CIVIL WAR TOKENS USED AS MONEY
 by Bill Jones

 In April 1865, the Confederate General Robert E. Lee offered his sword in surrender to the Union General Ulysses S. Grant at the quiet courthouse in Appomattox. The Civil War was over, and life in the U.S. could begin to return to normal. One of the most vexing problems during the Civil War was a shortage of small change. A few months after the war began, people began hoarding gold and silver coins as a hedge against uncertainty. Eventually, even the penny was hoarded, though it contained no precious metal. This situation left everyone looking for substitutes for daily transactions. Banks, merchants, and even cities and towns issued low-denomination paper notes. Postage stamps were used as money--and the Union government issued small paper notes called "Fractional Currency." But by far the most common substitutes for money were the Civil War tokens. These tokens, usually made of copper, were often used as 1 cent pieces, although other denominations were seen. About 25-million Civil War tokens circulated during the war---and for a time, they gained wide acceptance. Collectors divide these pieces into two groups: merchant and patriotic tokens. Merchants from more than 400 cities and towns issued tokens. Chances are, if you live east of the Mississippi River in a state that remained in the Union, there was a business in your area that issued Civil War tokens. The patriotic tokens are generic pieces . . . and although most pieces carried slogans that were pro-, or sometimes anti-Union, many patriotic tokens were politically neutral. Many tokens resembled the regular U.S. coins that had been in circulation before the war. In all, more than 10,000 varieties of Civil War tokens were issued. Today's program was written by Bill Jones. "Money Talks" is a production of the American Numismatic Association in Colorado Springs, America's coin club for over a century. Take a tour of ANA's virtual Money Museum on the Web at  www.money.org.