Greenback

Greenback is a colloquial term for United States paper currency. In common usage it refers to the U.S. dollar, especially the banknotes in general or cash made of paper rather than coins or digital money. The name derives from the green ink used on the reverse side of early currency.

Origin and early history: During the Civil War, the U.S. government issued large quantities of paper money known as United States Notes or Legal Tender Notes to finance the war. These notes were nicknamed greenbacks because their backs were printed in green ink. They were issued as fiat currency backed by the government’s credit rather than specie (gold or silver); redemption in coin was limited. After the war, the greenbacks circulated alongside gold and other forms of government notes, with purchasing power that fluctuated and spurred monetary reform in the late 19th century.

20th century to present: With the creation of the Federal Reserve System in 1913 and the introduction of Federal Reserve notes, the dollar modernized into a more standardized national currency. The term “greenback” persisted as a colloquial or historical reference to U.S. dollars, particularly in journalism, literature, and discussions that evoke 19th-century currency. Today it is rarely used in official contexts but remains part of the cultural lexicon surrounding American money.