As Cincinnati’s most experienced coin dealers, we at Coins Plus see beyond an item’s monetary value. Rather, we acknowledge the collectible’s historical significance as well as the monetary value. For example, one item of current interest is Confederate currency. Printed between 1861 and 1864, these bills tell a tale of war, ingenuity, and strife. Here at Coins Plus our specialists unearth the story as well as the value of the money.  

Fire Up the Printing Press

When the Civil War began in 1861, the Confederacy quickly found itself in a financial predicament. They needed funds to support their troops but did not have access to the Union’s abundant precious metals and money reserves. Rather than tax their citizens, they created their own currency promising to exchange it for precious metals in the future.

The South printed 10 different banknotes with denominations ranging from 50 cents to $1,000. These bills had high purchasing power as well as an ornate design. Some featured Greek gods and goddesses, while others featured famous faces like George Washington and “Stonewall” Jackson.

They also made a very few half dollar patterns that are prohibitively rare today.  In the 1880’s New York coin dealer J.W. Scott obtained the Confederate reverse die and, using original 1861 half dollars, struck “new” Confederate half dollars.  These restrikes are highly collected today and are worth at least a few thousand dollars each.  Be aware that many counterfeits exist made of base metal that are worthless.

Confidence Dwindles

Because the Confederacy lacked the same reserves as their northern counterparts, their currency was not backed by anything tangible. Rather, they were placeholders said to be redeemable for their face value “six months after the ratification of a treaty of peace between the Confederates States and the United States” – as was printed across the top of each bill. 

As the fighting wore on, however, citizens’ confidence in their country waned. The Union was gaining ground, meaning there might not be a treaty after all. In that case, these bills would become worthless. To make matters worse, the South continued printing money well into the war’s final year. This tactic then caused the currency’s overall value to plummet. After General Robert E. Lee’s surrender, for example, their $100 bill was worth a mere $1.76 with an inflation rate of 9,000 percent.

A New Kind of Value

Though defunct, Confederate currency is no longer worthless. In fact, there is a lucrative collector’s market for the notes. Today you can purchase an original Confederate note for your collection for under $50.  Many of the rare issues can reach into the thousands, so it is imperative that you check with an expert before selling your notes.  Remember, there are also many different reproductions of these notes that are worthless. 

Do you have any Confederate currency in your collection? Visit any one of our Cincinnati-based locations for an honest, expert appraisal. For more on our coin buying and selling practices, check out our website or call (513) 621-1996 to speak to our expert.