The Deal That Changed the North: The U.S. Purchase of Alaska

A Transaction Sealed with a Pen

On March 30, 1867, U.S. Secretary of State William H. Seward and Russian envoy Baron Edouard de Stoeckl signed the Treaty of Cession. For $7.2 million, Tsar Alexander II ceded Alaska to the United States, ending Russia’s 125-year presence in North America. The acquisition, often called “Seward’s Folly” at the time, added 370 million acres of land to the U.S., an area nearly a third the size of the European Union.

Why Russia Sold Alaska

Russia’s colony in Alaska had become difficult to sustain. The once-lucrative sea otter fur trade had collapsed due to overhunting, and the cost of defending the territory was too high, especially after Russia’s defeat in the Crimean War. Facing financial strain and fearing British expansion into the region, Russia opted to sell the land to the U.S. rather than risk losing it in conflict.

America’s Arctic Ambitions

The U.S. saw Alaska as a valuable addition, offering access to fisheries, trade routes, and potential natural resources. The purchase also prevented Britain from establishing a foothold in the region. While initially seen as an unnecessary expense, Alaska later proved to be rich in oil, gold, and other resources, making it one of the wealthiest states in the country.

Impact on Alaska’s Indigenous People

At the time of the sale, Alaska was home to around 50,000 Indigenous people, including the Inuit, Yupik, Tlingit, and Aleut. Russian control had already caused significant disruption through warfare, disease, and forced labor. After the U.S. took possession, Indigenous people were denied citizenship until 1924 and faced decades of discrimination, including efforts to erase their languages and cultures. In 1971, the U.S. government granted Alaska Natives 44 million acres of land and financial compensation, marking a major step in addressing past injustices.

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