in 1812, either gold or silver could be presented for conversion into currency, as both metals were alegal tender, a dollar was equal to both a legally defined weight of silver, and another legally defined quantity of gold, the ratio of which was fixed at 15 to 1. having a currency defined in terms of two different metals is calledbimetallism. such a system may experience instability as the price of gold and silver on the world market changes, and this took place in the first decades after 1792, as the relative values of gold and silver in europe changed. at that time, gold or silver u.s. coins were rarely seen in the nation, as they were heavily exported because of such shiftsmost pieces in circulation were foreign in origin. in 1831, mint director samuel moore filed a request through the treasury asking president andrew jackson to once again allow the coinage of silver dollars; the request was approved on april 18. in 1834, congress made a dollar worth slightly less (the price of gold raised to $20.67 / t. oz.), thus lightening u.s. gold and silver coins (known collectively asspecie), making them uneconomical to export, and they were seen more often in commerce within the u.s. with this greater circulation, congress re-examined the existing statutes relating to the mint, and found many provisions to be obsolete. it enacted themint act of 1837, a thorough revision of the statutes relating to the mint. new provisions included the establishment of a bullion fund, allowing depositors to be paid without waiting for their metal to go through the coining process. the ratio of value between equivalent weights of gold and silver was adjusted slightly, allowing coins of both metals to circulate within the u.s.
United States