The South was literally awash in paper money as the Confederate government attempted to finance itself through the printing press while states, counties, cities and even business began to print their own money. By 1863, Confederate money was worth a tenth of what it had been in '61 and on a rapid decline to worthlessness. Also Confederate money was not legal tender so it was worthless if a merchant refused to accept it. (This information was taken from James McPherson's "Battle Cry of Freedom".