⅛ Dollar – British West Indies

In 1820, the British West Indies faced a complex and often chaotic currency situation, characterized by a severe shortage of official British coinage. The region’s plantation economy, built on sugar and slavery, generated substantial wealth but operated with a dysfunctional monetary system. While accounts were kept in pounds, shillings, and pence sterling, physical coins were scarce, leading to a heavy reliance on a confusing array of foreign coins, primarily Spanish dollars and their cut fractions (bits), which circulated alongside Portuguese joes and Dutch guilders. This patchwork system created constant difficulties in trade and accounting, as the value of these foreign coins fluctuated and was often set by local proclamation.

The British government's attempts to impose order, notably through the 1825 Order in Council that introduced British sterling coinage as the sole legal tender, had not yet been implemented. Consequently, the currency landscape was largely defined by local improvisation. Planters and merchants frequently used currency tokens issued by private estates or local banks, and even resorted to book credit and barter for everyday transactions. The enslaved population, participating in internal markets, often used low-value coins like the Spanish copper maravedí or commodity money.

Underpinning this monetary confusion was the profound social inequality of the slave society. The system primarily served the needs of the planter class and merchant creditors in their transactions with Britain, while leaving the majority of the population—the enslaved Africans—largely excluded from the formal cash economy. The currency situation, therefore, was not merely an economic inconvenience but a reflection of the colonial and exploitative structure of the islands, where financial instruments were designed to facilitate the export of agricultural wealth to Europe rather than to foster a stable, internal cash economy for all inhabitants.