Since you say you know nothing about banknotes, I'll take it back a step further. In 1861, Congress authorized the Treasury to issue various paper currencies. Prior to that, there was no federal authority to issue banknotes, and paper currencies were issued by individual banks and sometimes States and Territories...sort of the wild west of currency. The currency issued by a bank or State might be worth face value locally if folks trusted the issuer and were regularly able to exchange for real gold/silver. However, that note may or may not be accepted elsewhere. Many of these banks folded and the currency became worthless. Obviously, most of the Civil War era southern issuances became worthless after the war.
If you want to see the breadth of these currency issues, check out https://www.obsoletecurrency360.com/, although I'd disregard the values listed. There are a ton of bank/State issues, which is why most collectors focus on a particular bank, or State, or theme.
If you want to see the breadth of these currency issues, check out https://www.obsoletecurrency360.com/, although I'd disregard the values listed. There are a ton of bank/State issues, which is why most collectors focus on a particular bank, or State, or theme.





















