This is an early $1 trade token from Thoreau Mercantile and Trading, 32 miles east of Gallup on I40.  (Pronounced Tha-Roo) The store is long

established as a trading operation for Navajos and local non-Navajos.   It was originally bult in 1902 as Thoreau Trading Post. In 1919 it

was  purchased by Cozy McSparron who changed the name to Thoreau Merc and Trading as noted on this token.   In 1936 it was purchased by the

 Bowlin’s who had many highway stores throughout New Mexico that catered to highway traffic and the store became known as Thoreau Merc. 

Thoreau is the gateway from I-40 to the northwest areas of the reservation.  This is an early token that is relatively hard to find.  It has seen a lot of

 business. The surface is smooth.                      

Navajo Tokens History & Pricing

  Trade token pricing is relative to availability.  Simply put – there are no more.  They were no longer in circulation by the early 50s after ceasing production in the 30s.  Tokens are scarce, so prices continue to rise because of scarcity.  So, how much is too much when there are no more?  What this means is that the value of Navajo trade tokens should hold and likely increase with time.  They are collectible because of the significance to Navajo culture and scarcity.  There were many stores that were essentially “off the grid” in that they were not commonly referred to.  They were still an important part of Navajo history and culture.

   Tokens originated when the Navajos requested them. Since the Navajos could not read or speak English, they never understood the trader ledgers. While they were in exile at Bosque Redondo in 1964, the government issued tokens to them to spend at the commissary, so tokens were understood and accepted by the Navajo people. Tokens resembled money.  Many times, they wanted to keep the tokens after expiration, so the traders punched a hole or design to invalidate them.  Though the tokens were banned in the 30s, many remained in diminishing circulation until the early 50s.

   Navajo trade tokens were banned by Government agency action in the 30s because of concern that traders were using the tokens to entrap their customers. Navajo did not and could not travel except by wagon, horseback, or walking so the concern about entrapping their customers was not logical. The traders objected but had no individual standing or organization, so the bureaucracy ran roughshod with regulations.  Later, the government banned trading, credit, and pawn on the same premise.  Every attempt to penalize traders ultimately had equal or greater impact on the Navajos because they were interdependent. 

   I say all of this as a third-generation trader in my family spanning 100+ years of trading.  In 1913 my grandfather built the Salina Springs Trading Post.  He was among the early traders.  By 1950 there were 250 trading posts.  My dad and I were the only two people that traded with every trading post with merchandise that the traders needed for trading with their weavers – Zuni jewelry.  We handled over 6,000 Navajo rugs annually.

  Piňon nuts were also a major factor in our business because trading posts were gathering stations for us.  A Piňon nut is the size of a little fingernail.  We used to handle 300,000 to 2,000,000 pounds annually depending on crop size.