‘[A]nd he won over the rest as allies by offering them gifts’: A thesis on the origins of electrum coinage

In this article, I demonstrate that electrum is an unusual material for a monetary medium and that the common explanation that this material was chosen for the manufacture of the first coins to make a profit does not suffice. Electrum as raw material was typically used to produce luxury items, which rather connects with two elements of Lydian culture, namely the feudal character of its society and the offering of gifts to ensure support. Therefore, I connect the appearance of coinage with the switch from gift exchange to market exchange, the war-permeated Middle Lydia period and the rise of mercenaries. In conclusion, I sketch the change over from gift to monetary medium.