California Territorial Gold - 1855 Editorial On The Dubious Nature Of Cali Gold

I thought some of you here might find this interesting.

While doing research trying to gather more information on a relative who participated in the gold rush, I came across this April 1855 editorial posted in the Georgetown Weekly, a mining town in the Sierra Nevada's northeast of Sacramento. This was a repost of a San Francisco Sun editorial.

Here's the text, without you all having to try and read the blurry images from the California Digital Newspaper Archives.
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The S. F. Sun, of March 28th, has the following sensible remarks concerning private coined gold now in circulation in this State: "There was a time in California when an excuse existed for the circulation of gold coin manufactured by private individuals, but we believe that time has passed. We have now a mint that can turn out a million of dollars in coin monthly, which will furnish us an ample circulating medium, if legal coin be allowed to come into general use; but in its place we have an irresponsible compound, supposed to be gold, upon which there is destined to be a heavy loss. If a person now goes to a bank with a check, he is paid off with this trash. He never obtains legal coin, for that, instead of being circulated here, is shipped to the Atlantic States.

As an effort is about being made to flood the country again with spurious coin, the present seems a proper time to caution the public against encouraging its further issue. Every man here should refuse to handle the stuff altogether, for it must very soon go through a depreciating process, similar to that just experienced with francs. Besides, the public has no guarantee that it is not alloyed to a very considerable extent. The house which has principally manufactured this coin may be honest enough, but who does not know that it may be counterfeited very easily, and put upon the market to the injury of our citizens? A twenty dollar piece may be alloyed to the extent of several dollars, with silver, and scarcely present a shade of difference in color, from that of full value.

It is enough for us to know, that the manufacture of this private coin is in violation of law, and that it is not really needed for a circulating medium at the present time in California; and that it serves, like bank paper, to keep out good coin. For these reasons no more of it should be put in circulation here.

Francs have gone out of circulation quietly. Let our citizens act sensibly, and this spurious coin will go out of circulation as quietly. Let our people ask tor genuine legal coin of the Lnited States, in all monied transaction, and in ten days we shall be troubled no further with the spurious article.

It may be said that the mint cannot supply the demands made upon it. Perhaps this is so, for we believe that certain persons here always prefer shipping coin to dust; but who doubts if we were to stop receiving spurious coin, that a genuine article would not immediately take its place. Under present customs United States coin goes away, but private coin does not. One will pass current all over the Union and in most foreign countries, while the other passes no where but in California, unless melted up and its mint value first ascertained.

It is certainly asking too much of the people of California that they should continue to receive this trash which drives out every thing else, and the sooner bankers cease to encourage such operations, the better. But if bankers do endorse such issues, there is no reason that the people should.— They can put a stop to it if they choose, but if they do not, it will be only a little while before bankers will hold another meeting, and pass resolutions against receiving private coin, except at a discount, as they did a few months ago in regard to francs. To say nothing of the danger of counterfeiting, there are abundant reasons why no more tinkering with our currency should be tolerated.