Which British trading company became the symbol of the South Sea Bubble, which burst in 1720?

The South Sea Company became the symbol of the South Sea Bubble, which burst in Britain in 1720.

Founded in 1711, the company received a government-backed monopoly over trade with parts of Spanish South America in exchange for taking on government debt. In practice, its commercial opportunities were far more limited than many investors believed.

Promotional claims and speculative buying drove the share price dramatically higher in 1720. When confidence broke, the price collapsed, ruining many investors and causing a political scandal. The episode also involved the Mississippi Company in France, another major speculative venture.

The South Sea Bubble is often remembered as an early example of an investment mania fueled by unrealistic expectations and easy credit. It was not a modern stock-market crash in scale, but it remains one of the classic historical bubbles.