Okay kiddo, imagine a long time ago, there were many different countries and kingdoms in the world, and one of those was called Spain. Spain had control over some lands in the Americas, including places like Puerto Rico, Cuba, and Mexico.
When Spain first took over these lands, they made rules and laws that were not very fair to the people who were living there. But as time went on, some people started to think that maybe these laws were not so good, and they needed to be changed.
That's where the Royal Decree of Graces comes in. In the year 1815, the King of Spain decided to make a new law, or decree, called the Royal Decree of Graces. This law was made to help the people living in the Spanish colonies, especially those who were not originally from Spain, but were born in the colonies.
The Royal Decree of Graces said that if you were born in the colonies, and your parents were not from Spain, you could become a citizen of Spain. This was a big deal, because before this law, people who were not from Spain did not have many rights or privileges, and they often had to pay higher taxes or follow different laws.
The law also gave land grants to people who wanted to settle in the colonies, and it made it easier for people to trade with other countries. All of these changes were meant to make life better for the people living in the Spanish colonies, and to encourage more people to move there and start businesses.
So, in short, the Royal Decree of Graces was a law made by the King of Spain to make life better for the people living in the Spanish colonies in the Americas, and to encourage more people to move there and help the colonies grow.