Sale of Alaska To The United States
By the 1860s, the Russian government was considering ridding itself of its Russian America colony. Zealous overhunting had severely reduced the fur-bearing animal population, and competition from the British and Americans exacerbated the situation. This, combined with the difficulties of supplying and protecting such a distant colony, brought about a waning interest. After Russian America was sold to the U.S. in 1867, for $7.2 million (2 cents per acre) (total $118 million in today's terms), all the holdings of the Russian–American Company were liquidated.
Following the transfer, many elders of the local Tlingit tribe maintained that "Castle Hill" comprised the only land that Russia was entitled to sell. Native land claims were not addressed until the latter half of the 20th century, with the signing of the Alaska Native Claims Settlement Act.
At the height of Russian America, the Russian population had reached 700 out of 40,000 Aleuts. They and the Creoles, who had been guaranteed the privileges of citizens in the United States, were given the opportunity of becoming citizens within a three-year period, but few decided to exercise that option. General Jefferson C. Davis ordered the Russians out of their homes in Sitka, maintaining that they were needed for the Americans, and the Russians complained of rowdiness of the troops and assaults. Many Russians returned to Russia, while others travelled to California and the Pacific Northwest.
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