Bully History
The Bully breeds originated in England and are the ancestors of the modern day American Pit Bull Terrier, American Staffordshire Terrier and other Bully breeds.

The breeds were originally used for ‘bull-baiting’ and ‘bear-baiting’, both gambling ‘games’ in which the dogs were used to attack and harass the bulls and bears. ‘Bull-baiting’, in which the dog assaults the bull, grabs onto an ear or nose, and hangs on until the bull tires, was thought to tenderize the meat prior to slaughter.
In 1835 the British Parliament outlawed bull baiting and dog breeders, appreciative of the breed’s fierceness, courage, and tenacity (“gameness”) turned their attention to breeding dogs for dog-fighting.
Breeders started with the bulldog and crossed with the terrier, produced the ‘bull and terrier’, a dog bred for aggression to other dogs, unrelenting bravery, and a willingness to fight to the end. Since dog handlers were inside the fighting ring, or “pit” with the dogs, people aggressive dogs were frowned upon, and quickly and ruthlessly culled from the genetic pool.
The Bull and Terrier dogs came to the US in the early 1800s as all-around farm dogs and frontier guardians. The United Kennel Club recognized the Bull and Terrier Dog as the American Pit Bull Terrier in 1898.
The AKC refused to recognize breeds called "pit bulls" until 1936, when it recognized the American Pit Bull Terrier under the alias Staffordshire Terrier. The original Staffordshire Terrier, bred in Staffordshire England as a pit fighting dog is typically 14-16 inches tall and weighs up to 45 pounds. The American cousin is 18-19 inches tall and weighs up to 80 pounds. In 1972 the name was changed to the American Staffordshire Terrier to distinguish the breed from the British dog.
(American Pit Bull Terrier)
American Staffordshire

There are many historically famous bullys: Samuel Clemons featured a pup of this breed in his short book The Celebrated Jumping Frog of Calaveras County; Buster Brown shoes’ mascot is Tige, an American Pit Bull Terrier; RCA used Nipper, a Pit Bull of unknown ancestry; Little Rascals TV show used a Pete, a pit pull, as the constant companion to the Rascals.
Many famous people throughout history have owned and loved Bullys: Helen Keller, Gen. George Patton, President Theodore Roosevelt, Michael J Fox, Vin Diesel, music star Usher, Rosie Perez, Alicia Silverstone, and many other!

Pit Bulls have also been used as Therapy dogs, obedience trials dogs, search and rescue, and service dogs.
And Today?
What changed? Why is the dog that once had a sterling reputation for loyalty lately become the symbol for all things dog-bad? Bullys are now seen as vicious man and animal attacking beasts that are banned from the cities by breed-specific legislation and are often guilty until proven innocent. If they’re even given that chance. “Pit Bull” is a derogatory term used by the ignorant to describe any heavily muscled, wide jawed breed from true American Pit Bull Terriers, American Staffordshire Terriers, and other mixed-breed dog with a similar appearance.
Bullys have been handed this reputation by those still engaged in dog-fighting, inner city drug dealers looking to secure their stash, and unethical breeders looking for maximum cash rather than to preserve the dog’s origins.
This has led to myths of unstable temperament, dog and people aggression, locking jaws, and unpredictability.
In fact, the well-bred Bully is a loyal family guardian and protector; an intelligent and obedient pet; a sweet, even-tempered dog that serves well as a help-mate to handicapped owner and friend to small children; and a healthy, hardy dog that complains little and offers much to his family.
source http://ww.mybullylove.com/bully_history.ht