Beaver coins

Last updated
Oregon Territory $5 gold "beaver coin". Oregon gold five dollar coin.png
Oregon Territory $5 gold "beaver coin".
Sketch of Beaver Coins in both denominations History of Oregon-073.jpg
Sketch of Beaver Coins in both denominations

Beaver Coins, also known in pioneer days as Beaver Money, were gold coins minted in Oregon in 1849. Their name comes from the prominent beaver depicted on the obverse of the coins. The currency contained 8% more gold than contemporary coins from the United States of America. [1] Today these coins are quite rare and valuable. [2]

Contents

After the establishment of the Territory of Oregon, the mint producing the coins became an entirely private enterprise continuing its operations until Governor Joseph Lane ruled the operation unconstitutional in September 1849. (Article I, Section 8 of the United States Constitution declares the mintage of coins to be one of the enumerated powers of the Congress.) The opening of the United States Mint branch in San Francisco, California made a large supply of gold and silver U.S. currency available, playing a part in the demise of the "Beaver Coins".

Background

The primarily American settler population of the Oregon Country, based in the Willamette Valley since the late 1830s, lacked a stable currency. A variety of items were held valid by the Provisional Government of Oregon, including specie from Mexico and Peru, beaver skins and wheat. [3] After the beginning of the California Gold Rush an estimated 2,000,000 dollars worth of gold entered the Oregon settlements within two years. [1] Disputes often arose during transactions over the value of the gold dust, generally rife with impurities. [4]

Oregon Exchange Company

The Provisional Legislature, after being petitioned by William Rector for the establishment of a mint, gave its approval for the plan. [4] Legislators from Clackamas and Yamhill counties objected to the bill, stressing the illegality under the U.S. Constitution of private mints. [5] Although the Oregon Exchange Company was a mostly private organization, the legislature appointed the officers to the Company, which included Governor George Abernethy. [1] The proceeds of the mint were intended to fund the expenses from the ongoing Cayuse War. [4]

The mint was open on 10 March 1849 in Oregon City, Oregon, eight days after the Territorial Governor Joseph Lane arrived in Oregon. [5] Machinery used to create the coins was created by Rector and made of "old wagon tires and such scraps..." [4] Designed after the North West Company trade tokens, the $5 and $10 Beaver Coins weighed 130 and 260 grains respectively. [3] An estimated 8,850 coins of either denomination were produced until the closure of the mint. [4]

Legality of the coins

It was argued by the Provisional Government of the Oregon Territory that "necessity knows no laws".[ citation needed ] It could also be argued that during the Anglo-American joint occupation of Oregon, the territory was not officially part of either government, and any established government could act as it wished. However, after Oregon was officially organized as a U.S. Territory the coins were clearly unconstitutional. Governor Lane remedied this upon his examination of all the provisional government's laws, striking only the law calling for the minting of coinage.

The formal U.S. Government's reaction to the coins was to buy them up at a premium rate in exchange for U.S. currency. The coins were called up by the San Francisco Mint and taken out of circulation. [4]

See also

Related Research Articles

<span class="mw-page-title-main">Commodity money</span> Money with value derived from composition from a commodity (such as silver or gold coins)

Commodity money is money whose value comes from a commodity of which it is made. Commodity money consists of objects having value or use in themselves as well as their value in buying goods. This is in contrast to representative money, which has no intrinsic value but represents something of value such as gold or silver, in which it can be exchanged, and fiat money, which derives its value from having been established as money by government regulation.

Seigniorage, also spelled seignorage or seigneurage, is the difference between the value of money and the cost to produce and distribute it. The term can be applied in two ways:

<span class="mw-page-title-main">Oregon City, Oregon</span> City in Oregon, United States

Oregon City is the county seat of Clackamas County, Oregon, United States, located on the Willamette River near the southern limits of the Portland metropolitan area. As of the 2020 census, the city population was 37,572. Established in 1829 by the Hudson's Bay Company, in 1844 it became the first U.S. city west of the Rocky Mountains to be incorporated.

The dollar coin is a United States coin with a face value of one United States dollar. Dollar coins have been minted in the United States in gold, silver, and base metal versions. Dollar coins were first minted in the United States in 1794.

<span class="mw-page-title-main">George Abernethy</span> American politician

George Abernethy was an American politician, pioneer, notable entrepreneur, and first governor of Oregon under the provisional government based in the Willamette Valley, an area later a part of the American state of Oregon. He traveled to Oregon Country as a secular member of the Methodist mission, where he became involved in politics and helped found the first American newspaper west of the Rocky Mountains.

<span class="mw-page-title-main">Joseph Meek</span> Pioneer, mountain man, law enforcement official, and politician in the Oregon Territory

Joseph Lafayette "Joe" Meek was a pioneer, mountain man, law enforcement official, and politician in the Oregon Country and later Oregon Territory of the United States. A trapper involved in the fur trade before settling in the Tualatin Valley, Meek played a prominent role at the Champoeg Meetings of 1843, where he was elected a sheriff. He was later elected to and served in the Provisional Legislature of Oregon before being appointed as the United States Marshal for the Oregon Territory.

<span class="mw-page-title-main">John P. Gaines</span> American politician

John Pollard Gaines was a U.S. military and political figure. He was a Whig member of the United States House of Representatives, representing Kentucky from 1847 to 1849, and he served as Governor of the Oregon Territory from 1850 to 1853, stepping down after a turbulent term in office. He was the owner of Margaret Garner, whose enslavement and sexual assault is the basis for Toni Morrison's novel, Beloved.

<span class="mw-page-title-main">Seal of Oregon</span> Official government emblem of the U.S. state of Oregon

The Seal of the State of Oregon is the official seal of the U.S. state of Oregon. It was designed by Harvey Gordon in 1857, two years before Oregon was admitted to the Union. The seal was preceded by the Salmon Seal of the Provisional Government and the Seal of the Oregon Territory. The state seal is mandated by Article VI of the Oregon Constitution.

<span class="mw-page-title-main">Asa Lovejoy</span> American politician (1808–1882)

Asa Lawrence Lovejoy was an American pioneer and politician in the region that would become the U.S. state of Oregon. He is best remembered as a founder of the city of Portland, Oregon. He was an attorney in Boston, Massachusetts before traveling by land to Oregon; he was a legislator in the Provisional Government of Oregon, mayor of Oregon City, and a general during the Cayuse War that followed the Whitman massacre in 1847. He was also a candidate for Provisional Governor in 1847, before the Oregon Territory was founded, but lost that election.

<span class="mw-page-title-main">Peter Hardeman Burnett</span> American judge, governor of California, slave owner

Peter Hardeman Burnett was an American politician who served as the first elected Governor of California from December 20, 1849, to January 9, 1851. Burnett was elected Governor almost one year before California's admission to the Union as the 31st state in September 1850.

<span class="mw-page-title-main">Champoeg Meetings</span>

The Champoeg Meetings were the first attempts at formal governance by European-American and French Canadian pioneers in the Oregon Country on the Pacific Northwest coast of North America. Between 1841 and 1843, a series of public councils was held at Champoeg, a settlement on the French Prairie of the Willamette River valley in present-day Marion County, Oregon, and at surrounding settlements. The meetings were organized by newly arrived settlers as well as Protestant missionaries from the Methodist Mission and Catholic Jesuit priests from Canada.

<span class="mw-page-title-main">Oregon pioneer history</span>

Oregon pioneer history (1806–1890) is the period in the history of Oregon Country and Oregon Territory, in the present day state of Oregon and Northwestern United States.

<span class="mw-page-title-main">Provisional Government of Oregon</span> Early elected government of Pacific Northwest

The Provisional Government of Oregon was a popularly elected settler government created in the Oregon Country, in the Pacific Northwest region of North America. Its formation had been advanced at the Champoeg Meetings since February 17, 1841, and it existed from May 2, 1843 until March 3, 1849, and provided a legal system and a common defense amongst the mostly American pioneers settling an area then inhabited by the many Indigenous Nations. Much of the region's geography and many of the Natives were not known by people of European descent until several exploratory tours were authorized at the turn of the 18th and 19th centuries. The Organic Laws of Oregon were adopted in 1843 with its preamble stating that settlers only agreed to the laws "until such time as the United States of America extend their jurisdiction over us". According to a message from the government in 1844, the rising settler population was beginning to flourish among the "savages", who were "the chief obstruction to the entrance of civilization" in a land of "ignorance and idolatry".

<span class="mw-page-title-main">William H. Willson</span> American politician

William Holden Willson was a pioneer of the U.S. state of Oregon and the founder of its capital city, Salem. A native of New Hampshire, he immigrated to the Oregon Country in 1837 to work at the Methodist Mission, and there would participate in the Champoeg Meetings. Willson served as the first treasurer of the Provisional Government of Oregon.

<span class="mw-page-title-main">Provisional Legislature of Oregon</span> Early Oregon legislature

The Provisional Legislature of Oregon was the single-chamber legislative body of the Provisional Government of Oregon. It served the Oregon Country of the Pacific Northwest of North America from 1843 until early 1849 at a time when no country had sovereignty over the region. This democratically elected legislature became the Oregon Territorial Legislature when the territorial authorities arrived after the creation of the Oregon Territory by the United States in 1848. The body was first termed the Legislative Committee and later renamed the House of Representatives. Over the course of its six-year history the legislature passed laws, including taxation and liquor regulation, and created an army to deal with conflicts with Native Americans.

<span class="mw-page-title-main">Organic Laws of Oregon</span>

The Organic Laws of Oregon were two sets of legislation passed in the 1840s by a group of primarily American settlers based in the Willamette Valley. These laws were drafted after the Champoeg Meetings and created the structure of a government in the Oregon Country. At the last Champoeg Meeting in May 1843, the majority voted to create what became the Provisional Government of Oregon. Laws were drafted by the committee and accepted by a popular vote in July. These laws were reformed by a second version in 1845.

<span class="mw-page-title-main">William W. Chapman</span> American politician

William Williams Chapman was an American politician and lawyer in Oregon and Iowa. He was born and raised in Virginia. He served as a United States Attorney in Iowa when it was part of the Michigan and Wisconsin territories, and then represented the Iowa Territory in the United States House of Representatives. He later immigrated to the Oregon Country, where he served in the Oregon Territorial Legislature.

<span class="mw-page-title-main">United States dollar</span> Official currency of the United States

The United States dollar is the official currency of the United States and several other countries. The Coinage Act of 1792 introduced the U.S. dollar at par with the Spanish silver dollar, divided it into 100 cents, and authorized the minting of coins denominated in dollars and cents. U.S. banknotes are issued in the form of Federal Reserve Notes, popularly called greenbacks due to their predominantly green color.

<span class="mw-page-title-main">Outline of Oregon</span> Overview of and topical guide to Oregon

The following outline is provided as an overview of and topical guide to the U.S. state of Oregon:

<span class="mw-page-title-main">National Numismatic Collection</span> National coin cabinet of the United States

The National Numismatic Collection is the national coin cabinet of the United States. The collection is part of the Smithsonian Institution's National Museum of American History.

References

  1. 1 2 3 Carey, Charles H. History of Oregon. Portland: Pioneer Historical Publishing Co. 1922. p. 407
  2. "Rare minted-in-Oregon 'beaver coin' sells for $125,000". KATU. January 24, 2006. Archived from the original on 2007-10-10. Retrieved 2007-07-05.
  3. 1 2 Scott, Leslie M. "Pioneer Gold Money, 1849." Oregon Historical Quarterly 33, No. 1 (1932), pp. 25-30
  4. 1 2 3 4 5 6 Brown, Henry J. Brown's Political History of Oregon: Provisional Government. Portland, OR: Wiley B. Allen. 1892. pp. 454-457
  5. 1 2 Strevey, T. Elmer. "The Oregon Mint." The Washington Historical Quarterly 15, No. 4 (1924), pp. 276-284