▁territory ▁was ▁established ▁in ▁ 1 8 6 4 . ▁Less ▁than ▁a ▁year ▁after ▁the ▁Gr ass ho pper ▁Creek ▁find , ▁on ▁May ▁ 2 6 , ▁ 1 8 6 3 , ▁gold ▁was ▁discovered ▁along ▁Ald er ▁Gul ch , ▁a ▁trib ut ary ▁cre ek ▁n ortheast ▁of ▁the ▁Ruby ▁River ▁that ▁lies ▁between ▁the ▁Tob acco ▁Root ▁Mountains ▁and ▁the ▁Gra vel ly ▁Range ▁and ▁ ▁east ▁of ▁B ann ack . ▁The ▁Ald er ▁Gul ch ▁find ▁became ▁one ▁of ▁the ▁largest ▁pla cer ▁min ing ▁gold ▁fields ▁in ▁the ▁western ▁U . S . ▁The ▁min ing ▁settlement s ▁of ▁Virginia ▁City ▁and ▁Nev ada ▁City , ▁Mont ana , ▁which ▁spr ang ▁up ▁in ▁Ald er ▁Gul ch , ▁bo asted ▁thousands ▁of ▁prospect ors ▁and ▁fortune ▁seek ers ▁by ▁the ▁end ▁of ▁ 1 8 6 3 . ▁These ▁new ▁settlement s ▁generally ▁lack ed ▁justice ▁systems ▁found ▁in ▁populated ▁port ions ▁of ▁the ▁territory , ▁such ▁as ▁in ▁the ▁territorial ▁capital ▁in ▁Lew ist on , ▁Id aho . ▁In ▁ 1 8 6 3 , ▁gold ▁was ▁the ▁preferred ▁form ▁of ▁currency ▁in ▁western ▁front ier ▁communities ▁and ▁had ▁a ▁value , ▁fixed ▁and ▁guaranteed ▁by ▁the ▁U . S . ▁Government , ▁of ▁$ 2 0 . 6 7 ▁per ▁ ounce . ▁Al most ▁all ▁economic ▁transactions ▁in ▁western ▁min ing ▁communities ▁were ▁accomplished ▁with ▁gold ▁n ug gets , ▁fla kes ▁or ▁dust ▁as ▁currency ▁and ▁not ▁surprising