Confederate States of America dollar
Encyclopedia
The Confederate States of America dollar was first issued into circulation in April 1861, when the Confederacy
was only two months old, and on the eve of the outbreak of the Civil War
.
At first, Confederate currency was accepted throughout the South
as a medium of exchange with high purchasing power. As the war progressed, however, confidence in the ultimate success waned, the amount of paper money increased, and their dates of redemption were extended further into the future. Most Confederate currency carried the phrase across the top of the bill: "TWO YEARS AFTER THE RATIFICATION OF A TREATY OF PEACE BETWEEN THE CONFEDERATE STATES AND THE UNITED STATES OF AMERICA" then across the middle, the "CONFEDERATE STATES OF AMERICA will pay" [the amount of the bill] "to BEARER." As the war progressed, the currency underwent the depreciation and soaring prices characteristic of inflation
. For example, by the end of the war, a cake of soap could sell for as much as $50 and an ordinary suit of clothes was $2,700.
Near the end of the war, the currency became practically worthless as a medium of exchange. In no small part this is because Confederate currency was actually not money, but bills of credit, just as was seen in the Revolutionary War, and concomitantly not secured, or backed by any assets. Just as the currency issued by the Continental Congress was deemed worthless (witness the phrase "not worth a Continental;" and see The Federalist Papers, which also addressed this issue in the run-up to the ratification of the U.S. Constitution) because they were not backed by any hard assets, so, too, this became the case with Confederate currency. Even though both gold and silver may have been scarce, some economic historians have suggested that the currency would have retained a relatively material degree of value, and for a longer period of time, had it been backed by hard goods the Confederacy did have, perhaps such as cotton, or tobacco. When the Confederacy ceased to exist as a political entity at the end of the war, the money lost all value as fiat currency.
s as well as secure printing facilities, often had to make do with unrelated designs in early banknote issues. Some such were abstract depictions of mythological gods and goddesses
. Southern themes did prevail with designs of black slaves, naval ship
s, and historical figures, including George Washington
. Images of slaves often had them depicted as smiling or happily carrying about their work. John Jones
has recreated these images as large acrylic paintings in a contemporary series called "Confederate Currency: The Color of Money."
Since most of the engravers and bank plates were in the North, Southern printers had to lift by offset or lithographic process scenes that had been used on whatever notes they had access to. Many variations in plates, printing and papers also appear in most of the issues, due in large part to the limits on commerce resulting from the Union embargo of Confederate ports.
Later note issues pictured notable Southern politicians, military leaders, and citizens. Some Southerners who appeared on CSA currency included Jefferson Davis
, Alexander Stephens
, Lucy Pickens
, George Randolph
, R. M. T. Hunter
, and Stonewall Jackson
.
and Edward C. Elmore
. The first six notes issued were hand signed by the Register and Treasurer
themselves. While hand signatures were considered an anti-counterfeiting tool, the sheer number of bills being produced could not reasonably be signed individually by two men each. Women were often hired as clerks to sign "for Register" and "for Treasurer"; up to 200 clerks were eventually hired for each.
s available in the South often made their way to Europe
to procure war goods. But the CSA did manage to mint a few coin
s. In 1861, Mr. Robert Lovett Jr. of Philadelphia
was commissioned to design, engrave, and make a one cent
piece for the Confederacy. On the obverse (front), he used the head of Minerva
(French Liberty Head), which he had used on several store cards. The coins were struck using the then Federal standard of cupronickel
for cent pieces. He made a few samples, of which only 12 are said to exist by the popular stories but research has shown that 14 are currently known to exist. Fearing prosecution for aiding the enemy, he stopped his work, and hid the coins and dies
in his cellar. The original dies were purchased later and used to make restrikes, first by John W. Haseltine and later by Robert S. Bashlow. The dies were donated to the Smithsonian Institution
by Bashlow in 1962.
In late April of 1861, four Confederate half dollar
s were struck on a hand press by certain employees of the New Orleans Mint
. Because of the high relief of the coin die, a test striking was made to see if coins would release from the Confederate die. The die was made by a printing plate engraver (A.H.M. Peterson) in New Orleans who was unfamiliar with techniques required to engrave coining dies. These coins were struck using a U.S. obverse die (Seated Liberty
) and the Confederate die made by Peterson. These coins are known as originals, and the location of all four of the coins is known today.
As the result of an 1879 article about the Confederate cent printed in a New York City
newspaper, Benjamin F. Taylor, M.D. (Chief Coiner, New Orleans Mint, CSA) contacted coin dealer Ebenezer Mason. Taylor informed Mason of the existence of the Confederate half dollar and the die. Mason bought the die and coin from Taylor and sold them to J.W. Scott Co. of New York City, a coin and stamp dealer. Scott bought 500 1861 United States half dollars
from a New York bank that were supposedly struck at the New Orleans Mint. Scott had the reverse of the half dollars planed down and performed a one-sided strike using the Confederate half dollar die. The Seated Liberty obverse of the coins were flattened some because of the one-sided strike. In addition, Scott struck 500 half dollar sized tokens in a white metal using the Confederate die and a newly made die to commemorate the restrikes of the Confederate half dollars. The Confederate half dollar die went missing during the 1920s and has not been seen since.
Popular stories claim one of the Confederate half dollars was given to Confederate President Jefferson Davis
. This story has no basis in fact. In an 1879 letter to Ebenezer Mason, Davis confirmed that a Union soldier (actually a Federal Officer) stole a coin from one of his wife’s trunks, but could not confirm that it was like the then known Confederate half dollar. It is very possible that the coin was a gold
so-called Jefferson Davis dime
struck at the Paris (France) Mint, which Davis described to coin dealer Ed Frossard in an 1880 letter. All known Jefferson Davis dimes were struck in silver
at the Paris Mint. The Davis letter is the only known reference to a gold specimen, which was likely a special presentation piece made for Davis.
s) were ultimately issued in 50-cent, $1, $2, $5, $10, $20, $50, $100, $500, and $1,000 denominations with a variety of designs, issuers and redeemable obligations. The amount of currency
issued under the various acts of the Confederate Congress totaled $1.7 billion. Bills were released in 72 different note "types" in seven "series" from 1861 through 1864.
Since there were many types of Confederate notes as well as notes issued by the states
of the Confederacy, and since bank
s could issue their own notes, counterfeiting
was a major problem for the Confederacy. Many of these contemporary counterfeits are identifiable today and they can be as valuable to a collector as a real note.
Confederate States of America
The Confederate States of America was a government set up from 1861 to 1865 by 11 Southern slave states of the United States of America that had declared their secession from the U.S...
was only two months old, and on the eve of the outbreak of the Civil War
American Civil War
The American Civil War was a civil war fought in the United States of America. In response to the election of Abraham Lincoln as President of the United States, 11 southern slave states declared their secession from the United States and formed the Confederate States of America ; the other 25...
.
At first, Confederate currency was accepted throughout the South
Southern United States
The Southern United States—commonly referred to as the American South, Dixie, or simply the South—constitutes a large distinctive area in the southeastern and south-central United States...
as a medium of exchange with high purchasing power. As the war progressed, however, confidence in the ultimate success waned, the amount of paper money increased, and their dates of redemption were extended further into the future. Most Confederate currency carried the phrase across the top of the bill: "TWO YEARS AFTER THE RATIFICATION OF A TREATY OF PEACE BETWEEN THE CONFEDERATE STATES AND THE UNITED STATES OF AMERICA" then across the middle, the "CONFEDERATE STATES OF AMERICA will pay" [the amount of the bill] "to BEARER." As the war progressed, the currency underwent the depreciation and soaring prices characteristic of inflation
Inflation
In economics, inflation is a rise in the general level of prices of goods and services in an economy over a period of time.When the general price level rises, each unit of currency buys fewer goods and services. Consequently, inflation also reflects an erosion in the purchasing power of money – a...
. For example, by the end of the war, a cake of soap could sell for as much as $50 and an ordinary suit of clothes was $2,700.
Near the end of the war, the currency became practically worthless as a medium of exchange. In no small part this is because Confederate currency was actually not money, but bills of credit, just as was seen in the Revolutionary War, and concomitantly not secured, or backed by any assets. Just as the currency issued by the Continental Congress was deemed worthless (witness the phrase "not worth a Continental;" and see The Federalist Papers, which also addressed this issue in the run-up to the ratification of the U.S. Constitution) because they were not backed by any hard assets, so, too, this became the case with Confederate currency. Even though both gold and silver may have been scarce, some economic historians have suggested that the currency would have retained a relatively material degree of value, and for a longer period of time, had it been backed by hard goods the Confederacy did have, perhaps such as cotton, or tobacco. When the Confederacy ceased to exist as a political entity at the end of the war, the money lost all value as fiat currency.
Designs
The South, being limited in skilled engravers and printerPrinter (publisher)
In publishing, printers are both companies providing printing services and individuals who directly operate printing presses. With the invention of the moveable type printing press by Johannes Gutenberg around 1450, printing—and printers—proliferated throughout Europe.Today, printers are found...
s as well as secure printing facilities, often had to make do with unrelated designs in early banknote issues. Some such were abstract depictions of mythological gods and goddesses
Deity
A deity is a recognized preternatural or supernatural immortal being, who may be thought of as holy, divine, or sacred, held in high regard, and respected by believers....
. Southern themes did prevail with designs of black slaves, naval ship
Naval ship
A naval ship is a ship used for combat purposes, commonly by a navy. Naval ships are differentiated from civilian ships by construction and purpose...
s, and historical figures, including George Washington
George Washington
George Washington was the dominant military and political leader of the new United States of America from 1775 to 1799. He led the American victory over Great Britain in the American Revolutionary War as commander-in-chief of the Continental Army from 1775 to 1783, and presided over the writing of...
. Images of slaves often had them depicted as smiling or happily carrying about their work. John Jones
John W. Jones (artist)
John W. Jones is an American artist who first gained acclaim for his series "Confederate Currency: The Color of Money." Self-taught and drafted into the U.S. Army in 1970, he served in Vietnam, eventually becoming an Army illustrator. Examining Confederate banknotes, he became interested in the...
has recreated these images as large acrylic paintings in a contemporary series called "Confederate Currency: The Color of Money."
Since most of the engravers and bank plates were in the North, Southern printers had to lift by offset or lithographic process scenes that had been used on whatever notes they had access to. Many variations in plates, printing and papers also appear in most of the issues, due in large part to the limits on commerce resulting from the Union embargo of Confederate ports.
Later note issues pictured notable Southern politicians, military leaders, and citizens. Some Southerners who appeared on CSA currency included Jefferson Davis
Jefferson Davis
Jefferson Finis Davis , also known as Jeff Davis, was an American statesman and leader of the Confederacy during the American Civil War, serving as President for its entire history. He was born in Kentucky to Samuel and Jane Davis...
, Alexander Stephens
Alexander Stephens
Alexander Hamilton Stephens was an American politician from Georgia. He was Vice President of the Confederate States of America during the American Civil War. He also served as a U.S...
, Lucy Pickens
Lucy Pickens
Lucy Petway Holcombe Pickens was a 19th-century American socialite, known during and after her lifetime as the "Queen of the Confederacy"...
, George Randolph
George W. Randolph
George Wythe Randolph was a lawyer, planter, and Confederate general. He served for eight months in 1862 as the Confederate States Secretary of War during the American Civil War, when he reformed procurement, wrote the conscription law, and strengthened western defenses...
, R. M. T. Hunter
Robert Mercer Taliaferro Hunter
-References:* Patrick, Rembert W. . Jefferson Davis and His Cabinet. Baton Rouge: Louisiana State University Press. pp. 90–101.-External links:* – A speech by R. M. T. Hunter before the U.S. House of Representatives, May 8th, 1846...
, and Stonewall Jackson
Stonewall Jackson
ຄຽשת״ׇׂׂׂׂ֣|birth_place= Clarksburg, Virginia |death_place=Guinea Station, Virginia|placeofburial=Stonewall Jackson Memorial CemeteryLexington, Virginia|placeofburial_label= Place of burial|image=...
.
Signatures
Confederate Treasury Notes were hand signed by various clerks, with exception of the 50 cent issues that had the printed signatures of Robert TylerRobert Tyler
Robert Tyler was the eldest son of United States President John Tyler and Letitia Christian Tyler. He served as the Confederate Register of the Treasury during the American Civil War He also served as his father's private secretary during his administration. Afterwards, he served as the editor...
and Edward C. Elmore
Edward C. Elmore
Edward Carrington Elmore served as the Treasurer of the Confederate States of America during the Civil War. His signature appears on collectible Confederate currency, and he designed several of the Confederacy's coins....
. The first six notes issued were hand signed by the Register and Treasurer
Treasurer
A treasurer is the person responsible for running the treasury of an organization. The adjective for a treasurer is normally "tresorial". The adjective "treasurial" normally means pertaining to a treasury, rather than the treasurer.-Government:...
themselves. While hand signatures were considered an anti-counterfeiting tool, the sheer number of bills being produced could not reasonably be signed individually by two men each. Women were often hired as clerks to sign "for Register" and "for Treasurer"; up to 200 clerks were eventually hired for each.
Coinage
As the Civil War continued, the cost of the war loomed large. Any precious metalPrecious metal
A precious metal is a rare, naturally occurring metallic chemical element of high economic value.Chemically, the precious metals are less reactive than most elements, have high lustre, are softer or more ductile, and have higher melting points than other metals...
s available in the South often made their way to Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...
to procure war goods. But the CSA did manage to mint a few coin
Coin
A coin is a piece of hard material that is standardized in weight, is produced in large quantities in order to facilitate trade, and primarily can be used as a legal tender token for commerce in the designated country, region, or territory....
s. In 1861, Mr. Robert Lovett Jr. of Philadelphia
Philadelphia, Pennsylvania
Philadelphia is the largest city in the Commonwealth of Pennsylvania and the county seat of Philadelphia County, with which it is coterminous. The city is located in the Northeastern United States along the Delaware and Schuylkill rivers. It is the fifth-most-populous city in the United States,...
was commissioned to design, engrave, and make a one cent
Cent (United States coin)
The United States one-cent coin, commonly known as a penny, is a unit of currency equaling one one-hundredth of a United States dollar. The cent's symbol is ¢. Its obverse has featured the profile of President Abraham Lincoln since 1909, the centennial of his birth. From 1959 to 2008, the reverse...
piece for the Confederacy. On the obverse (front), he used the head of Minerva
Minerva
Minerva was the Roman goddess whom Romans from the 2nd century BC onwards equated with the Greek goddess Athena. She was the virgin goddess of poetry, medicine, wisdom, commerce, weaving, crafts, magic...
(French Liberty Head), which he had used on several store cards. The coins were struck using the then Federal standard of cupronickel
Cupronickel
Cupronickel or copper-nickel or "cupernickel" is an alloy of copper that contains nickel and strengthening elements, such as iron and manganese. Cupronickel is highly resistant to corrosion in seawater, because its electrode potential is adjusted to be neutral with regard to seawater...
for cent pieces. He made a few samples, of which only 12 are said to exist by the popular stories but research has shown that 14 are currently known to exist. Fearing prosecution for aiding the enemy, he stopped his work, and hid the coins and dies
Die (manufacturing)
A die is a specialized tool used in manufacturing industries to cut or shape material using a press. Like molds, dies are generally customized to the item they are used to create...
in his cellar. The original dies were purchased later and used to make restrikes, first by John W. Haseltine and later by Robert S. Bashlow. The dies were donated to the Smithsonian Institution
Smithsonian Institution
The Smithsonian Institution is an educational and research institute and associated museum complex, administered and funded by the government of the United States and by funds from its endowment, contributions, and profits from its retail operations, concessions, licensing activities, and magazines...
by Bashlow in 1962.
In late April of 1861, four Confederate half dollar
Half dollar
Half dollar may refer to a half-unit of several currencies that are named "dollar". Normally, $1 is divided into 100 cents, so a half dollar is equal to 50 cents...
s were struck on a hand press by certain employees of the New Orleans Mint
New Orleans Mint
The New Orleans Mint operated in New Orleans, Louisiana, as a branch mint of the United States Mint from 1838 to 1861 and from 1879 to 1909. During its years of operation, it produced over 427 million gold and silver coins of nearly every American denomination, with a total face value of over...
. Because of the high relief of the coin die, a test striking was made to see if coins would release from the Confederate die. The die was made by a printing plate engraver (A.H.M. Peterson) in New Orleans who was unfamiliar with techniques required to engrave coining dies. These coins were struck using a U.S. obverse die (Seated Liberty
United States Seated Liberty coinage
The Seated Liberty designs appeared on most regular-issue silver United States coinage during the mid- and late-nineteenth century, from 1836 through 1891. The denominations which featured the Seated Liberty design included the half dime, the dime, the quarter, the half dollar, and until 1873 the...
) and the Confederate die made by Peterson. These coins are known as originals, and the location of all four of the coins is known today.
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
newspaper, Benjamin F. Taylor, M.D. (Chief Coiner, New Orleans Mint, CSA) contacted coin dealer Ebenezer Mason. Taylor informed Mason of the existence of the Confederate half dollar and the die. Mason bought the die and coin from Taylor and sold them to J.W. Scott Co. of New York City, a coin and stamp dealer. Scott bought 500 1861 United States half dollars
Half dollar (United States coin)
Half dollar coins have been produced nearly every year since the inception of the United States Mint in 1794. Sometimes referred to as the fifty-cent piece, the only U.S. coin that has been minted more consistently is the cent.-Circulation:...
from a New York bank that were supposedly struck at the New Orleans Mint. Scott had the reverse of the half dollars planed down and performed a one-sided strike using the Confederate half dollar die. The Seated Liberty obverse of the coins were flattened some because of the one-sided strike. In addition, Scott struck 500 half dollar sized tokens in a white metal using the Confederate die and a newly made die to commemorate the restrikes of the Confederate half dollars. The Confederate half dollar die went missing during the 1920s and has not been seen since.
Popular stories claim one of the Confederate half dollars was given to Confederate President Jefferson Davis
Jefferson Davis
Jefferson Finis Davis , also known as Jeff Davis, was an American statesman and leader of the Confederacy during the American Civil War, serving as President for its entire history. He was born in Kentucky to Samuel and Jane Davis...
. This story has no basis in fact. In an 1879 letter to Ebenezer Mason, Davis confirmed that a Union soldier (actually a Federal Officer) stole a coin from one of his wife’s trunks, but could not confirm that it was like the then known Confederate half dollar. It is very possible that the coin was a gold
Gold
Gold is a chemical element with the symbol Au and an atomic number of 79. Gold is a dense, soft, shiny, malleable and ductile metal. Pure gold has a bright yellow color and luster traditionally considered attractive, which it maintains without oxidizing in air or water. Chemically, gold is a...
so-called Jefferson Davis dime
Dime
Dime may refer to:Currency* Dime * Dime Media and entertainment* Dime , by Guardian* "Dime" , by Beth* The Dimes, a musical group* Dime novel, a type of popular fictionSports* Dime...
struck at the Paris (France) Mint, which Davis described to coin dealer Ed Frossard in an 1880 letter. All known Jefferson Davis dimes were struck in silver
Silver
Silver is a metallic chemical element with the chemical symbol Ag and atomic number 47. A soft, white, lustrous transition metal, it has the highest electrical conductivity of any element and the highest thermal conductivity of any metal...
at the Paris Mint. The Davis letter is the only known reference to a gold specimen, which was likely a special presentation piece made for Davis.
Banknotes
Confederate Treasury Notes (BanknoteBanknote
A banknote is a kind of negotiable instrument, a promissory note made by a bank payable to the bearer on demand, used as money, and in many jurisdictions is legal tender. In addition to coins, banknotes make up the cash or bearer forms of all modern fiat money...
s) were ultimately issued in 50-cent, $1, $2, $5, $10, $20, $50, $100, $500, and $1,000 denominations with a variety of designs, issuers and redeemable obligations. The amount of currency
Currency
In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply...
issued under the various acts of the Confederate Congress totaled $1.7 billion. Bills were released in 72 different note "types" in seven "series" from 1861 through 1864.
Since there were many types of Confederate notes as well as notes issued by the states
Southern States Confederate Currency
The individual Confederate States of America issued many denominations of banknotes during the American Civil War. These notes supplemented the "federal" issues from the Confederate States of America, and the bank notes that were in wide circulation at the time....
of the Confederacy, and since bank
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...
s could issue their own notes, counterfeiting
Counterfeit
To counterfeit means to illegally imitate something. Counterfeit products are often produced with the intent to take advantage of the superior value of the imitated product...
was a major problem for the Confederacy. Many of these contemporary counterfeits are identifiable today and they can be as valuable to a collector as a real note.
See also
- Economy of the Confederate States of AmericaEconomy of the Confederate States of AmericaThe Confederate States of America had an agrarian-based economy that relied heavily on slave-worked plantations for the production of cotton for export to Europe and the northern US states. If ranked as an independent nation, it would have been the fourth richest country of the world in 1860...
- Fourteenth Amendment to the United States ConstitutionFourteenth Amendment to the United States ConstitutionThe Fourteenth Amendment to the United States Constitution was adopted on July 9, 1868, as one of the Reconstruction Amendments.Its Citizenship Clause provides a broad definition of citizenship that overruled the Dred Scott v...
, which banned the Federal recognition of Confederate debts or currency. - United States currency
- Samuel C. UphamSamuel C. UphamSamuel Curtis Upham was an American journalist, lyricist, merchant, and counterfeiter during the later part of the 19th century, sometimes known as "Honest Sam Upham".-Early life:...
, a notorious counterfeiter of Confederate bills.