1 Tilla – Khoqand Khanate

By 1862, the currency system of the Khoqand Khanate was in a state of severe crisis, reflecting the broader political and economic disintegration of the state. For decades, the Khanate had minted its own silver tanga and copper pul coins, but chronic fiscal shortfalls, driven by military campaigns and lavish court expenditure, led successive khans to drastically debase the coinage. The silver content of the tanga had been reduced to a fraction of its original value, while the minting of copper puls became excessive and poorly regulated. This resulted in a chaotic monetary environment with multiple coin issues in circulation, each with varying and unreliable intrinsic worth.

The situation was exacerbated by the influx of foreign currencies, particularly Russian silver rubles and tsarist copper coins, which began circulating widely, especially in northern regions and major trading centers like Tashkent. These stable foreign coins were preferred by merchants and the population, leading to the de facto demonetization of Khoqand's own debased currency for substantial transactions. Consequently, a dual system emerged: Russian coins were used for large trade and state reserves, while the depreciated local coins were relegated to small-scale local bazaar exchanges, causing inflation and hardship for common people.

This monetary collapse was both a symptom and a cause of the Khanate's terminal weakness. The inability of the central authority in Khoqand, under Khudayar Khan (in his third reign), to control its currency undermined its economic sovereignty and accelerated its loss of prestige and power. The chaotic finances crippled the state's ability to pay its army and administer effectively, leaving it critically vulnerable. Within three years, this internal fragility, combined with escalating internal revolts and external pressure, would culminate in the Russian Empire's conquest and the abolition of the Khanate in 1865.