In the world of real estate, it’s hard to beat Alaska. In 1867, the United States purchased the massive territory from Russia for $7.2 million—a price that boils down to roughly two cents per acre. Yes, you read that right: two cents. While today this deal is hailed as one of the greatest bargains in American history, it wasn’t always seen that way. Back then, critics called it “Seward’s Folly,” mocking Secretary of State William H. Seward for what they saw as a reckless and wasteful decision.

At the time, Alaska didn’t seem like much of a prize. It was a cold, remote, and largely uncharted land with no obvious economic value. Many Americans couldn’t imagine why their government would spend millions on what some derisively referred to as “a giant icebox.” Even in Congress, the deal barely passed, and newspapers had a field day lampooning Seward for his so-called folly.

But here’s the thing about good deals: they don’t always look good right away. It didn’t take long for Seward’s vision to be vindicated. Alaska turned out to be a treasure trove of natural resources, starting with gold. The Klondike Gold Rush of the late 1890s brought a flood of prospectors and fortune-seekers to the region, proving that Alaska’s value was far greater than anyone had anticipated. By the early 20th century, the discovery of oil and other minerals further cemented Alaska’s role as a key contributor to America’s economic prosperity.

And it’s not just about gold and oil. Alaska’s vast forests, fisheries, and natural beauty have made it an essential part of the United States in ways Seward’s contemporaries couldn’t have imagined. Today, it’s not only an economic asset but also a strategic one. Alaska’s location near Russia gives the U.S. a critical vantage point for national defense, and its wilderness attracts adventurers and tourists from around the globe.

So why did Russia sell it in the first place? For one, Russia was cash-strapped and saw Alaska as a logistical burden. Maintaining a presence in such a remote territory was costly and difficult, especially as the Russian Empire faced mounting financial pressures. The United States, on the other hand, was expanding westward and saw Alaska as an opportunity to secure more land and resources. For Russia, selling to the U.S. was also a geopolitical move—better to hand Alaska over to a friendly power than risk losing it to Britain.

What’s remarkable about the Alaska purchase is how it highlights the power of long-term vision. Seward wasn’t just buying land; he was investing in the future. He saw potential where others saw only ice and snow. That kind of foresight is rare in politics, and it’s a reminder that sometimes the best opportunities are the ones most people dismiss.

Fast forward to today, and Alaska remains a vital part of the American story. Its oil reserves have powered industries and homes, its fisheries feed millions, and its untamed landscapes are a testament to the beauty and vastness of the American frontier. From the aurora borealis to Denali, Alaska is a state that captures the imagination and reminds us of what makes America unique.

The story of Alaska’s purchase is more than just a fun historical tidbit—it’s a lesson in risk, reward, and the importance of thinking big. What was once mocked as “Seward’s Folly” is now celebrated as one of the smartest moves in U.S. history. So the next time someone tells you two cents can’t buy anything, just point them to Alaska.