Successful American Expansion and Industrialization, 1803–1880

The Purchase of Alaska 1867


In 1853, the Crimean War broke out in Europe. Russia feared that Alaska might also be seized by Britain and therefore proposed selling Alaska to the United States. Eventually, in 1867, Russia and the United States agreed on a purchase price of $7.2 million.

As early as 1741, Russian explorer Vitus Bering (a Dane) was the first European to discover Alaska. Soon afterward, Alaska came under the control of Tsarist Russia and became part of Russian North America. Sparsely populated, Alaska brought Russia no real benefits for many years and instead increased the cost of maintaining troops there. From 1853 to 1856, Russia was defeated by the combined British and French forces in the Crimean War, leaving its treasury depleted.

Russia Takes the Initiative to Sell Alaska

Russia hoped to cultivate friendship with the United States in order to counterbalance Britain’s growing expansion. At that time, Britain was expanding its North American colonies, especially in the west, which alarmed Russia. It feared that Alaska would eventually be lost in a future conflict. In 1859, Russia proposed selling Alaska to the United States. However, the U.S. was then preoccupied with mounting sectional tensions between North and South and did not pursue negotiations.

After the Civil War ended, Tsar Alexander II instructed Russian officials to reopen negotiations with the U.S. Secretary of State regarding the transfer of Alaska. Talks began in March 1867. Russia initially asked for $10 million, while Secretary of State William Seward insisted the U.S. would pay no more than $7 million. Russia agreed, and a treaty was signed.

At the time, many Americans opposed the purchase of Alaska and staged protests in the streets. They believed it was not worth spending $7 million on what they considered a worthless frozen wasteland, derisively calling the deal “Seward’s Folly.”

On March 30, 1867, the two sides finalized the agreement at $7 million plus $200,000 in handling fees. The U.S. Senate approved the treaty by a vote of 37 to 2. In July 1868, the House of Representatives approved the appropriation with 113 votes in favor and 48 against.

Most American public opinion believed the purchase could eventually bring economic benefits. Additionally, friendship with Russia was regarded as strategically important.

Opponents of the purchase argued: “We already possess vast tracts of land that no one is settling. We are struggling to govern the existing Native populations. Must we add even more indigenous peoples and create greater difficulties for ourselves? The purchase price is small, but administrative, civilian, and military expenses will continue to rise. Moreover, the land to be acquired is poorly connected to the U.S. mainland.”

Many believed Alaska contained nothing but fur-bearing animals and wildlife—unless gold were discovered, it would remain a frozen wilderness. At the time, its rich reserves of gold, copper, oil, and natural gas were still unknown.

At the time of the purchase, Alaska had about 2,500 Russians and people of mixed descent, and 8,000 Indigenous inhabitants. Under the direct administration of the Russian-American Company, the total population numbered about 10,000. Beyond its direct control, there may have been another 50,000 Inuit and Alaska Native peoples. Russian settlers lived in 23 trading posts scattered across islands and coastal points. Smaller stations often had only four or five Russians who purchased local furs and waited for company ships to arrive.

Many Americans dismissed Alaska as worthless, mockingly calling it “President Johnson’s polar bear garden.” President Andrew Johnson responded: “I have bought it now. Perhaps many years from today, our descendants will benefit from it.”

The Alaska Gold Rush

Today, cruise ships visiting Alaska usually stop for a day at Skagway, the most distinctive small town in the region, with a current population of about 1,100. In 1898, during the gold rush, its permanent population reached 10,000, with about 1,000 prospectors arriving every week, making it the largest city in Alaska at the time. The federal government has preserved Skagway as a historic gold-rush town and established a national historical park to commemorate that era and attract tourists.

In 1896, a major gold deposit was discovered north of Skagway, triggering the great Alaska Gold Rush. From 1897 to 1899, about 100,000 people from across the United States—many quitting their jobs—headed north to Alaska. Ultimately, only 30,000 reached the goldfields, and about 4,000 actually struck gold.

Prospectors traveled by ship from Seattle or San Francisco to Skagway, rested briefly, and then trekked mountain trails to the Klondike goldfields. Inns, saloons, banks, postal services, and other businesses sprang up overnight. At its peak in 1899, Skagway had more than 80 saloons. Farther north, even sending a simple telegram to report safety became impossible.

The famous American writer Jack London came to Skagway during this gold rush and later wrote the renowned novel The Call of the Wild.

Tourists Relive Gold Rush History

Today, from the Skagway cruise port, it takes only about ten minutes on foot to reach the town center. Beyond its history, Skagway is a tidy, scenic town. Snow-capped mountains are visible from the streets, which are lined with charming souvenir shops. The visitor center of the gold rush national historical park is located downtown.

The park’s full name is Klondike Gold Rush National Historical Park, which includes a gold rush museum and three preserved historical sites. After visiting these exhibits and landmarks, visitors gain a solid understanding of the “Great Gold Rush.” To truly experience the perilous journey of the prospectors, one can ride the train from Skagway toward the Yukon River, following the mountain routes once climbed on foot by gold seekers. The round trip takes about three hours and costs over one hundred dollars.

The mountains remain largely uninhabited, steep and rugged, with no natural paths. For gold seekers carrying heavy loads, the journey was bitterly cold and perilous—many never returned. Countless prospectors died from hunger, cold, or illness along the way. Their cemetery lies in the northern outskirts of Skagway.

Skagway has scenery, history, stories, novels, and poetry—rich and colorful. Canadian poet Robert Service famously captured the spirit of the Gold Rush in his poetry. His poem The Spell of the Yukon begins:

“I wanted the gold, and I sought it;
I scrabbled and mucked like a slave.
Was it famine or scurvy—I fought it;
I hurled my youth into a grave.”