From its time as part of the Russian Empire to its existence as a state, the fur trade industry has been a significant element of Alaskan history. For example, after the Second Kamchatka Expedition (1741-42), the Russians started to barter sea otter pelts to markets in China. Another significant event regarding the origin of the Alaskan fur trade was the discovery of the Pribilof Islands in 1786, which were home to fur seals and became a crucial site in the fur trade industry. After the discovery of the islands and the population of fur seals, commercial entities like Russian-American Company began operating in the area. The Russian-American Company received a monopoly charter from Emperor Paul I to operate out of Alaska in 1799, establishing a central outpost for the Russian Imperial Court to oversee colonial responsibilities as well as trade. It quickly became the most influential corporation in the fur trade industry.
To address the ongoing competition in trading, a treaty was signed between Russia and America in 1824 regarding boundary disputes in Alaska, which outlined the specific boundaries each country could operate within. (Navigation and Fisheries on Northwest Coast, U.S.-Rus, April 17, 1824, 8 Stat. 302.) Similarly, the Treaty of St. Petersburg was signed in 1825 between Russia and the United Kingdom, though it resulted in discussions about the legal extent of the “Pacific Ocean” and what could be considered specifically Alaskan waters. If waters were not specifically designated as part of a country’s territory or allocated to a country in a treaty, arguments arose about who had “rights” to that water and, by extension, the resources found there as well. Twenty-five years after these treaties, Russia lost territory in Europe following the Crimean War, which led to decreased interest in its Alaskan territory. Subsequently, Russia offered to sell Alaska to the United States. However, it took multiple years for the purchase in 1867 to be completed by the Secretary of State at the time, William H. Seward.
Initially, there was little interest in exploring the newly acquired territory. The purchase became known as “Seward’s Folly,” referring to the idea that there was nothing to gain from purchasing Alaska. However, in 1868, Representative Leonard Myers from Pennsylvania made a speech regarding the purchase of Alaska, in which he referenced the importance of Alaska and its natural resources to the United States. He specifically cited the Russian American Company (which would later become the Alaska Commercial Company) and its privilege in the fur trade. He claimed in the speech that, “the possession of Alaska is a question of power.” and with the United States in possession of the territory, they would have the power of its natural resources. (Myers at p. 2)