Korean currency

Additionally, silver vases called ŭnbyŏng were widely used and circulated as a currency among the aristocracy of Goryeo.

It was not until the beginning of the Joseon period that copper coins called mun were minted for wide circulation.

While various items like clam shells, iron, and precious metals were also traded as a medium of exchange in Ancient Korea, the primary forms of currency during this era used in bartering were mainly grain and cloth.

[2] During the pre-monetary times, anything related to food and clothing was used as a medium of exchange as well as a method to measure the value of products.

[4][5] In 2018 Wu Zhu (五銖, 오수) cash coins, known as oshujeon in Korea, were unearthed in the North Gyeongsang province further confirming an ancient trade relation with China.

The first iron and bronze coins minted in Korea occurred during the 15th year (996 AD) of the reign of King Seonjeong.

During the reign of King Sukjong, a monetary system of casting a variety of coins was established in the years 1097–1107.

Coins made from metals other than iron like copper and bronze were issued in the 10th and 11th centuries, but their circulation was limited.

The founder of the dynasty, Taejong made several attempts to bring about improvements in the prevailing monetary system but they were not a success initially.

The ŭnbyŏng (銀瓶, 은병), or hwalgu, were silver vases that were shaped like the Korean peninsula and were widely used during the Goryeo period, they primarily circulated among the aristocracy.

[9] These ŭnbyŏng were produced from the year 1101 and were engraved with an official state seal to mark them as a legitimate currency which was valid throughout Goryeo.

The ŭnbyŏng weighed around one Kŭn (斤, 근) which is roughly equal to 600 grams, this made them very useful for paying for large transactions.

[3] But regardless of the fact that this currency was highly impractical for paying for low value items, the ŭnbyŏng would continue to be used during the next two centuries.

[3] In the year 1464, King Sejo had introduced a new form of currency known as the "arrow coin" (箭幣; 전폐, chŏn p'ye).

This currency was shaped like an arrowhead which allowed it to be used as a medium of exchange during times of peace and as a weapon when the country was fighting another war.

[8] The royal instructions regarding the "arrow coin" and how it should be circulated can be translated as the following excerpt:[10] "Different moneys were used in different reigns but each one suits its time.

The blade of the "arrow coin" resembled a leaf of a willow tree and its stem was inscribed with the text P'albang T'onghwa (八方通寶; 팔방통보, which could be translated as either "currency in eight directions" or "eight directions universal money") this text indicated that the "arrow coin" was legal tender throughout Korea.

[8] The new currency did not receive the support of the Korean people causing the failure of yet another attempt to establish a money-based economy in Korea to fail.

In 1888, shortly before the yang was introduced, a small number of coins denominated in hwan (圜) and mun (文) were minted.

The mintage and circulation of modern currency began during the last years of the old Korean Empire as a result of contact with the West.

The next year the Korea Minting and Security Printing Corporation was created and took over as printer of South Korean currency.

Due to the short notice of the change in currency, the first series of the new notes was commissioned from the United States Government Printing Office.

It stayed so until December 24, 1997, when it became a floating currency, but was then immediately devalued at nearly half of its value because of the East Asian financial crisis.