Well, here's where it would be helpful if you extended your historical reach. The Tsy market in the UK developed in the 1880s. But I do not think they eliminated interest. The existence of a major banking system working according to somewhat different principles should be of major concern to you. In fact, one might suppose, you would have investigated it before developing your general theory.
Current money is tax driven.
There it is. If transaction demand is not secondary, but primary, you've got problems. Especially if transaction demand leads those surplus reserves to be lent out to the commercial sector. Non-academics can do excellent work. I am far from convinced by your stuff.