Silver was first found in large amounts around 5000 BC, when prehistoric people dug the first copper mines. (Silver is often found alongside copper veins.) Large-scale silver mining had developed in Anatolia by 3000 BC. This was to meet the demand from the first ancient city states, which used the metal as a common medium of exchange.

The discovery and exploitation of the massive silver seams at nearby Laurium enabled ancient Athens to finance an army and navy, and win control of the Aegean from the Persians. Records estimate that up to 30 tonnes of silver per year was mined at Laurium. The famous Athenian "Owl" tetradrachm that was used as currency throughout the Mediterranean was minted from silver mined at Laurium.

Silver from Spain fueled the ancient economies of the Mediterranean for centuries. The silver-exporting Phoenician settlements fell under Roman control around 200 BC. Spanish silver financed the expansion of the Roman Empire, supplying up to 200 tonnes of silver a year at peak production. These were the largest silver mines in the world, until the Spanish conquest of Central and South America.

In 1545, Spanish conquistadors discovered the massive silver deposits of Potosi, in Bolivia. The next year, large silver deposits are uncovered in Mexico. Several other silver-bearing areas were also discovered in Peru. Spanish possessions in these nations accounted for approximately 85% of global silver production between the Conquista and these Latin American nations achieving independence in the early 1800s.

The Comstock Lode in Nevada was the first large silver discovery in the United States. The resulting silver rush rivaled that of the California Gold Rush ten years prior. The fact that the Comstock Rush began with the discovery of gold lured many experienced miners from California, looking for a new chance to strike it rich. Despite being the richest silver discovery in America, nearly half the profits in the Comstock was from gold.

France suffered a crushing defeat at the hands of Prussia in the 1870 Franco-Prussian War. As part of the surrender terms, France had to pay an indemnity of 5 billion francs in gold. These reparations funded German unification and allowed the new nation to drop the Silver Standard for the Gold Standard. Germany dumped 7.1 million pounds (3,220 metric tons) of silver on the market between 1873 and 1879.

Unfortunately for silver prices, Germany's move from the Silver Standard to the Gold Standard occurred during a global supply glut. Total output from the world's silver mines had doubled to 80 million ounces annually from the early part of the century. The United States passed the Coinage Act of 1873, which halted production of silver dollars and limited the legal tender amount of smaller silver coins to five dollars.

With the US no longer making silver dollars, Western silver miners had lost their guaranteed market. Deflation during the 1870s hit American workers and farmers hard. They joined forces with silver mining interests to get Congress to pass the Bland-Allison Act in 1878. This forced the government to buy $2 million to $4 million worth of silver every month, and coin it into silver dollars.

In 1885, the largest silver rush since the Comstock Lode began in the Coeur d'Alene district of Idaho. This injected even more silver into global markets. Annual global silver production quadrupled from 1875-1900, compared to annual production between 1800 and 1875.

As silver prices continued to fall, pro-inflation "Silverite" forces demanded increased government silver purchases. The Sherman Silver Purchase Act forced the government to buy 4.5 million ounces of silver a month, making the US government the world's second-largest global buyer of silver after Britain.

The Panic of 1893 was caused by fears that massive silver purchases would force the government to pay its debts in silver instead of gold. This led to massive sell-offs and gold hoarding. President Grover Cleveland called a special session of Congress to repeal the Sherman Silver Purchase Act and restore faith in America's commitment to the Gold Standard.

The 1918 Pittman Act authorized the melting of up to 350 million existing silver dollars, with the resulting bullion sold to Britain. Britain faced a currency crisis in India during World War I. 270 million silver dollars in all were melted for the war effort. Every melted dollar had to be replaced by new ones, beginning in 1921 with the Peace Dollar.

The Silver Purchase Act of 1934 authorized the government to nationalize domestic silver mines. Privately-owned silver, aside from circulating coinage, was confiscated in the same manner as gold. Citizens were allowed to own a maximum of 500 oz of non-monetary silver. The US Treasury was ordered to buy silver at 50 cents per ounce, nearly double the market price.

The Silver Purchase Act of 1946 ordered the US Treasury to buy domestic silver at 90.5 cents per ounce, above the market rate of 87 cents. Domestic silver mining tripled since companies had a guaranteed price to sell at. The national silver stockpile boomed as a result.

The global economy's post-WWII boom created unprecedented demand. This was the first year that global silver demand outstripped production by a large margin. The US Treasury began selling silver into the market to keep prices under $1.29/oz, becoming the world's leading seller of silver by the mid-1960s.

Global silver prices permanently rose above 91¢ an ounce in 1961. Since this was the legal limit that the U.S. Treasury could sell government silver, buyers flocked to buy silver at below-market prices. President John F. Kennedy ordered a halt to government silver sales and the retirement of $5 and $10 silver certificates.

Silver hoarding became a frenzy as prices climbed above $1.29 in 1963. This meant instant profit by redeeming silver certificates for silver dollars. The Treasury Department began redeeming certificates with bags of silver granules when it ran out of silver dollars.

Global silver prices continued to rise, creating drastic shortages of dimes, quarters, and half dollars. The Mint almost exhausted government silver stockpiles before Congress stepped in. The Coinage Act of 1965 removed all silver from dimes and quarters, and cut the half dollar from 90% to 40% silver.

The government removed the silver redemption clause for all outstanding silver certificates in 1968. While they continued to be legal tender, they could no longer be redeemed in silver. Silver demand grew an average of 16% annually during this period, while silver production grew less than 2%.

OPEC oil embargoes, high inflation, and stagnant economies intensified investor demand for silver. Speculators, notably a cartel formed by the Texas billionaire Hunt brothers, began acquiring silver and silver futures at an alarming rate. The Hunts gained control of three quarters of the global silver market.

After gaining control of three quarters of the global silver market, the Hunt brothers were blind-sided by sudden regulatory changes by the Federal Reserve and commodities exchanges. Silver prices dropped from an all-time high of $50.35/oz in January to $15.80 in March, when margin calls forced the Hunts to liquidate their silver holdings. The same year, silver production finally closed the gap with demand.

Responding to persistent investor demand for a government-produced silver investment vehicle, Congress authorized the American Eagle bullion coin program. In addition to various sizes of Gold Eagles, a one troy ounce Silver Eagle began production. The American Silver Eagle (ASE) would become the world's leading silver bullion coin.

The first silver ETF was introduced by iShares in 2006. Trading under the symbol SLV, the iShares Silver Trust was the first financial vehicle to allow easy, highly liquid investments backed by physical silver. Investors use the ETF shares to get exposure to price movement in the silver market.

The 2008 Global Financial Crisis hit all sectors of the economy. An explosion of safe haven demand saw both silver and gold hit multi-decade highs. Silver prices hit a high of $20.92 in 2008, a level not seen since the Hunt brothers' scheme. Silver ETFs saw record inflows of 93.1 million ounces for the year. Production of silver coins and bars rose 63% for a new record.

The debt crises in the US and European Union in 2011 sent shudders through the global economy. Silver prices jumped after America's sovereign debt was downgraded for the first time. 2011 saw silver hit a closing price of $48.70, with the highest annual silver price in history at $35.12. Physical silver investment demand hit new highs.

Moderating silver prices and the US Mint's ability to reduce production shortages sent American Silver Eagles to successive highs from 2013 to 2015. The all-time Silver Eagle sales record was set in 2015, with 47 million coins sold. Total physical silver investment demand hit a record 292.3 million troy ounces that year.