Chapter 1022: The Expansion of the Banks

Regarding Chen Xi, Liu Bei had always been generous. He was the type to notice small, often overlooked details, which people like Gan Ning, who concealed his true talents behind a facade, considered a display of benevolence.

Gan Ning entered Chen Xi’s residence in his usual lively manner, which meant he didn’t use the front door. However, this was the sort of behavior that rarely irritated others.

"Lord Chen, I’m back!" Gan Ning called out loudly as he suddenly appeared in Chen Xi’s main hall, like a shadow slipping through the night. He had noticed the light and thus chose this somewhat unconventional entrance.

"What’s this?" Gan Ning casually asked, glancing at the map Chen Xi was rolling up.

Chen Xi sometimes wondered if he had a compulsion. The map, drawn on white silk, was easy enough to open, but rolling it back up without creases was immensely challenging. After Jia Xu and the others left, Chen Xi had been repeatedly rolling and unrolling the map, trying to get it just right. Each time, however, he ended up with folds and had to start again.

This obsessive behavior was so noticeable that even Han Qiong, who had been watching, was beginning to grow concerned. Yet, she refrained from intervening.

"A map," Chen Xi replied calmly. He was startled at first by the voice but relaxed when he saw it was Gan Ning. It was too late to continue rolling the map now, as that would only draw the attention of someone like Gan Ning, who appeared coarse but was actually quite observant.

"Oh," Gan Ning responded, not asking further. He gave the map a quick glance and paid no more attention, especially since the central region of Zhongyuan (Central Plains) had already been rolled up.

It was fortunate that Chen Xi had placed Zhongyuan at the start of the map. If it had been in the center, Gan Ning might have recognized the Yangtze River's course. Even if he didn’t realize it immediately, he would have figured it out later. After all, he had traveled every part of the Yangtze, which had once been under his control.

"So, what’s the matter?" Chen Xi let the map fall open again, his demeanor unchanged as he inquired, "You didn’t bring the copper back already, did you?"

"Indeed, I have. Fifteen billion coins worth of copper has been safely transported back. We've established large-scale mining operations on Luzon Island, and production has already begun. We can expect significant increases in output in the future," Gan Ning reported, describing the current situation on Luzon Island, which reassured Chen Xi.

When they captured so many of Cao Cao’s prisoners, it wasn’t just to house and feed them. These tens of thousands of strong laborers were put to use. Some were assigned to farming on Yizhou, while others were sent to mine on Luzon. Given the sparse population of the local tribes, these captives significantly boosted the workforce.

With these additional laborers, the mining operations had finally gotten underway. Chen Xi had also dispatched craftsmen to both Luzon and Yizhou, as these places were meant to serve as vital resource transfer hubs and strategic outposts.

"Fifteen billion coins worth of copper, that’s not bad. The Han Dynasty mints only a few billion coins each year, so this is more than enough as a deposit guarantee," Chen Xi nodded.

The Han Dynasty’s annual tax revenue amounted to around three hundred billion coins, or three billion in gold. However, only a fraction of this was minted into actual coins. The copper, worth fifteen billion coins, would serve as a sufficient guarantee. If it were converted directly into currency, it wouldn’t hold as much value for Chen Xi. As a guarantee, it was far more useful.

To be honest, Chen Xi originally intended to establish a gold standard and issue credit-based currency, but this era lacked the necessary foundation. He didn’t dare act too recklessly, so for now, copper would serve as the reserve asset. Once enough copper was accumulated to control the entire system, then he could switch to gold as the standard.

Until then, Chen Xi thought he might have to shoulder some of the burden himself, using his own reputation as collateral. The copper, valued at fifteen billion coins, was a safeguard. If something went wrong, it could still be used to stabilize the situation. As a hard asset, copper was more than capable of solving potential problems.

In fact, there was another commodity that could serve as a hard asset: salt. Unfortunately, Chen Xi was about to stabilize the price of salt, bringing down its sky-high value of 300 coins per stone, which was more than twice the price of refined rice. This inflated price had persisted even after Su Shuang and Zhang Shiping adjusted it, which Chen Xi found absurd.

Although salt taxes were a significant source of national revenue, the cost of refined salt, driven by mass production, had plummeted to a few coins, yet it was still sold at a hundredfold markup. If this price wasn’t adjusted soon, Chen Xi couldn’t bear to watch.

One hundred coins per stone—that was Chen Xi’s baseline. He could tolerate salt being more expensive than grain, but not excessively so. However, reducing the price to ten coins per stone was unlikely unless Chen Xi used force to ensure it and established complete unification. Otherwise, if such a basic necessity were monopolized, its price would rise uncontrollably, potentially causing chaos.

Grain could also be used as a reserve asset, but it had its issues. It was even bulkier and harder to transport than copper, and it also had a shorter shelf life, making it unreliable for this purpose.

"Move the copper ingots to the Zhen family estate, the one we cleared out last time. Post someone there to guard it. It’s not easy to steal such a large quantity anyway, but make sure they’re properly stored," Chen Xi said after considering many factors. The copper would primarily be used to reassure the aristocratic families.

"Understood!" Gan Ning saluted, then hesitated briefly before asking, "May I ask why the banks haven’t yet been set up? Has something happened?"

"It’s not a major issue. I’ve sent people to negotiate the matter of establishing the banks in Yizhou, Yangzhou, and Yongzhou with the respective leaders," Chen Xi replied calmly.

The goal was to economically unify the regions first. As for whether Cao Cao and Sun Ce would agree to the proposal, that remained uncertain.

However, it wasn’t a big deal. This was merely a test. Even if Cao Cao and Sun Ce refused, the benefits of banking would soon become apparent to the aristocratic families. Once they recognized its convenience, they would set up their own banks like mushrooms after the rain. By that point, it would be impossible to stop the process.

Once this proposal was on the table, even if Cao Cao and Sun Ce tried to resist, they would eventually be forced to follow suit, establishing banks of their own.

However, the biggest issue with the banks that Cao Cao and Sun Ce might set up would be trustworthiness. In the end, these would likely become banks jointly run by aristocratic families, with only Cao Cao and Sun Ce's names attached.

At that point, when the two banking systems interacted, Chen Xi, as the central figure behind the credit, would easily turn their banks into his subordinates. It was something they wouldn’t be able to prevent.

When that happened, Cao Cao and Sun Ce would have two choices: either fully support their banks, or grudgingly accept the situation and expend resources to monitor the banks that, in reality, didn’t operate against their interests.

Unlike Liu Bei, neither Cao Cao nor Sun Ce could break away from the aristocratic families yet. If they forcibly opposed the aristocratic-backed banks, a complete collapse wasn’t far off. Chen Xi was simply giving them an early warning.

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