Electrum

The first coins were made of electrum, an alloy of silver and gold. It appears that many early Lydian coins were minted by merchants as tokens to be used in trade transactions. The Lydian state also minted coins, most of the coins mentioning king Alyattes of Lydia. Some Lydian coins have a so-called legend, a sort of dedication. One famous example found in Caria reads "I am the badge of Phanes" - it is still unclear who Phanes was.