During the 17th century, the city of Madrid was the political centre of the Spanish monarchy, and the capital of Spain. New Spain was a major seat of Spanish power and the source of its wealth. This wealth made Spain the dominant power in Europe and the envy of England, France, and the Netherlands. Colonial Spain's silver mining and crown mints created high quality coins known as the silver peso or Spanish dollar that became the currency of Spanish America (including Mexico) and a widely used global currency.

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