The pound was the currency of the Bahamas until 1966. It was equivalent to the pound sterling and was divided into 20 shillings, each of 12 pence. The pound sterling is the official currency of the United Kingdom (UK). ... The shilling was a British coin first issued in 1548 for Henry VIII, although arguably the testoon issued about 1487 for Henry VII was the first shilling. ... A variety of coins considered to be lower-value, including an Irish 2p piece and many US pennies. ...

British currency circulated alone until the 1860s, when banknotes were issued by the Bahamian government and the Bank of Nassau. No coins were issued specifically for use in the Bahamas, rather, British coins were used.

The pound was replaced by the dollar in 1966, at a rate of 7 shillings = 1 dollar (1 pound = 2.86 dollars). This rate was chosen as it enabled the Bahamian dollar to be subsequently pegged to the United States dollar, then tied to the pound at a rate of 1 pound = 2.80 dollars. The Bahamian dollar (B$; ISO 4217 code BSD) is the national currency of The Bahamas. ... This article is about general United States currency. ...