Nichols was born in Hardwick, Vermont in 1826. He served in the Mexican–American War and later moved to Colorado, living there beginning in 1859. He was elected sheriff of Boulder in 1863, but absented himself from office in order to take a captain's commission with the Third Colorado Volunteer Cavalry, called upon by Territorial Governor John Evans in 1864 to suppress Indian uprisings. In his capacity as Captain of Company D, Nichols participated in the infamous Sand Creek Massacre on November 29, 1864.
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