Ossipees keel was laid down in June 1861 by the Portsmouth Navy Yard, Kittery, Maine; launched 16 November 1861; sponsored by Mrs. McFarland, wife of the editor of the Concord Statesman; and commissioned 6 November 1862 Lieutenant Commander Robert Boyd in command. Ossipee was one of four sister ships which included, and.
Ten days later Captain John P. Gillis took command of the ship and she got underway for Hampton Roads to join the North Atlantic Blockading Squadron in which she served until departing Newport News, Virginia, 18 May 1863 to join the West Gulf Blockading Squadron off Mobile, Alabama. She captured schoonerHelena there 30 June and with seized steamers James Battle and William Bagley in the Gulf of Mexico on 18 July. The former, "the finest packet on the Alabama River...altered to suit her for a blockade runner," was laden with cotton and rosin while the latter carried cotton which they hoped to sell abroad. In September Ossipee steamed to the coast of Texas for blockade duty until returning to station off Mobile in mid-March 1864 as Admiral David Farragut built up his forces for the invasion of Mobile Bay. On 5 August, with alongside, she passed the forts and entered Mobile Bay with Farragut and participated in the ensuing naval battle, playing a large role in the struggle with which finally forced the well fought, heavy southern ironclad ram to surrender. In September Ossipee returned to blockade duty off the Texas coast and, but for repairs at Pensacola, Florida late in 1864, served there until moving to New Orleans, Louisiana in April 1865. She was one of the Federal ships to pursue during the Confederate steamer’s daring attempt to race down the Mississippi River and escape to sea. Following duty off Mobile, Ossipee sailed North late in June and decommissioned at Philadelphia, Pennsylvania on 3 July.
Pacific, 1866–1872
Recommissioned 27 October 1866, Captain George F. Emmons in command, Ossipee served in the north Pacific protecting American interests along the coasts of Mexico and Central America. She departed San Francisco27 September 1867 for Sitka, Alaska, carrying Russian Commissioners for the ceremony transferring Alaska to the United States on 18 October. After serving in the Pacific into the spring of 1872, Ossipee headed home on 6 June. On 20 June, Seaman James Benson jumped overboard to rescue a shipmate, for which he was later awarded the Medal of Honor. Ossipee arrived in New York on 18 November, and was decommissioned there on the 30th.
North Atlantic, 1873–1878
Recommissioned 10 October 1873, the veteran sloop of war served in the North Atlantic. She departed Key West 15 December for Dry Tortugas to await filibustering steamer Virginius which had been seized on the high seas by the under fraudulent American registry. To help ease tension caused by the Virginius Affair, Spain had turned the prize over to the United States, represented by Captain Whiting, commander of at Bahia Honda, Cuba. Despatch took Virginius to Tortugas. Ossipee departed Tortugas 19 December towing Virginius north, but the notorious prize foundered off Cape Hatteras a week later. Ossipee continued operations in the North Atlantic until decommissioning at Boston 25 May 1878.