100 Francs – Monaco

In 1877, Monaco's currency situation was intrinsically tied to that of France, operating under the framework of the Latin Monetary Union (LMU). Established in 1865, the LMU was a pioneering attempt at European monetary standardization, which Monaco had joined by a specific convention with France in 1865. This meant that the French franc was legal tender in the Principality, and Monegasque coins (struck at the Paris Mint) were minted to identical specifications in gold and silver, circulating interchangeably with French currency. The system was bimetallic, based on fixed ratios between gold and silver.

However, by 1877, the LMU was under significant strain. The discovery of vast silver deposits in the Americas had caused the market value of silver to fall sharply against gold, leading to the problematic arbitrage of undervalued silver coins. To protect their gold reserves, member states, including France, had begun to limit the minting of silver five-franc pieces. For Monaco, this meant its monetary policy was entirely reactive to decisions made in Paris. The Principality had no independent central bank or authority to deviate from the French-led response to the crisis.

Consequently, daily commerce in Monaco in 1877 would have seen a seamless circulation of French and Monegasque coinage, but within a system that was increasingly moving towards a de facto gold standard. The stability of the currency itself was unquestioned locally, as it was backed by the French economy, but the underlying supranational agreement that authorized it was beginning to falter. The situation underscored Monaco's deep economic and monetary dependence on its powerful neighbour, a relationship that would be formally cemented by the treaty of 1861 and remain a cornerstone of its financial system.