1 When coins first appeared, they were issued by private businesses. In order to achieve the goal of accepting coins at any time, private enterprises must have sufficient reserves. Occasionally, businesses with insufficient reserves or deliberate fraud will close down due to lack of credit and be eliminated by the market. Therefore, there will be no inflation when people issue coins.
2. When the government finds that coins are a good thing, it finds that people's resources and labor can be exchanged continuously as long as the printing press is started, which is the disaster of coins. The credit foundation laid by the people for coins for hundreds of years was defeated by the government in a few years. Official credit was trustworthy at first, but when people found that official coins were unacceptable, official credit went bankrupt.
If coins are issued by private businessmen, there will be credit and there will be no inflation. Inflation and credit losses issued by the government. Are private businessmen more capable than the government? In fact, private businessmen were restricted by market rules, local laws and the government at that time. The limited right to issue banknotes is safe and credible. But the government's right to issue money, especially the supreme emperor's right to issue money, destroyed the whole credit system.
Unrestricted power will inevitably lead to destruction and people's resistance.