1600s: Dutch Tulip Mania

Let’s rewind to the 1600s for one of the oldest and strangest market crashes of all time

Tulips first arrived in Europe in the 16th century from exotic spice routes

They quickly became a flower and symbol of luxury

The middle and working classes wanted the tulips too and were wildly desired just because tulips were expensive! Like modern-day luxury fashion brands

But tulips are extremely fragile and die if they’re not in perfect condition

This established a new business sector of tech-agriculture dedicated to sustaining and growing tulips

People even started growing variations of tulips, some were multi-colored! A single bulb could cost as much as 5,500 florins (gold coins worth around $150)

That means the best of tulips cost $750,000 in today’s money with more affordable ones in the $50,000 to $150,000 range

The insane value of tulips led to tulip bulbs’ indexing on the Stock Exchange of Amsterdam

People soon began trading tulips and buying more on loans once the old ones died

Once buyers could not afford the tulip price, the market crashed by the end of 1637

Many see the Dutch Tulip Mania as an example of consumer greed

Test your knowledge

How much could a top-quality tulip cost?

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Tulips were originally desired because. . .

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The insane value of tulips led them to be added to. . .

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What's next?

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