The Treaty of Tordesillas, signed in 1494 between Spain and Portugal, was significant for colonial powers as it divided newly discovered lands outside Europe along a meridian 370 leagues west of the Cape Verde islands. This division aimed to resolve conflicts over claims to territories in the Americas and other parts of the world. The treaty legitimized Spanish and Portuguese empires' colonial expansion and exploitation, fostering a colonial rivalry that shaped the geopolitics of the time. It effectively facilitated European exploration and colonization, impacting indigenous populations and establishing a foundation for future territorial claims and conflicts.