The Golden Family, rising from the Western Regions

Chapter 291 Northern Frontier Bank, Slave Trade

On this day, a large caravan set off from Datong Prefecture and headed north along the official road.

If they were questioned by officials on the road, the caravan manager would claim that he was delivering military rations to the border defense line.

Furthermore, they produced a certificate issued by a high-ranking official in Datong Prefecture, so the local officials naturally dared not obstruct them and let them pass directly.

Looking back at the officials behind him who were beaming with delight after receiving a small amount of silver.

Fan Zhongxin felt that the exorbitant tribute he paid to the important figure was well spent.

They may get paid a lot, but they really do their jobs!
Heading north, the landscape grew increasingly desolate. When they were still dozens of miles from the border defense line, the caravan left the official road and entered a relatively remote path.

This road was specially found by Fan Zhongxin through a high-ranking official in Datong Prefecture. Few people usually pass by it, and the general guarding the pass is a confidant of that important figure.

The checkpoint at Jiehao was just a hundred feet ahead, with mountain walls on both sides and only a passage in the middle, where several Jin soldiers guarded with spears.

Fan Zhongxin sat in the carriage, his palms sweating. This was his first time doing smuggling, and although he had already made connections, his heart was still in his throat.

"What's in the car?"

The checkpoint commander walked over, his gaze sweeping over the convoy, his tone carrying a perfunctory, routine air.

"Your Excellency, it's some timber."

Fan Zhongxin laughed as he dismounted and handed over a heavy money bag: "These were just cut from the mountains. I'll take them to the grasslands to trade for some furs."

The general weighed the money bag in his hand, a knowing smile playing on his lips, and waved his hand to tell the soldiers not to check it.

I just glanced at the things on the carriage; the top was covered with a layer of fresh branches, green and still with leaves.

Under the tree branches, even inspection was unnecessary.

"Okay, let's go."

Fan Zhongxin felt a little relieved and thanked him repeatedly.

As the wheels rolled over the mountain pass of the border trench, he couldn't help but look back. Once he crossed this line of defense, he would be out of the Jin Kingdom's borders.

Fan Zhongxin only breathed a heavy sigh of relief when the convoy had gone further and further away; the back of his clothes was already damp with cold sweat.

But then, an overwhelming surge of excitement welled up inside me.

He patted the grain sack next to him, which was full of sorghum.

In Datong Prefecture, each shi (a unit of dry measure) costs no more than two guan (a unit of currency), but when transported to the grasslands, it can quickly rise to ten guan.

“Five times the profit…” he muttered under his breath, his Adam’s apple bobbing involuntarily.

The profits were enough to drive anyone crazy, even if 60% of them had to be given as tribute to that important figure in Datong Prefecture, and a considerable amount was spent on bribing these "little devils" along the way.

After deducting the expenses for vehicles and labor, in order to make his workers willing to risk their lives, he paid them several times the usual wages.

In the end, it would be good if you could make double the profit on a single trip.

On the return journey, the caravan could also load up rare items from the grasslands, such as cattle and sheep hides, Cistanche deserticola, and Astragalus membranaceus, which would bring back another windfall to Datong Prefecture.

At this moment, Fan Zhongxin's eyes gleamed. Even if it meant risking his life, it was all worth it.

Leaving the border trench, the grassland before us became increasingly open, the wind carrying the scent of grass mixed with livestock dung.

This area is now the territory of the Ongud tribe.

This tribe has always been known for its "pro-Han" stance on the grasslands and maintained close ties with the Jin Dynasty, but ultimately it is a nomadic tribe, and food has always been their Achilles' heel.

Early that morning, just as the convoy rounded a dirt slope, the sound of rapid hoofbeats came from the low bushes in the distance.

Fan Zhongxin's heart tightened, and when he looked up, he saw more than fifty riders rushing out in a cloud of dust.

They were all clad in leather armor and wielded curved swords, and carried bows, arrows, and spears.

"They are cavalry from the Ongud tribe."

Upon hearing the guide's shout, Fan Zhongxin instinctively tensed up, but he still tried to remain calm on the surface.

He had witnessed the might of the Northern Frontier cavalry breaking through the city gates in Gaochang City; their overwhelming charge was more terrifying than thunder. Although these Wanggu cavalrymen before him were brave and fierce, they were ultimately lacking in experience.

Unfortunately, he was ultimately a businessman. He could use money to deal with the Jin officials, but he was still no match for these nomadic soldiers on horseback.

He could only turn to look at the sixth brother beside him.

The sixth brother remained as steady as Mount Tai.

He raised his hand and pressed down on Fan Zhongxin's shoulder, jumped off the carriage, and took out a blue wolf flag from his pocket. This was a token of the Kereit tribe that Hu Li had sent to him not long ago.

The flag fluttered in the wind, revealing the menacing gray wolf head.

He waved his flag at the Ongud cavalry and then had his accompanying translator shout a message.

“Warriors of the Ongud tribe, we are not enemies. We were sent by Wang Khan of the Kereit tribe to deliver food. We are one family with you.”

Upon hearing that the grain was to be sent to the Kereit tribe, the fierce expressions on the faces of the Ongud cavalrymen immediately softened.

One by one, they reined in their horses, their expressions becoming serious.

Although the Ongud tribe was close to the Jin Dynasty, the Kereit tribe was the overlord of the grasslands, and the Ongud tribe would not dare to provoke them unless absolutely necessary.

Moreover, not long ago, the Kereit tribe joined forces with Jamukha and defeated Temujin at the Khalanjin Shatuo, forcing him to flee in disarray.

They seem poised to unify the northern deserts; who wouldn't be intimidated by that?
The lead cavalryman muttered a few words, waved his hand, and the troops stepped aside to make way.

Fan Zhongxin breathed a sigh of relief, but did not immediately urge his horse forward.

He knew that business relationships had to be maintained steadily over time, and that these people from the Wanggu tribe might become important clients in the future.

He immediately ordered two bushels of grain to be unloaded, and with a smile, gestured to the Wanggu cavalry: "A little something to help the brothers fill their stomachs."

The lead cavalryman's eyes lit up, he laughed heartily, and expressed his gratitude.

Fan Zhongxin waved his hand, directing the convoy to continue forward.

For the rest of the journey, Lao Liu hung the Kereit tribe's blue wolf flag on the front of the cart, and the scattered tribal cavalry encountered along the way dared not intercept him again.

Two days later, as the caravan was traveling through a wilderness, a large contingent of cavalry suddenly appeared behind the hills ahead.

The dark mass of people pressed closer and closer to the convoy.

Fan Zhongxin's heart leaped into his throat, while Lao Liu breathed a slight sigh of relief.

"Don't worry, these are the troops of the Kereit tribe."

Not long after, outside the camp on the southern border of the Kereit tribe, Sangkun twirled a grain of sorghum between his fingers and said repeatedly, "Good! Good! With this grain, let's see who is willing to continue to starve with Temujin."

Then, he turned to look at Hu Li standing to the side, his laughter filled with delight: "You people from the northern frontier really understand the minds of the grassland people. This grain is much more substantial than those shiny stones."

Hu Li cupped his hands and smiled, "I'm glad Your Highness is satisfied. The Grand Protector said that as long as the Kereit tribe needs it, the Hexi Merchant Guild will send more grain."

He changed the subject, his gaze sweeping over the female captives tied with ropes in the corner of the camp. "I wonder when Your Highness plans to hand over those female slaves? The Hexi Merchant Guild's caravan is already waiting in the northern valley."

Sangkun grunted and waved to his guards: "Go and bring all the women from the Qiyan tribe here so the people of the Northern Frontier can take a count."

He watched as his guards left to carry out their orders, and said to Hu Li, "Keeping these women around is a waste of food. It's a good deal to exchange them for your food."

A hint of a smile flashed in Hu Li's eyes.

Meanwhile, the caravan of the Hexi Trading Company also completed the handover with Fan Zhongxin's caravan outside the camp.

The manager of the Hexi Trading Company directed his employees to unload bags of furs and bundles of medicinal herbs from the cart. These items, which were difficult to transport, were all purchased from the Kereit tribe.

Only those small, easily transportable, yet valuable items were specially transported from northern Xinjiang.

Glassware, tinderboxes, soap, rouge, and other items are all unique products of northern Xinjiang.

"Manager Fan, although this is our first time doing business, please trust that the reputation of Hexi Trading Company is absolutely guaranteed."

“The value of these things is certainly worth the grain you brought.”

The speaker was a middle-aged man, the manager of the Hexi Trading Company, which was in charge of business in the northern grasslands.

He then pointed to the goods and laughed, "Especially this rouge, made with the finest safflower from the Hexi Corridor, it would probably be very expensive in the Central Plains."

Fan Zhongxin picked up a mirror, looked at the clear image in it, then pinched a bar of soap in his hand, rubbed it with water, and was surprised by the oil-removing effect.

He picked up another tube of rouge and applied a dab to his fingertip. The vibrant yet elegant red made his eyes light up, and he kept muttering, "I'm rich, I'm rich!"

"If these things are brought back to Mo Nan, wouldn't those high-ranking officials and nobles fight tooth and nail for them?"

The workers were busy loading the goods onto Fan Zhongxin's empty truck. He touched the smooth glass cup and couldn't stop smiling.

Although sheepskin and medicinal herbs can generate considerable profits, the actual profit margins are ultimately limited, as others also have their own channels.

What truly delighted Fan Zhongxin were these rare items from northern Xinjiang.

If we sell it back in the Central Plains, we can earn at least ten times the profit.

You should know that he's the only one who currently has these items.

As the sun set, all three parties wore satisfied smiles.

The Kereit tribe obtained grain, Fan Zhongxin made money, and the Hexi Merchants bought a large number of female slaves.

These female slaves will all be sent to the Western Sea, which was originally the territory of the Naiman tribe.

Although a large number of Naiman women were captured in the war to destroy the Naiman, they have already been distributed to the soldiers of the Six Garrisons. Now, many Naiman women have given birth to children of Han blood.

Last year, Li Xiao relocated two more households of 10,000 people to Xihai, including many soldiers and civilians. The local Naiman women alone could not meet the needs of the immigrants to start families.

Therefore, they had to continue plundering or buying female slaves from the grasslands.

"Manager, look how many people are following behind this group?"

The shop assistant from the Hexi Trading Company stared at the throng of people behind him and clicked his tongue in amazement.

As soon as the convoy entered the Xihai territory, it was surrounded by soldiers and civilians who had rushed over upon hearing the news, and excited discussions could be heard from time to time among the crowd.

"They are all brothers who are hoping to get a wife."

The manager smiled and said, "This mission of ours has truly solved our urgent problem."

In the crowd, a young man squeezed to the side of the car and asked in a trembling voice, "These women... can they really be taken away for just eight strings of cash?"

The manager smiled and said, "Eight strings of cash for the young, five strings for the older ones, no cheating the young or old."

"Look at these girls, they're quick and efficient, and they're pretty too. If you buy them, they'll definitely be able to have children and manage the household."

When these female slaves were handed over at the Kereit camp, the young ones received only three strings and three hundred coins, while the older or younger ones received only two strings of copper coins.

Now that the goods have been transported to the West Sea, the price has more than doubled, but even so, the Hexi Trading Company doesn't make much money.

After all, the costs of food, drink, and sanitation along the way, as well as the loss of female slaves, must be factored into the overall cost.

As long as we don't lose money, that's fine. After all, the purpose of the Hexi Trading Company isn't to make money.

These female slaves were quickly sold out after being sent to the Western Sea.

Even if these immigrants have no money, it doesn't matter.

Credit is available.

Moreover, it was Li Xiao's original intention to burden these people with debt.

Pressure is what motivates us to strive for the development of northern Xinjiang.

He moved these people to the Western Sea, not to let them lie down and do nothing.

For these female slaves of the Qiyan tribe, marrying these men from the northern frontier was also a good thing.

After all, in the previous tribes, apart from the nobles, few people could get enough to eat.

They were always struggling to make ends meet, and had to dig up wild vegetables and eat grass roots.

Now that they've come to the West Sea, there's a relatively fair distribution of resources, at least enough to ensure they have enough to eat.

……

Longcheng, within the Protectorate General's Office.

Summer had arrived, and the Central Plains were already unbearably hot, but the winds in the northern frontier still carried a hint of coolness. Li Xiao, dressed in a dark-colored single-layered robe with subtle patterns embroidered on the collar and cuffs, sat on the wooden chair at the head of the table, his fingertips tapping absentmindedly on the desk.

On the table were several coins.

This is a sample of the new Northern Xinjiang coin recently minted by Tanggu Steel Plant.

The Northern Frontier Protectorate had only been established for two years, and everything was in need of rebuilding. Moreover, the Northern Frontier had spent most of those two years waging war against foreign powers.

Now, Li Xiao finally has the time and energy to carry out currency reform.

The currency system in northern Xinjiang has always been chaotic and disorganized.

They were mostly obtained through plunder during wars.

The currencies of the Jin, Song, Xia, royal courts, the Eastern and Western Karakhanid Khanates, and even those from further west, were in circulation.

There is no unified standard.

Previously, because the population of northern Xinjiang was relatively small, the flow of goods was mainly based on barter.

Today, with 500,000 Han Chinese from Gansu migrating north, commerce is gradually flourishing.

There must be a unified currency standard.

“The northern frontier needs its own currency,” Li Xiao said.

The order was then issued to the Ordnance Department.

The Armory Administration was in charge of heavy industry in the northern frontier. All kinds of ironware, such as armor and agricultural tools, were made by the Armory Administration.

Minting mere coins is no problem at all.

What's rare is the design.

For this reason, Li Xiao personally nominated the new currency for Northern Xinjiang.

A treasure of the northern frontier!

At this moment, Li Dongzhi, the military advisor of the Ordnance Department, stood aside and introduced the sample of the "Northern Frontier Treasure" on the table.

First, there are copper coins, round on the outside and square on the inside.

This shape has been used in China for thousands of years, so there must be a reason why it is suitable. Li Xiao has no intention of changing it.

Taking too big a step can easily lead to disaster.

It was only recast in terms of its specific design.

The obverse of the copper coin bears the four large characters "Beijiang Zhongbao" (meaning "Important Treasure of the Northern Frontier"), while the reverse features two characters and two designs.

The image on the left is a circular sun, and the image on the right is an arc-shaped moon.

The top part is the character '一', and the bottom part is the character '文'.

One copper coin is worth one copper coin.

Han Jiuyuan, the military advisor of the Ministry of Revenue, picked up the copper coin sample and examined it carefully. He tapped it gently and nodded slightly.

He asked Li Dongzhi, "Military Advisor Li, what is the copper-lead ratio of this precious treasure from the Northern Frontier?"

Li Dongzhi said, "Sixty percent copper, thirty percent lead, and one percent tin."

Upon hearing this, Han Jiuyuan said thoughtfully, "The proportions are similar to those of Song Dynasty coins."

Li Xiao chimed in, "The purpose of minting copper coins was essentially for circulation, not for exquisite craftsmanship."

"It's not true that the more copper it contains, the more valuable it is."

A later economic principle is known as 'bad money drives out good money'.

This refers to situations where currencies of equal value have different actual worth.

People would always choose to collect the better quality coins or melt them down and recast them.

On the contrary, inferior currency circulates extensively in the market.

Therefore, the actual value of the Northern Frontier Treasure does not need to be too high; it is sufficient if it is on par with the coins of the Song Dynasty.

Moreover, this copper-lead ratio was the result of Li Xiao's strict control, with the ultimate goal of getting it circulating.

Upon hearing Li Xiao's brief introduction, Han Jiuyuan was greatly shocked and admired Li Xiao even more.

He was very smart, but the times limited his perspective; however, he grasped these things very quickly.

Next, Li Dongzhi picked up the second coin and said, "Military Advisor Han, these four coins were all designed by the Grand Protector himself."

"The value of the copper coin is the same as that of copper coins currently in circulation in various countries."

"And the one I have in my hand is called a 'small silver coin,' which is worth the same as one hundred copper coins."

This is a silver coin, much smaller than a copper coin, and also has the same round outer shape and square inner shape.

The front is inscribed with "Important Treasure of the Northern Frontier", while the back features a sun and moon design, along with the characters "Hundred Characters".

Ordinary people primarily used copper coins for transactions, and only used gold and silver for large transactions.

The approximate exchange rate was one thousand copper coins to one tael of silver.

Ten taels of silver can be exchanged for one tael of gold.

However, sometimes the amount of money was not round, so the merchant had to cut the silver into pieces with scissors and then weigh it with a scale. The silver scraps that were cut off had to be glued together with wax.

You even have to bite it with your teeth to check its color, which is extremely troublesome.

Therefore, Li Xiao designed two styles specifically for the silver coins.

The actual value and nominal price of the large silver coin were both one tael of silver, which could be exchanged for one thousand copper coins.

The small silver coin was equivalent to one hundred copper coins.

Prices and currency were forcibly regulated to facilitate the circulation of money.

The last one is gold coins.

The back is inscribed with the words 'Wanwen', which is equivalent to ten thousand copper coins.

After listening to Li Dongzhi's introduction, Han Jiuyuan said with admiration, "The Grand Protector's thinking is thorough; we are no match for him."

He was a military advisor in the Ministry of Revenue, in charge of collecting taxes and grain.

The currency reform in northern Xinjiang was closely related to his work, so Li Xiao called him in to get his opinion.

Next to Han Jiuyuan sat a man in his thirties.

He wore a gray long gown, the cuffs of which were slightly faded from washing but still neat. His demeanor was composed and he possessed a unique air of elegance.

His name was Cui Benchang, and he was originally the manager of a money exchange in Liangzhou City.

After the fall of Liangzhou, the Tangut officials behind the money shops were raided and killed by the Northern Frontier Army.

Having lost his backer, he had no choice but to follow the immigrant caravan of the Northern Frontier Army to Jinzhou.

He picked up the hoe and whip again and became a commoner.

Not long ago, Li Xiao suddenly ordered all those who were proficient in the operation of money shops and divination to gather in Longcheng, saying that if they could pass the test, they would be given important positions.

Upon hearing this news, Cui Benchang immediately realized that his chance to change his fate had arrived.

After going through several rounds of screening, he finally caught Li Xiao's eye.

He was not only shrewd with calculations, but also had a thorough understanding of the circulation of money in various regions. He could even readily recount the currency exchange between the Liao Dynasty and Khwarazm.

What's most commendable is that he dares to think and act. During his interview with Li Xiao, he bluntly expressed his idea of ​​"using silver tokens to connect the north and south trade routes," which Li Xiao greatly appreciated.

Then, Li Xiao's gaze fell on Cui Benchang, and he pointed to the coins on the table, asking, "Manager Cui, how is the quality of these Northern Frontier Treasures? Can they support the establishment of my Northern Frontier Bank?"

Cui Benchang quickly got up, picked up a copper coin and examined it carefully. He then weighed the silver and gold coins in his hand, and a look of admiration appeared on his face.

"Reporting to the Grand Protector, these coins are of uniform quality, with clear patterns and regular edges. Establishing a bank based on these coins will surely be as stable as Mount Tai."

Li Xiao nodded and then asked, "Has Manager Cui fully considered all aspects of opening my Northern Frontier Bank?"

Cui Benchang nodded slightly and patted his chest as he replied, "The northern border region is vast, stretching from the Yudujin Mountains in the far east to Lake Balkhash in the far west, a distance of tens of thousands of miles."

“When merchants travel, carrying money is both cumbersome and dangerous. If there were a money exchange that could be located in all directions, allowing money to be deposited and exchanged anywhere, it would surely make commerce flourish many times over and make life much more convenient for soldiers and civilians.”

He paused, his tone becoming increasingly solemn: "But as the Grand Protector said, finance is a matter of national importance, and the most crucial element is credit."

"Therefore, the money shops in the northern border region must never fall into private hands."

A hint of approval flashed in Li Xiao's eyes, signaling him to continue.

"I believe that the Northern Frontier Bank should be headquartered in Longcheng, with branches in Wuwei, Xihai, Gaochang, Tingzhou, Yinshan, and Yili. The branches of the Northern Frontier Bank should be established according to the principle of 'military strongholds as points and trade routes as lines'."

Cui Benchang straightened his back, his voice becoming clearer with excitement.

He showed great talent for divination and numismatics from a young age, and was considered a child prodigy with some fame.

So at the age of twenty, he became the manager of the largest money shop in Liangzhou City.

Now that Li Xiao has taken a liking to him, he seems to have regained his former confidence.

“The Longcheng headquarters needs to set up three main halls: the Deposit Hall for deposits and withdrawals, the Remittance Hall for inter-regional remittances, and the Draft Hall for issuing tradable ‘Dragon Drafts’.”

“Each branch must be equipped with at least two silversmiths to distinguish the purity of coins in order to prevent counterfeiting, and ten veteran soldiers must be assigned as guards. The reputation of the bank must be protected with swords and guns.”

Listening to Cui Benchang's eloquent speech, Li Xiao had already made up his mind.

The person in front of me is the perfect candidate to be the head manager of the Northern Frontier Bank.

He gestured for Cui Benchang to sit down and said in a deep voice, "The name 'money shop' doesn't sound good; it needs to be changed."

“In my northern border region, those who sell wine are called wine shops, those who sell cloth are called cloth shops, and those who travel as merchants are called merchant shops.”

"Those who do money trading are called banks."

"You will be the head manager of the Northern Frontier Bank. As for how many people and how much money are needed, just discuss it with Military Advisor Han."

Cui Benchang's heart skipped a beat. He suddenly stood up and bowed, his voice trembling slightly with excitement: "Your subordinate will do his utmost to live up to the Grand Protector's trust!"

Seeing his resolute expression, Li Xiao nodded slightly and said, "The bank branch at the Longcheng headquarters will not be set up for the time being."

"The Northern Frontier Bank should first prepare the cash matters; as for the matter of bank drafts, it is not advisable to rush into it."

Hearing this, Cui Benchang was somewhat disappointed, but still nodded and said, "Your subordinate obeys."

The "piaohaotang" was a place that specialized in issuing banknotes.

Previously, he had proposed to Li Xiao the idea of ​​"using silver tokens to open up trade routes between the north and south".

It meant replacing heavy silver coins with banknotes to facilitate the circulation of goods.

Furthermore, he devised a plan for the issuance of silver notes, which Li Xiao greatly appreciated.

However, the existence of banknotes was predicated on the credit of the state and the banks.

Moreover, this was not Cui Benchang's original creation.

Merchants in the Song Dynasty first invented "Jiaozi," and then the Jin Dynasty court followed suit by issuing "Jiaochao."

However, both types of banknotes had a significant impact on society.

In particular, the Jin Dynasty's "payment of currency" was affected by the need to deal with the Song Dynasty's northern expedition and the Mongol invasion in the later period, as well as natural disasters, man-made calamities, and rebellions and uprisings in various places.

Therefore, the Jin Dynasty court printed a large amount of "Jiaochao" (paper money), which led to severe inflation.

One shi (a unit of dry measure) of grain even reached the price of ten guan (another unit of dry measure) of copper coins.

Therefore, in Li Xiao's view, the emergence of silver notes was a good thing for commerce, but it should not be rushed.

His plan was to first establish the system of the Northern Xinjiang Bank, so that the military and civilians of Northern Xinjiang, as well as merchants from other places, would become accustomed to the precious treasures of Northern Xinjiang.

With the backing of Beijiang's reputation, that would be the right time to issue the 'Beijiang Dragon Ticket'.

(End of this chapter)