The Homestead Act of 1862 was significant in U.S. history as it encouraged westward expansion by granting land to settlers. The act provided 160 acres of public land free of charge to any adult citizen who could cultivate and improve the land for five years. This not only facilitated the settlement of the American West but also played a crucial role in the development of agriculture, contributing to the economy and shaping American society. Furthermore, it led to conflicts with Native American tribes as settlers encroached on their lands, laying foundations for further territorial disputes.