Background and context By the mid-19th century, Russia’s North American holdings had long been limited to Alaska, centered on the fur trade and settlements such as Sitka. Facing financial strain after the Crimean War, difficulties supplying and defending distant outposts, and concern that British forces in neighboring Canada might seize the territory in a future conflict, Russian leaders sought a buyer. For the United States, expansionist sentiment after the Civil War, strategic interest in extending American presence in the Pacific, and Secretary of State William H. Seward’s advocacy for continental reach made a purchase attractive. Negotiation and treaty Negotiations were conducted in 1867 between representatives of the two governments. On January 18, 1867, U.S. Secretary of State William H. Seward and Russian Minister to the United States Eduard de Stoeckl signed a treaty in Washington, D.C., by which the United States agreed to purchase Alaska for $7.2 million in gold. The treaty set the transfer of sovereignty into motion, and the U.S. Senate ratified the agreement later that month. Terms and logistics The agreed price—$7.2 million, roughly two cents per acre—covered all Russian rights, titles and claims to the territory. The treaty did not define precise modern borders beyond existing Russian descriptions, leaving later negotiations and delimitations to address boundaries with Canada. The formal transfer of possession occurred on October 18, 1867, when Russian officials in Sitka handed over authority to U.S. representatives, marking the end of Russian colonial administration and the start of U.S. territorial governance. Contemporary reaction and significance Public reaction in the United States was mixed. Supporters framed the acquisition as a strategic and economic gain, while critics derided it as "Seward’s Folly" or "Seward’s Icebox," reflecting skepticism about its value. Over time, discoveries of natural resources—timber, gold in the late 19th and early 20th centuries, and major petroleum reserves in the 20th century—transformed perceptions of the purchase’s worth. Strategically, Alaska later proved important for U.S. defense and as a base of operations in the Pacific and Arctic regions. Long-term outcomes Alaska remained a U.S. territory for decades; it was designated the District of Alaska in 1884 and the Alaska Territory in 1912. It achieved statehood as the 49th state on January 3, 1959. The purchase influenced geopolitical relations in the North Pacific and helped define U.S. northern and western frontiers. Historians view the transaction as a significant example of 19th-century diplomacy and territorial expansion, notable for its relatively peaceful transfer of colonial territory between great powers. Notes on sources and interpretation The basic facts of the treaty—signature on January 18, 1867, the $7.2 million price, and the October 18, 1867, transfer of possession in Sitka—are well-documented in diplomatic records and contemporaneous accounts. Interpretations of motives and long-term value vary among historians; statements attributing intent (economic versus strategic versus imperial) reflect scholarly debate rather than single, undisputed explanations.