Dollar without doubt today is among the most powerful currencies on the planet. There's a great respect and worth that is attached to this currency and there's a great history behind involving twists and turns passing through which American currency has reached modern state. There was a time during the colonial period in America when there was even not enough cash to fulfill the prerequisites.
The economy faced ups and downs and to bring the things under control the colonial central authority took diverse strategies. One of them was that materials like nails, pelt of animals, tobaccos were used as currency. Each one of them was allocated a certain amount or value and trading was done using them rather than money (Today, it is very simple to trade currencies, you can simply convert various currencies.
The history of dollar shares a tight relationship with the autonomy of the American nation. Colonial scrip was the earliest currency of America. It is worth mentioning that prior to liberation the Continental Congress had done the authorisation of the issuing of dollar coins as a currency.
There were many proposals that were presented in relation to the announcement of the official currency of America in the early days after independence, but finally Dollar succeeded in getting the standing and resolution was passed by Congress in the year 1785 in the month of August. Alexander Hamilton who was the treasury secretary was assigned the responsibility of coping with the financial issues and this was done when the constitution was passed in the time period of 1790. He was assigned with the responsibility of dealing with and taking care of all of the matters related to the finance.
Hamilton worked on the matter and presented his suggestions on the issue that were appreciated by the Congress and they were included in the Coinage Act of 1792. According to this act Dollar was given the standing of a basic unit of accounts in US.
The term ‘dollar ‘ itself has been taken from Low Saxon that is a shortening of Joachimsthaler. Dollar currency has passed through many types of fluctuations with one of them had been done in the year 1853. The weight of the coins of the United States was cut down, and the key target behind this was to put the people on the standards of Gold. The main intent was to take the currency to the high world standards.
The largest breakthrough came in the year 1863 during which the national banking act came into focus. It is worth mentioning this period was marked with civil war phase in The USA. This produced its effect in the way that Dollar accomplished the standing of the sole currency of US and enjoys this standing up till now.
This was merely a quick summary, nonetheless it is worth discussing that there are numerous vital situations and events that form an important part of the history of the rise of the Dollar as the official currency of the United States.
This article has been created by William Harry. He has presented a brief overview of the history of the North American dollar. Additional info might be found at hqrates portal. hqrates.com is his official website.
Author: William HarryThis author has published 1 articles so far.