Gold was first used in coins more than 2,500 years ago. Some of the earliest known gold coins were minted in Lydia, a kingdom in western Turkey, around 600 BC. These ancient coins were made from electrum, a natural alloy of gold and silver.

Gold coins

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Gold coins spread throughout the Mediterranean as different empires rose and fell. When Rome conquered Greece, it minted coins using gold looted from Greek cities. Gold aurei and solidi became the backbone of Rome's currency. The use of gold coins continued during the Middle Ages in Europe. But after the fall of Rome, only a few new gold coins were minted. Those in circulation were usually dinars issued by the Byzantine Empire. The relative scarcity of fresh coins in medieval Europe increased the value of ancient Roman gold coins.