Native Americans communities were living on the island of "Manahtin" for some time before Henry Hudson arrived in 1609.Manahtin was the name the Algonquin Indians gave the island. Hudson was exploring rivers in North AMerica and was the first non-Native American to step onto the island. Hudson left Manahtin and continued travelling up the river. The river was eventually named " Hudson" after him. By 1625, the Dutch made a settlement on the island and started a trading post. In 1626, the Dutch Governor General Peter Minuit bought the island of Manhattan from the Indians for 60 guilders- only 24$!