Stephen Mihm’s new book *A Nation of Counterfeiters* maps how fake notes stitched together early American finance. In the 1820s Midwest merchants accepted obvious forgeries because genuine banknotes were scarce, while California miners rejected fakes, even chasing a Bank of Missouri counterfeit crew to New York. The South’s vigilante culture kept counterfeiters away, but by the 1830s most regions tolerated them.

New York City epitomized the mess: over 300 banks printed notes, from a $13 bill with a naked lady to fictitious banks that never existed. Merchants began accepting any paper that seemed likely to pass, arguing a counterfeit from a reputable issuer was easier to move than a genuine note from a shaky one. Mihm puts the variety at over 10,000 types plus countless fakes.

Federal inaction kept the counterfeit economy alive until the Civil War forced a shift. Congress issued United States Notes backed only by government credit, turning fake bills into a national security threat. The 1865 creation of the US Secret Service to protect currency effectively ended the era; counterfeiters vanished as law enforcement prioritized monetary integrity.