Small Cents Coins: US Coins & Paper Money
The United States started issuing small cents in the year 1856 or early 1857 for two main reasons. Firstly, the Large Cent had surpassed its content in metal than the coin was actually worth at face value. Also, it was very unpopular to the public, citing that it was too heavy for circulation. Banks and merchants usually only accepted the legal tender, gold and silver, and only accepted large cents when they were heavily discounted below their face value. When it started costing the U.S. Mint $1.06 to produce one dollar of the coin, they were discontinued altogether. Secondly, the United States accepted currency from all countries, especially the English schilling and Spanish real. They wanted to create such legal tender to dissuade citizens from using them.
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Discount & Bargain
With this, the idea of small cents was born. Being exchanged for old copper cents and half cents, the government provided a more convenient coin. This small cent, made of a innovative alloy, was very popular in the United States. The coin was to cure the chaos created by the hectic state of U.S. currency. For a time, this was true, until the novelty and allure wore off. Soon after, the coin suffered the same fate as the others.
The Civil War changed the way these small cents were produced. The Mint started mass producing these coins during those years, and the idea helped was great in larger cities. The small cent ultimately proved to be too good to circulate during the years of the war, so to fill the hole left by the disappearance of the cent, tokens were established by private companies. These worked, but after they were failing to be redeemed, these started to prove unpopular as well. And after the war ended, the small cents flooded back into marketplaces across the United States.
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