The U.S. market panic associated with the early securities-market agreement was the Panic of 1792.
The crisis developed after aggressive speculation in securities connected with the Bank of the United States and the federal government. When confidence broke, prices fell sharply and borrowers struggled to obtain funds. Treasury Secretary Alexander Hamilton responded with measures intended to restore liquidity and confidence.
The Buttonwood Agreement had been signed in 1792 by New York securities dealers and is commonly regarded as the foundation of the New York Stock Exchange. The agreement itself predated the panic, so it did not prompt the event; rather, the panic occurred during the formative period of organized U.S. securities trading.
This distinction matters because the Buttonwood Agreement is not the name of the crash. The recognized name is Panic of 1792.