Where does the Dollar sign come from?

The Dollar sign $, where does it come from?
The symbol started to appear in 1770 and there are at least two possible explanations for it.
1) The first one is that it is an abbreviation of the word "Pesos". The evolution would have been Pesos -> PS -> $
2) Another alternative explanation is that $ comes from merging of the letters U and S, coming from USA. It is also said that it was introduced by Oliver Pollock, an American patriot, in 1778.
 Wikipedia puts it nicely in a figure


 

 More info on wikipedia :)

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