# Seigniorage

*Macro & Economy — Finicade finance glossary*

The profit a government makes from creating money — the gap between a note's face value and the near-zero cost of issuing it. Lean on it too hard and it becomes the inflation tax.

**Also known as:** the-inflation-tax, monetization

**Related terms:** [Central Bank](https://finicade.com/glossary/central-bank), [Inflation](https://finicade.com/glossary/inflation), [Money Supply](https://finicade.com/glossary/money-supply)

**Taught in:** Macro & Markets — Hyperinflation: When Money Dies

Source: https://finicade.com/glossary/seigniorage