Pieces of eight; The Spanish Reales

[William]

The reason the Spanish Reales are often found at historic sites in the US is that during colonial days in the U.S., the silver Ocho Reales coin, referred to as the Spanish milled dollar, piece of eight, or eight bits, was the principal coin in circulation. This coin and its fractional parts, the half, one, two, and four Reales, were legal currency until February 21, 1857 in the U.S., 1858 in Canada, and 1895 in Puerto Rico. The great majority of these coins were Mexican pesos, due to the geographical proximity to Mexico and the large production of the Mexican mints.

The first Real was introduced by King Pedro the Cruel (1350-65) with the Latin expression, Numus Regalis (royal coin), and was a unit of currency in Spain for several centuries. In 1642, two distinct reales were created, the Real de Plata (made of silver) and the Real de Vellón (made of billon, or "less than half silver"). Real de Plata was the standard, issued as coins until the early 19th century. Denominations of ½, 1, 2, 4 and 8 Reales were produced.

Dating from 1536, the first coins minted in America were of Carolus and Johanna. The first 8-real piece minted in America was that of Felipe II (1556-1598), and was an impressive beginning to over 450 years of continuous coining at the Mexico City Mint. Throughout the western hemisphere, Spanish coins reigned. Many Spanish Colonial mints struck coins similar to regular Spanish issues until 1820's.

The Real was often divided into pie-shaped wedges or pieces to make change; an eight real coin, for example, could be cut into eight pieces valued at one Real each.

Each of these pieces was referred to as a "bit," which was a wedge-shaped piece of silver equal to 1 Real in metal weight and monetary exchange value.

Currency was based on the price of silver, and the colonists generally used the Spanish milled dollar over other forms of silver currency. The Spanish Real was favored because it had a milled edge which would deter the shaving of silver from the edge of the coin.



Spanish Coin Denominations:
1/2 REAL or One-Half "Bit" is equivalent to American HALF-DIME or 1/16 PESO also called a PICAYUNE, DIAMETER: 16.4 mm - 17,7 mm

1 REAL or One "Bit" is equivalent to American DIME or 1/8 PESO, DIAMETER: 20.3 mm - 21.6 mm

2 REALES or Two "Bits" are equivalent to American QUARTER or 1/4 PESO, DIAMETER: 26.2 mm - 28.1 mm

4 REALES or Four "Bits" are equivalent to American HALF-DOLLAR or 1/2 PESO, DIAMETER: 34.9 mm

8 REALES - a Piece of 8, or Eight "Bits"(a "Cob"), coin is equivalent to American 1 DOLLAR or 1 PESO, DIAMETER: 38.8 mm - 39.9 mm

On Spanish Reales denominations are abbreviated "R" (on both 1/2 Real and 1 Real coins), "2 R", "4 R", and "8 R" respectively.

16 REALES = 1 ESCUDO


http://metaldetectingworld.com/coins_silver_reales.shtml

[old salt]

Thanks for the information. I all the research I have done I have never even thought about the money used

[hrayton]

Great post William! Very informative...now all you have to do is another post about French sols and livres, English pounds sterling(and asstd sixpence, shillings, etc.) and the various exchange rates among the three on the frontier and back east. Not to mention all the scrip that circulated, unique to each colony or state... lol! I love the fact that after Independance we mostly used other nation's money as our own, until we got everything going. As if finance isn't confusing enough today...can you imagine trying to keep the books with essentially four different types of curency, and all of the material iou's circulating? 3 cows, 1 pig, and 20 virginia red deer hides traded for whatever? It's a fascinating topic. :)

[gordy]

      William , great post. Types and values of money(coins) used durring the early years in the formation of the colonys are rarely a subject of study in our research of the fur trade. I think most dealings  between individuals on the frontier were  basicly based on the value of furs for objects such as guns, clothing articles , traps, knives etc. As was said , now you have to research the other coinage in use durring the era up to 1860 or so.
       Thanks for the research youv,e done thus far . Am looking forward to more information. Thanks.
                                                                             

[Dogshirt]

I remember reading that in the mining camps that a "pinch" of gold dust was considered a dollar. A bit later than the fur trade,
but a little of insight into the value of things. Gold was common in the camps and the economic standards were set by that.

[crazell]

Thanks for the education William!!

[William]

Thanks for all the compliments!  It was just one of those things I discovered while looking for something else so I am glad I could share that with everyone.

[greggholmes]

Isn't that where "2 bits, 4 bits, 6 bits, a dollar" comes from?
.25 is 2 bits or 1/4

[William]

Isn't that where "2 bits, 4 bits, 6 bits, a dollar" comes from?
.25 is 2 bits or 1/4

Yep, that is where the saying comes from.