Sancho Panza, when he saw the friar on the ground, dismounting briskly from his ass, rushed towards him and began to strip off his gown. At that instant the friars muleteers came up and asked what he was stripping him for. Sancho answered them that this fell to him lawfully as spoil of the battle which his lord Don Quixote had won.
Sancho is drawn into Don Quixote's world as his squire, and exists as an example of the modern next to Quixote's fantasy of knighthood. Timothy Hampton posits that Sancho represents the modern culture of currency, while Don Quixote ignores money on his adventures save to offer Sancho the occasional future reward. What is interesting about this juxtaposition, is that while Sancho himself doesn't buy into Don Quixote's version of their journeys and was moments before warning him not to attack a random friar, he does willingly enter the illusion when it offers him the physical rewards he craves. It is also worth noting that neither character could exist in their current state without their previous relationship with currency. Sancho is a peasant and has a real enough need for fiscal reward that he buys into Don Quixote's promise of some island or governorship despite seeing all of his adventures for the make-believe they are. While the knight-errant would not be able to sneer at the idea of carrying money, nor have even the ramshackle armor he possesses or the knowledge of chivalric tales if he was not well off to begin with.
Hampton, Timothy. “Sancho’s Fortune: Money and Narrative Truth in Don Quixote.” MLN 135.5 (2020): 1214–1226. Web.