, depicts a schematic portrait on the obverse, together with the inscription AELBRED REX. The reverse shows the legend DIAREL MONETA on three lines; it is the name of the mint-master, Diarel. 12 von 16

13 Kingdom of France, Hugh the Great (*895, 956) in the Name of Raoul ( ), Denier, Château-Landon Denarius (Pfennig) Duke Hugh the Great Château-Landon Year of Issue: 936 Weight (g): 1.35 Diameter (mm): 20.0 Toward the end of the 9th century, the power of the Frankish crown began to crumble. In France, royal authority over coinage was almost completely lost to the benefit of the feudal nobility. However, the diverse feudal lords mostly did not issue coins in their own name, but in the name of the king. This facilitated the turnover of the coins, and camouflaged that the French noblemen had made themselves virtually independent, for most of them had usurped coinage without royal consent. At the end of the century, about 100 different mints were in operation in France. This denier was issued by Hugh the Great, ruler over numerous duchies in France. The obverse shows the monogram of King Raoul, Hugh's brother-in-law, and the inscription GRATIA D I (by the grace of God). The reverse gives the name of the mint CASTIS LANDINI (Château-Landon). The letter "R" of CASTRIS is missing, however, and the "N's" are inverted. 13 von 16

14 Kingdom of Denmark, Harald I Bluetooth (c. 940-c. 985), Denarius (Pfennig), c. 975, Hedeby Denarius (Pfennig) King Harald Bluetooth of Denmark Haithabu (Hedeby) Year of Issue: 950 Weight (g): 0.3 Diameter (mm): 19.0 Barter was still used in the 10th century. Generally, however, people had begun to pay their purchases with money even in Scandinavia at that time. In 950, the Danish King Harald Bluetooth therefore began to strike coins on his account. In Haithabu, he had very light bracteates minted; they were so thin that the coin images pushed through on both sides. These half bracteates were copied after the deniers that Charlemagne had been minting in Dorestad; they bore a peculiar interpretation of a temple façade and the distorted inscription "Dorstat." 14 von 16

15 Holy Roman Empire, Herman I of Swabia ( ) and Otto I ( ), Denarius (Pfennig) Denarius (Pfennig) Duke Herman I of Swabia and King Otto I Breisach Year of Issue: 936 Weight (g): 1.4 Diameter (mm): 20.0 Schweizerisches Landesmuseum Dep. ZB In the Eastern Frankish Empire, the Carolingian dynasty ended in the year 911. This brought about a revival of the old tribal duchies Franconia, Saxony, Bavaria, Swabia and Lorraine, that had been dissolved under the Carolingians. The dukes of those duchies now assumed coinage themselves. The first coins of Swabia were struck under Duke Herman I in Breisach and in Zurich. In 936 Otto, the duke of Saxony, was elected as German king. Herman of Swabia recognized Otto's supremacy and documented this by issuing his coins both in his own name and in the name of the king respectively. The obverse of this pfennig bears the bust of Otto with beard and crown together with the inscription OTTO PIVS REX (Otto the pious king). The reverse gives the name of Duke Hermann and of the mint, Breisach, in the shape of a cross: H(e)RMANN and PRIS(a)Cus. It was Otto, however, who laid the base for the fragmentation of German coinage. With the allocation of the coinage prerogative to clerical princes and abbots, he tried to establish a counterpoise to the powerful dukes, and thus to strengthen kingship. This policy did not work out; instead, it was the beginning of sectionalism in German coinage. 15 von 16

16 Holy Roman Empire, Otto III ( ), Denarius (Pfennig), Cologne Denarius (Pfennig) Emperor Otto III Cologne Year of Issue: 983 Weight (g): 1.49 Diameter (mm): 16.0 The disintegration of coinage also brought about the diversification of the pfennig: independent coin motifs developed, the weights of the coins drifted apart, and so did their silver contents. The city of Cologne, where this pfennig was struck, at that time designed a coin motif that would become typical for the Cologne pfennigs until the mid-11th century: on the one face a cross and on the other the name of the city, S(ancta) COLONIA A(grippinensis), on three lines. And so, with the collapse of the Frankish Empire, the German pfennig, the French denier, the Italian denaro and the English penny developed in different directions. Stay with us you can find the history of those currencies, and of others, in our coin tours. 16 von 16

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