Throughout history, many different items have been used as currency, from old coins and gold ingots to the current paper money and credit cards. But many people haven’t heard of Chinese knife money. These unique forms of currency bear little resemblance to the old coins most people think of in early trade. They’re now viewed as relics with an interesting history for those fascinated by the evolution of currency.

A Brief History of Chinese Knife Money

While there is no certain origin for how Chinese knife money was invented, a few different stories explain how it came to be an accepted form of currency.

One story says that a Chinese prince ran out of money to pay his troops, so he allowed them to barter with villagers using their knives instead. In this story, the practice became so widely used that even the villagers started using knives to trade with each other.

In another story, that same prince fined his citizens too much to the point where they couldn’t repay him, so he started accepting knives as payment until other people adopted the practice.

A third possibility is that traders who made their way to China from the Indian Ocean brought knives to trade with local villagers.

What is known is that from 600 to 200 B.C., Chinese knife money was commonly used throughout the Zhou Dynasty before eventually disappearing.

Different Types of Chinese Knife Money

Unlike old coins that were minted and valued by a governing body, Chinese knife money resembled everyday tools, such as knives, scrapers, and spades. They were made in varying shapes and sizes with different materials, including copper, lead, and tin. 

Their value wasn’t derived from their material; instead, it came from their inscriptions, which often only contained numerals or single words. Sometimes, the inscriptions referred to important government events, such as the inauguration of a new ruling dynasty.

Some of the more widely known types of Chinese knife money include the Qi knives of the State of Qi, the needle tip knives used in trade between China and Xiongnu, and the smaller straight knives of the state of Zhao.

If you’re interested in Chinese knife money or other old coins, contact Hawaiian Island Stamp & Coin in Honolulu. For almost 50 years, this company has specialized in buying and selling vintage coins and collectibles. If you have any Chinese knife money, they’ll offer you a fair appraisal and price, or you can shop their inventory for special keepsakes. Browse some of their sample products online, or call (808) 531-6251 with inquiries.