20 Dollars Demand Note - 'Greenback'

The Demand Notes of 1861 were the first paper currency issued directly by the U.S. federal government — not a bank, not a state, but the Treasury itself, backed by nothing more than a promise to pay on demand at certain designated subtreasuries. Congress authorized them in July 1861 specifically to fund the sudden, catastrophic expense of the Civil War, and the government had no gold reserves sufficient to back conventional issue.

The "greenback" nickname attached to this series from the start, owing to the distinctive green ink used on the reverse — a deliberate anti-counterfeiting measure, since early photographic reproduction could not capture color differentiation. Demand Notes were initially accepted for customs duties, which gave them a critical edge over other wartime paper, but the series was retired early in 1862 when Legal Tender Notes took over. Surviving examples in any grade are genuinely scarce; the $20 denomination least common of the three face values issued.