From the point of view of depositors, receipts issued by goldsmiths in exchange for deposits of coins and gold were considered

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Receipts issued by goldsmiths in exchange for deposits of coins and gold were considered as money because they were widely accepted as a medium of exchange and could be used to make purchases and pay debts. While these receipts represented a claim on the actual gold and coins deposited, they functioned in practice as a form of currency.

From the Point of View of Depositors, Receipts Issued by Goldsmiths