Charles I’s son, Phillip II, reigned over Spain from 1556 to 1598, a time when Spain explored the world and expanded its empire across the Atlantic and Pacific oceans, propelling the Spanish monarchy to the status of the leading European power and taking the Spanish Empire to the peak of its extension.

The so-called New Mintage Law of 22 November 1566 changed the types and legends of the new coins given that the fractions of the real were still being coined under the name of the long demised Catholic Monarchs.

More or less in the central years of the 16th century, new German discoveries had transformed the old procedure of hammer coinage that had been used ever since the invention of coins in 700 BC into a mechanised process that used lamination devices operated by large hydraulic wheels. This process arrived in Spain through the Habsburg dynasty. At the end of 1580, Phillip II culminated a series of negotiations with his cousin Archduke Ferdinand of Tyrol who, as proof of his gratitude, presented him with several of these devices which at the time were being manufactured for that purpose at the Hall Mint, near Innsbruck. In February 1582 he sent him the experts required to prepare the implementation of the new technology in Spain. By express desire of Phillip II, an old paper and flour mill in the River Eresma, near Segovia, was chosen. The works of the new building began on 7 November 1583 following designs by the celebrated architect Juan de Herrera, who shortly before that had met at the mill with the German experts and the King himself. On 1 June 1585 the brand-new machinery was delivered in Segovia, and four weeks later the first trial had already been coined. In March 1586 the factory began its regular production, functioning simultaneously with—albeit totally independently from—the Casa Vieja (Old House) for nearly one century.

For the first time in Spain coins were minted with the additional control mark of the date of production. This piece, like all others coined at the Segovia factory by Phillip II does not display the assayer’s initial due to the fact that all the silver worked there belonged to the King and therefore a quality mark was not deemed necessary. Therefore, it may be said that the 8-real coin was the start of modern minting in Spain.

Even though the factory in Segovia was the most advanced in the country, the Seville Mint accounted for most of the country’s production due to the city’s location as the port of entry for precious metals. The factory maintained its technological supremacy until 1700, when screw presses were introduced both in Madrid and Seville.

At present, the Segovia Mint is widely considered to be one of Europe’s oldest examples of industrial architecture.

Obverse: Crowned shield with all the arms of the monarchy, namely: Castile and Leon, Portugal, Aragon, Aragon-Two Sicilies, Granada, Austria, Flanders, Tyrol, modern Burgundy, old Burgundy and Brabant, flanked on the left by the mark of the mint and on the right by the value of the coin (VIII). Striated . Everything surrounded by the legend:

• PHILIPUS • D • G • HISPANIARUM •

Reverse: Quartering of Castile and Leon inside a made up by four semicircles alternating with four compasses. Striated . Everything surrounded by the legend:

ET INDIARUM REX • 15 • 86 •

Translation of the legend: “Phillip, King of all Spains and Indies by the Grace of God”.