Seigniorage Law and Legal Definition

Seigniorage means the net revenue gained from the issuing of currency. It means the difference between the face value of coins and notes and the costs of their production. In history, it meant all revenue obtained by a feudal lord from his vassals. It is the premium paid to the government for certifying the purity of the token and its weight. It is also spelled as seignorage or seigneurage. ie