Part MMDXLIII: Of Coin and Kingdom
Of Coin and Kingdom
Twenty-Eighth Day of the Seventh Month 293 AC
Looking around the map room later in the evening, you must admit this does not look like the usual sort of company to be fighting perils from beyond the borders of existence in: Braavosi bankers in subdued doublets and dresses alongside high-ranking functionaries from Astral Currents, most of whom are still a touch bemused at the company's whirlwind rise and expansion. Still, this is the army that will shield the world from a catastrophe, not one heralded by screeching demons or the schemes of the baatezu, but the subtler inexorable forces of trade which must be channeled lest your realm crumble from the threat of its own success.
Firstly at Hermetia's reminder you terminate your account with the Bank of Lys, having all but forgotten about its place in your schemes to take the city. It is oddly comforting to realize that fifty-thousand marks is something you can afford to forget from your calculus, but you do not linger over-much upon it. Secondly, you order the minting of eight-million marks in addition to the half million already minted. Of the new minting a portion of which will be passed on to the treasury allowing you for the first time to consistently pay for the affairs of state in the coin you have minted. Beyond financial needs, it will also make it so the citizens of your realm will carry a symbol of the realm in their pockets as tangible proof of the change in the world. Before the meeting adjourns so that the Braavosi delegation can speak to their superiors by brazier, you also assure them that they can make use of Astral Currents offices until they have set up their own.
- Terminate your account with the Bank of Lys, taking the 50,000 IM from that account back into the treasury.
- Mint 8 million Imperial Marks, turning that amount of Book Money into Coinage.
- Exchange your current treasury for Imperial Marks, taking 2 million in Book Money and the remainder (2,754,627.13 IM) in coinage, thus raising the Gold Reserve by 4,754,627.13 IM.
- Since Imperial Marks are already in limited circulation, lower the coinage and raise gold reserves by 500,000 IM
- Until the Iron Bank has a their own offices in Armun Kelisk and the Opaline Vault, let them operate from the ACSEC premises at no charge.
The second part of the meeting begins with hard Myrish tea for those representatives not fortunate enough to simply eschew sleep by sorcery, though no one looks to be inclined to ask for an end to the meeting from mere physical frailty. Let is not be said that bankers are not willing to endure hardship in the pursuit of their duties, you think with an edge of whimsy. At Lady Uraka's suggestion you deposit four million marks with the bank, only half of that in actual coinage meant to serve as seed money for exchanges as your coinage begins to disseminate through the economy. Alas that even though you must out of necessity keep some funds in gold and silver for trade and other expenses beyond the border of your realm, the worth of gold and silver will plummet as the turn over happens.
Turning to the officials of your own court you arrange it so that taxes within your realm can be paid in gold at the exchange rate, excluding the Iron Bank's fee. The Braavosi do not precisely seem happy when you sign the degree into law by dictation on the spot but neither does any of them object. They can see the reasoning of bleeding off and replacing gold before the sharp drop in value can cause a lack of trust. Ultimately, no matter what a coin is made of, if there is no trust then trade devolves into dickering bushels of grain against heads of sheep, and no sane financier wants to risk even a hint of that.
- Deposit 2 million Imperial Marks in coinage and another 2 million Imperial Marks in book money with the Iron Bank.
- As a general policy, you will keep a limited amount of gold reserves for now to stay liquid in Prime Material currency, but due to the influx of wealth from the planes, gold will lose value over the coming months, thus regularly devaluing your gold reserves.
- Decree that taxes can be paid in gold or Imperial Marks at the exchange rate. This means that people can bypass the exchange fee set by the Iron Bank when paying the Imperium, thus encouraging them to give you their gold. This somewhat decreases the market for money exchanges within the Imperium for the Iron Bank, but they will still greatly profit from exchanging for foreigners, on the planes and for other governments who will soon try to insulate their treasuries from the dropping gold price.
Next you explain the mechanisms by which to drain gold and other common coinage from the economy. Thus as you travel to Armun Kelisk not only will you secure a floating island for a second terminus, but also to sell your gold reserves for profit against exotic Djinni trade goods. This will of course not so incidentally assure you a hefty profit while slowing down the devaluation of common currency to give the populace at large time to replace it. It is at this point that you have to pull several of your more senior bureaucrats from the cheerful task of anticipating profits for the treasury. You have rarely seen people so cheerful so see wealth that was not their own grow... though of course a wealthier state will benefit them just as a larger one will since it will involve expended spheres of responsibility and ultimately increases in pay.
Finally, returning your attention to the Braavosi delegation, you arrange for half the Silk Notes to be exchanged into Glass Scepters which will be added to the currency reserve, against which you can issue more of your own currency at a one-to-one ratio. Not quite making your own money in the literal sense, but that will come in time as you persuade the new Currency Council to lower the minimum deposit needed for issuing.
- Commit to travel to Armun Kelisk first thing next month to negotiate two deals. The first is acquiring and island tethered to Armun Kelisk on which you can build the third Terminus, the other being to sell off your gold reserves at a profit. To achieve this, you will re-introduce part of the gold into the Prime Material economy by buying trade goods that the Djinni state or large trading companies are interested in.
- You will exchange half the Silk Notes generated by such a deal into Glass Scepters and then deposit the whole sum as foreign currency reserve. That allows you to issue more Imperial Marks, which you will promptly do.
"Well then, I think we have had a very productive night," you say as the discussion comes to an end. After bidding farewell to the Braavosi delegation you turn to your own subjects and add: "Don't worry about not making it to work on the morrow. I will even write a writ of royal pardon if anyone needs it."
A rumble of laughter runs through the room. The most senior Treasury Official replies with a tired smile. "Not to worry, Your Grace, everyone here works under me and I in turn answer to Lady Alinor. She certainly understands about working nights."
***
Twenty-Ninth Day of the Seventh Month 293 AC
While the others set out to seek their beds the night is yet young for you and so you set out in search of Garin to learn more of what has been happening in the length and breadth of the world. The gathering today will have certainly gone a long way to gathering rumors from across the length and breadth of the world.
Rumors from Westeros:
A Light in the North?: There are rumors of a strange spirit of living flame dwelling on the abandoned island of Skane. Some say she woke there after an age old slumber while others that she came from the east on a cloud of light. Whatever the reason it is said this shining one can heal any ailment and does not begrudge doing so for any man, woman, or child. A trickle of miracle seekers from all over Westeros are taking ship to White Harbor and beyond, but far more troubling to the Lord of the North is the fact that many Skagosi are simply uprooting and moving to Skane. The presence of traders from Essos who some say are from the Dragon King on the island only makes the matter more troubling.
Oldtown Quarrel: No one is quite sure who or what put a wasp in the maesters robes but it is clear something has. The ordinarily subtle and well-hidden disagreements between the order's members are bursting out more and more into harsh words, and in one notable occasion a fistfight in the presence of Lord Hightower's younger brother.
The Littlest Eagle's Fate: After months of strange rumors from the Eyrie about the fate of Lady Arryn and her child, Danelle, called by many the Maiden's Chosen, has been summoned to look at the child. Precisely what she found about the child changes from teller to teller, but what is clear to all is that Lord Arryn moved both his wife and son to King's Landing. Some even speak of traitors at the Eyrie, and secret executions to keep some dreadful secret.
Rumors from Essos:
Three Daughters All in a Row: In an astonishing turn of events that has many speaking the name of Aegon Targaryen first of that name, the the Dragon King of Tyrosh won Myr by honeyed words and Lys by the sword. While many point to this to prove that his ambitions are aimed towards the east, many wonder at the network of wondrous bridges that spans throughout the Stepstones. Would they not be even more effective if they could reach Westeros, reforging the Arm of Dorne? Dorne itself certainly has no love of the Stag King.
Dead Cities Rising: The shambling dead of ancient Sarnor have been a horror upon the Great Grass Sea for more than a year, but in recent months the armies of the dead seem to have stopped their wanderings in search of blood to instead converge on the ruined crown city of that long fallen kingdom where some say they hold court and follow the motions of life in macabre parody of the living. Some travelers even claim to have been allowed to enter these necropolises unmolested.
The Secret City sails to War: War between Braavos and Pentos seems all but inevitable as with Pentosi magisters digging in their heels on their 'ancient rights and privileges' while in Braavos it is not only bravos in brightly colored cloaks who speak of liberating the bondsmen but men and women of substance and wealth.
What do you do next?
[] Write in
OOC: Well it took a while but hopefully the financial discussions came out both clear and flowing in narrative.
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