The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1893-08-19
SILVER LEGISLATION.
How Silver Was Demonetized in
I673-The Acts of 1878 and 1890.
Iprepared for The Democratic Advocate.

by simply leaving ont the silver dollar as one
Of the coins to be issued by the minis.
The section in which the omission occurred
is 1913, I'd Edition, 1873. Revised Statutes
U. s. and reads as follows:
'srhe silver coins Of the United States shall
be a trade dollar, half dollar, or lifty-cent
piece, "a quarter dollar, or tweniy-fivs-ce
piece, IA dime, or ten-cent piece; and the
weight Of the trade dollar shall be four hun
dred and twenty grains troy; the weight ol
the half dollar shall be twelve grams and one
half of gram; the quarter dollar and the
dime shall be. respectively, one-half and one
fifth of the weight of said half dollar
The trade dollar, it will be remembered,
was not legal tender and was coined for us.
in China 1t found its way back TO this conn
try, and everybody well remembers hoy they
only passed for IS cents and finally had no
value as a medium of exchange. At last the
government called them in and recoined them.
The next financial legislation in 1878,
known us the Bland Act. 1t was entitled IAN
act TO authorize the coinage of the standard
silver dollar. and to restore its legal tender
character. The act is as follows;
THE BLAND ACT.
Be il enacted by the Senate and House OF
Representatives of the United States OF Amer
lea in Congress assembled. That there shall
be coined, at the several minis of the United
States. silver dollars of the weight OF four
hundred and twelve and half grains Troy OF
standard silver, as provided in the act OF
January eighteenth, eighteen hundred thirty
seven. on which shall be the devices and
superscriptioDs provided by said act; which
coins together with all silver dollars hereto
fore coined by the United States, Of ike
weight and fineness, shall be legal tender.
at their nominal value, for all debts and dues,
public and private, except where otherwise
expressly stipulated in the contract. And
the Secretary of the Treasury is authorized
and directed to purchase, from time to time.
silver bullion, at the market price thereof.
not less than two million dollars worth per
month, nor more than four million dollars
worth per month, and cause the same to be
coined monthly, as fast as so purchased, into
such dollars; and n sum sufficient to carry
out the foregoing provisions of this act is
hereby appropriated out of any money in the
Treasury not otherwise appropriated. And
any gain or seigoiorage arising from this
coinage shall be accounted for and paid into
the Treasury, las provided under existing laws
relative to the subsidiary coinage: Provided,
That the amount of money at any one time
invested in such silver bullion, exclusive Of
such resulting coin, shall not exceed five
million dollars: And provided further, That
nothing in this act shall be construed to au-
thorize the payment in silver of certificates of
deposit issued under the provisions Of section
two hundred and fifty four of the Revised
Stautets.
Section . simply provided for the calling
of an international monetary conference by
the President
SEC. 3. That any holder of the coin au-
thorized by this act may deposit the same
with the Treasurer or any assistant treasurer
of the United States, in sums not less than
ten dollars, and receive therefor certificates
of not less than ten dollars each, correspond
ing with the denominations of the United
States notes. The coin deposited for or rep.
resenting the certificates shall be retained in
the treasury for the payment of The same on
demand. Said certificates shall be receivable
for customs, taxes, and all pablic dues. and,
when so received, may be reissued.
SEC 4. All act and parts of acts inconsist-
ent with the provisions of this act are hereby
repealed.
Then came in 1890 the Sherman Act. which
is rs follows
THE SHERMAN ACT.
Be it enacted by the Senate and House of
Representatives of the United States of
America in Congress assembled, That the
Secretary of the Treasury is hereby directed
TO purchase from time to time, silver bullion
TO the aggregate amount Of 800, 900 ounces,
or so much thereof as may be offered in each
month, at the market price thereof, not ex
ceeding 81 for 37l.25 grains of pure silver,
and to issue in payment for such purchases
of silver bullion Treasury notes Of the United
States to be prepared by the Secretary ofthe
Treasury, in such form and of such denOmi-
nations, not less than 81 nor more than ST. 900,
as he may prescribe, and sum sufficient to
carry into effect the provisions of this act is
hereby appropriated out of any money in the
Treasury not otherwise appropriated.
SEC. 2 That the Treasury notes issued in
accordance with the provisions of this act shall
be redeemable on demand lincoln, at the Treas
ury of the United States or at the office OF
any assistant treasurer of the United States,
and when so redeemed may be reissued; but
no greater or less amounts of such notes shall
be outstanding at any time than the cost OF
the silver bullion, and the standard silver
dollars coined therefrom, then held in the
Treasury purchased by such notes; and such
Treasury notes shall be legal tender in pay
ment of all debts, public and private, except
where otherwise expressly stipulated in the
contract, and shall be receivable for customs
taxes. and all public dues, and when so re
ceived may be reissued; and such notes, when
held by any national banking association,
may be counted as a part of its lawful reserve.
That upon demand of the holder Of any of
the Treasury notes herein provided for the
Secretary Of the Treasury shall, under such
regulations as he may prescribe, redeem such
notes in gold or silver coin, at his discretion,
it being the established policy Of the United
States to maintain the two metals on "a parity
with each other upon the present legal ratio,
or such ratio as may be provided by law.
SEC. B. That the Secretary of the Treas
ury shall each month coin two million ounces
of the silver bullion purchased under the
provisions of this act into standard silver dol
lars until the LIST day of July, 1891, and after
that time he shall coin of the silver bullion
purchased under the provisions OF this act as
much as may be necessary to provide for the
redemption of the Treasury notes herein
provided for, and any gain or seignorage
arising from such coinage shall be accounted
for and paid into the Treasury.
SEC. 4. That the silver bullion purchased
under the provisions of this act shall be sub
ject to the requirements of existing law and
the regulations of the mint service governing
the methods of determining the amount OF
pure silver contained, and the amount of
charges or deductions, if any, to be made.
SEC. 5. That so much of the act of Febru.
airy 70, 1910, entitled An act 10 authorize tue
coinage of the standard silver dollar and to
restore its legaltender character" as requires
the monthly purchase and coinage of the same
into silver dollars of not less than 81, 900, 900
nor more than 81 ,000,O 900 worth of silver bull
lion, is hereby repealed.
SEC. 6. That upon the passage of this act
the balances standing with the Treasurer OF
the United States to the respective credits of
national banks for deposits made to redeem
the circulating notes of such banks, and all
deposits thereafter received for like purpose,
shall be covered into the Treasury as a mis-
eellaneous receipt, and the Treausurer of the
United States shall redeem from the general
cash in the Treasury the circulating notes OF
said banks which may come into his posses
sion subject to redemption; and upon the
certificate of the Comptroller of the Currency
that such notes have been received by him
and that they have been destroyed and that
no new notes will be issued in their place. re-
endorsement of their amount shall ha made
to the Treasurer, under such regulations as
the Secretary of the Treasury may prescribe,
from an anpronriation hereby created. To he