Which company became the leading symbol of France's 1720 Mississippi Bubble?

The Mississippi Company became the leading symbol of France's 1720 Mississippi Bubble.

Founded by Scottish financier John Law, the company received a monopoly over trade and development connected with French territories along the Mississippi River. Law also gained control over parts of France's financial system, linking the company's shares with a broader plan to expand paper money and credit.

Public enthusiasm drove the share price sharply higher in 1719 and 1720. Investors gathered in Paris to trade, and stories of riches in Louisiana helped fuel speculation. The price eventually became detached from the company's realistic commercial prospects. When confidence in Law's system weakened, holders rushed to sell, and the share price collapsed.

The episode is often compared with Britain's South Sea Bubble, which unfolded at roughly the same time. The Mississippi scheme was not simply a stock-market event: it was also a monetary experiment involving banknotes, debt conversion and state finance. The crash damaged confidence in paper currency and left a lasting warning about monopoly claims, easy credit and speculative manias.