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The Douglas BT-1 was one of the first basic trainers produced for the USAAC and was a modified version of the Douglas O-2K observation aircraft.
The O-2K was an unarmed version of the O-2H armed observation aircraft. It was a Liberty engine powered biplane, with staggered unequal span wings. Thirty-seven O-2Ks were built for the Air Corps and another twenty for the National Guard.
In 1930 forty of these O-2Ks were modified into basic trainers as part of a reform of pilot training in the Air Corps. At least three of these aircraft must have come from the National Guard allocation. The conversion involved removing the guns and adding a second set of flight controls and instruments in the rear cockpit.
The same year also saw thirty Douglas O-32As, a later development of the O-2, converted into basic trainers as the Douglas BT-2.
The BT-1 remained in service until 13 September 1935, when one made the last military flight of a Liberty powered Air Corps aircraft.