Monarchs just need to pay armies, and the easiest way to do that was to keep them conquering new territory and paying them off with the spoils.
If I were to start a state today, I would bootstrap it by seizing a small, resource rich area and use the money to subordinate other, remote and small independent territories and then reform them into international financial centres. You will need the tacit support of a super power, so finding a powerful coalition in one of those countries and offering them secure offshore holdings in exchange for political support and holding off competing powers seems like a play. Becoming the offshore banker for the up and coming opposition faction in a super power provides enough cover to continue to pay your army with your natural resources cash. Opposition parties are a goldmine that way, as they need to protect their assets and strategic funding from the ruling party. And the populace? Well, surely there will be enough cash left over for bread and circuses, and you can't underestimate how much loyalty a lottery system that lifts some of them out of poverty will buy. With sufficient randomness or at least a hidden mechanism, they'll keep each other in line so long as they've got hope. Who knows, maybe they'll even make or invent things that provide better income than the natural resources. If the reptilian cynicism of this has given you a wave of nausea, good, you're human. But probably not cut out for being an autocrat.