Question

How was the creation of money handled

Answer 1

Maybe this helps https://www.listenmoneymatters.com/money-history-creation-money/

Answer 2

Congress could raise money only by asking the states for funds, borrowing from foreign governments, or selling western lands. In addition, Congress could not draft soldiers or regulate trade. There was no provision for national courts. ... The Articles of Confederation created a very weak central government.