The Tellico Blockhouse was a federally United States fortification used prominently from 1794 until 1807, and maintained until 1811. The Tellico Blockhouse would serve as a protection and later on trading post for the Cherokee Indians. In 1794, Territorial Governor William Blount requested from Hanging Maw to build a new federal post. This site was also home to the Tellico Factory, part of Henry Knox’s civilizing policy for teaching updated methods of agriculture and industry to the American Indian.
The Trading post at the Tellico Blockhouse offered trade items, such as, furs and hides, those items were the main currency that the Cherokee Indians could trade with. Later on, The Tellico Factory provided knowledge of making items out of cotton for the Cherokee Indians.
Negotiations took place instead of use of violence to overcome their differences. All travelers coming on Cherokee soil had to come to the blockhouse to apply for a passport to be allowed into the Cherokee Nation.
In 1807 many of the Cherokee Indians had moved down the Hiwassee and it was no longer convenientto meet at the Tellico Blockhouse. There still remained a few soldiers up until 1811.