The first Nebraska banks were created by the territorial legislature in 1855.
They were authorized to issue bank notes as money without any underlying assets. These “wildcat notes” circulated freely, riding the crest of the boom years of land speculation and investment in town sites, railroads, and industries. By 1857 the financial panic in the East had spread to Nebraska Territory. The wildcat banks failed, making the notes worthless and destroying public confidence in banks.
Bank of DeSoto, $1 bank note (Source: Irving B. Lueth, Omaha, NSHS 7302-5)
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National Bank of Brownville, $5 bank note (Source: Rose Carson, Lincoln, NSHS 7291-39)
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National Bank of Brownville, $5 bank note (Source: Rose Carson, Lincoln, NSHS 7291-39)
