City of Phoenix
Money in Phoenix
In the dying days of the Thieves’ Guild the organization decided to try and destroy the economy of the city and the surrounding communities by flooding the market with hundreds of thousands of counterfeit coins. These coins were plated, not solid precious metal. They forced shop keepers and citizens to take the false coins to settle the debts of the Guilds’ members. If you didn’t take it you died, and that only had to happen a few times before they were happily taken.
The aftermath of this was an economy on the verge of collapse. The Overlord stepped in and settled the matter with an idea that was thought to be pure insanity, paper money.
The government cooked up a deal with the churches to supply the exotic paper, and the mages guild to make the special magical ink. The government printed the money and then passed an edict that it would be the only currency accepted in the city. There was then a one time amnesty where the city would exchange your coin (even counterfeit!) for the new paper money with a small (3%) fee. It allowed the city to get all the counterfeit money out of circulation and restored faith in the citizens and the economy.
The Overlord used a considerable amount of the cities monies to make the scheme work, but within 3 years every paper bill was backed by it’s solid coin counterpart (as it should be).
Paper money is referred to by it’s certificate type (the coin it represents). So you have coppers, silvers, golds, and platinums. Of the certificate types you have denominations of 1, 5, 10, 20, 50 and 100. The values are the same for the paper money as for the solid equivalent, so a 10 Golds certificate is worth the same as 10 gold coins. Exchange rates are usually 5% to convert from paper to coin and vise-versa. By law the only legal tender for business in the city is paper script, so adventurers and visitors to the city have to convert their coin into paper money to use here then either convert the remainder back when they leave or just keep it as a souvenir of their visit. This helps the city make extra money to cover the cost of printing and such, and helps keep taxes lower, which makes the citizens happy.
Most inns, taverns, and shops near the waterfront have a money changer on the premises so that travellers can get the needed currency, especially if they’re only staying a night or two in the city.
The paper money used by the city is printed on a very durable cloth like paper with ink which has been enchanted. These two things help prevent it from being counterfeited. When a detect magic is cast on the bills the ink will glow to the naked eye. The paper is also very resistant to harm. It can be cut with effort but getting it wet has little effect on it and it is fairly resistant to burning, although it will still burn it’s just more resistant to it then regular paper.