Made beaver facts for kids
The made beaver was a special way of counting value, like money, used by the Hudson's Bay Company (HBC). This company was very important in early Canada, which was then called British North America. One "made beaver" was equal to one high-quality male beaver skin collected in winter. It was like their main currency!
Contents
How the Made Beaver Started
For a long time, people in North America didn't use regular money like coins or paper bills. Instead, they often traded things directly, which is called bartering. European fishermen and Indigenous peoples traded a lot, especially furs. Indigenous traders often acted as "middlemen," helping to exchange goods.
In 1670, a big company called the Hudson's Bay Company (HBC) was officially started in England. They set up many trading posts. By 1718, the HBC had a huge control over all trade around Hudson Bay.
Since there wasn't a standard type of money, the HBC decided to use the "made beaver" as their main way to value things. This made trading much simpler and fairer for everyone involved. For example, in 1795, you could buy eight knives or one kettle for one made beaver pelt. A gun might cost 10 made beaver pelts.
How Trading Worked
At each HBC trading post, people exchanged made beavers for all sorts of goods. It wasn't just physical beaver skins that were used. The managers at these posts also made special "made beaver coins."
They created these coins by cutting copper and brass from old kegs into small rectangular or round shapes. They would then mark them with their own initials and the letters "HBC." Later, between 1854 and 1870, they even made smaller coins that were worth half (1⁄2) or a quarter (1⁄4) of a made beaver. This made it easier to trade for smaller items.
Setting Fair Prices
The main bosses of the HBC in London wanted to make sure that all their trading posts used fair and consistent prices. They told the post managers to keep special account books. This helped them track how well they were doing and stopped anyone from cheating.
The made beaver was used with two main pricing rules:
- Official Standard: This rule gave a value in made beavers for every item the HBC sold. For example, a manager might be told to sell a clay pot for three made beavers.
- Comparative Standard: This rule set a value in made beavers for each fur pelt that Indigenous peoples brought in to trade. For instance, a large, good-quality fur might be bought for five made beavers.
These rules helped the HBC avoid competition, make good profits, and prevent managers from cheating.
Rules for Managers
The HBC had strict rules for its managers. They were given good salaries and extra money if they traded a lot of beavers. For example, a manager might get £130 each year. If a manager was caught cheating, trading furs privately, or trying to pass off lower-quality furs as made beavers, they would lose all their wages.
Why the Made Beaver Declined
By 1821, there were very few beavers left in some areas. Because of this, British trade managers stopped buying pelts from younger beavers. Slowly, the "made beaver" as a unit of value was used less and less, and eventually, it was no longer the main way to trade.
Images for kids
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Example of HBC tokens used around 1854.
