500 yen note

The 500 yen note is a discontinued denomination of Japanese yen issued from 1951 to 1994 in paper form. Crudely made notes were first made in an unsuccessful attempt to curb inflation at the time, and the series as a whole is broken down into four different types of note. Only the last two were released for circulation which feature Iwakura Tomomi on the obverse, and Mount Fuji on the reverse. Starting in 1982, new 500 yen coins began to be minted which eventually replaced their paper counterparts. While the production of 500 yen notes continued until 1984, all of the notes issued were officially withdrawn from circulation in 1994. Five hundred yen notes were allowed to retain their legal tender status, but they are now worth more on the collector's market in numismatic value than they are at their face value.

Origins

The first 500 yen notes originate in the chaotic aftermath of World War II. During this time there was an increased demand for banknotes in Japan as rapid inflation took hold. In anticipation of defeat, 500 yen notes were actually planned for the end of the war and production began immediately afterwards. Although the denomination was extremely high at the time these notes were made using offset printing. Between November 30, 1945 and February 21, 1946, 23,747,000 notes numbered 1 to 8 were produced but not issued to the public. The design for these first 500 yen notes features a portrait of Takenouchi no Sukune in the center of the obverse, with an ancient arabesque relief pattern on the background. Reverse features include a colorful pattern, arabesque patterns, and a floral design. The portrait of Takenouchi no Sukune on the obverse was reproduced from different denominations of banknotes, and the other designs are a combination of the plates of other banknotes produced by the Printing Bureau. These previous designs include "series 2" 200 yen notes, those from the Bank of Chōsen, and those from the Bank of Taiwan."
These banknotes measure 97mm in height, 168mm in width, and also feature two seals on the obverse: "Governor's Seal" and "Director of the Issuing Bureau." The serial number is printed in red and contains only a set number, while the nameplate on the note reads "Manufactured by the Printing Bureau of the Empire of Japan". A watermark with a paulownia design in white was also added for security purposes. Printing was ceased after February 21, 1946 due to an inspection of the market by the Minister of Finance, Keizo Shibusawa. Upon inspecting the printing process, Shibusawa realized that they were of such poor and shabby quality that issuing them would incite inflationary sentiment among the public and give the impression of a decline in Japan's national power. This along with raised concerns about counterfeiting led to an announcement that note issuance was postponed. The entire issuance except for proofs was later cancelled and destroyed as the Supreme Commander for the Allied Powers prohibited the Imperial Japanese government from printing additional currency.

Series A

In the aftermath of World War II, the Japanese government also considered issuing 500 yen "Series A" notes. Like the "first issue series" these were intended to address the Japanese post-war inflation problem. The obverse design was to feature two circular ovals containing a statue of Maitreya at Kōryū-ji on the left and Aureola with Chrysanthemums of a Buddha statue at Hōryū-ji. Intended designs on the reverse included Tuan Shan and Cypress fan prototypes. These designs as a whole were solicited from the public which included private businesses such as Toppan. Ultimately, this series was never printed as the Supreme Commander for the Allied Powers refused to approve their publication. Concerns raised at the time included worsening the inflation situation and their potential use on the black market. Although the chosen 500 yen designs were considered to be diverted to 100 yen "Series A" notes, other designs for these latter notes were chosen instead.

Series B

The third series of 500 yen notes were released on April 2, 1951 with improved security features such as watermarks. This time these new notes appeared to have been more successful, as they were issued for almost 20 years until finally being withdrawn on January 4, 1971.

Series C

The final 500 yen notes are referred to as "series C" notes, and were issued starting on November 1, 1969 with new watermarks to enhance security. The issue came to an end on April 1, 1994 when 500 yen notes were withdrawn from circulation.