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Because the touchstone reveals gold

Bacchylides, fr. 10

… other stones have the property of attraction, and others again of testing gold and silver like the so-called Heracleian stone and the Lydian stone.

The stone which tests gold also has a remarkable nature; for it seems to have the same property as fire, which also tests it. Some people are puzzled at this, but it is not proper for them to be puzzled. It does not test in the same way, but fire makes the colours change and alter, while the stone tests by rubbing; for it is able, it seems, to extract the nature of each thing. They say that a touchstone has now been discovered which is much better than the earlier one, and recognises gold and silver, not only in their refined state, but when they are fully mixed with copper, and tells how much is mixed to the stater. These indications begin at the very smallest amount …

Theophrastos, De Lapidibus, 1.4, 7.45-46

Lydia Lithos. Society for the Study of Numismatics & Economic History