This article will focus on the Chinese currency Yuan. It is regarded as a unit of modern currency in the Republic of China. The symbol is this currency is somehow similar to the Japanese and Korean currency. It is also being utilized to unit currency Dollar and some other currencies. For example, the US dollar is quoted as American Yuan and the Euro is called European Yuan.
The history of Yuan begins in 1889 where it was introduced with Mexican peso at par. The Mexican peso is a silver coin that was derived from the Spanish dollar. The currency was further divided into 1000 cash. The worth of Yuan was 0.72tael.
In 1890, several private and public banks started issuing currency notes in Yuan. At the beginning, the notes were issued at 1,2,5,50, and 100 Yuan. In 1903, the central government started issuing its own currency coins of Yuan. The coins were issued in brass at 1, copper 2,5, silver 1,2, and 5. With the passage of time, the designs of the coins were changed but their size almost remained the same until 1930. In 1936, the central government issued coins of worth 5,10, and 20 Yuan in nickel.
The coins that were issued in the beginning were developed by Kwangtung mint. In 1890, the other mints were started. However, in 1903, the central government started publishing its own coins. Later, the bank notes were issued in the same currency by the central government through private and public banks.
In 1917, a new currency was introduced, which was known as Fengtien Yuan. It was used in the three provinces of the China. In the beginning, this currency was set equal to 1.2 Yuan and this value carried on until 1925. In 1928, the currency saw a downfall time period due to the assassination of Zhang Zuolin. The early form of Fengtin was only in currency notes.
In 1930’s, due to the invasion of Japanese, plenty of new currencies were introduced in the China. At that time, Yuan again became the official national currency, and it was being issued by the bank of China. Silver Yuan coins were then banned in the China. Following this action, plenty of new types of coins were introduced.
After the revolution, there came an increase in the number of currency notes. Several issuers like Bank of China, bank of communications, and central bank of China were involved in issuing the currency notes. Along with that, the small notes worth 1,2, and 5 cents were also issued.
In 1949, the silver Yuan was introduced by the central government, which was equal to 500 million gold Yuan. It managed to float in the market until the end of the civil war. Until that to now, this is being used as the official currency of the China.
Link with US Dollar
In the beginning, the silver Yuan had same worth and specification as of silver Dollar. During the time period of Republican area, sometimes dollar was printed in the replacement of Yuan.