Bill of credit is a phrase from Article One, Section 10, Clause One of the United States Constitution. It refers to a document, similar to a banknote, that is issued by a government representing its indebtedness to the holder and typically designed to circulate as money. Legal writers—as opposed to economic historians—incorrectly assume that the constitutional phrase "Bills of Credit" was simply a synonym for paper money, but it only refers to one, though very important, type of paper currency. The Constitution explicitly prohibits the states from issuing bills of credit and coining money. States are only permitted to make gold and silver legal tender.