From the American Numismatic Association:
In the 1770s, the sparsely populated, remote region of the Green Mountains--a frontier area contested by the British colonies of New Hampshire and New York--constituted itself as an independent country. In 1785 it began to issue its own coinage, in advance of any of the thirteen newly-independent neighboring American states or their confederation government. The concept was public-spirited and ambitious, but beset by severe manufacturing and economic difficulties almost from the outset.
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