The Spanish dollar was the silver coin valued at eight reales and known internationally as the piece of eight.
Spanish mints began producing large silver dollars after silver discoveries in the Americas, particularly at Potosí and Mexico City. The coin circulated widely from the sixteenth century onward because Spain’s empire connected American mines, European markets, and Asian trade routes.
Its standard value was eight reales, so people often divided it physically into smaller pieces for everyday transactions. This practice helped produce the English nickname “piece of eight.” The coin was also called the peso or dólar in different regions.
The Spanish dollar influenced the currencies of the United States and several American countries. The US dollar’s size and silver specifications were closely related to the Spanish dollar, which remained legal tender in the United States until 1857. It is distinct from the Spanish gold escudo.