The 1886 American Cup was the second installment of the soccer tournament directed by the American Football Association. Clark O.N.T., as holders of the trophy, had successfully defended their title and receiving along with the trophy a pair of leg guards donated by the Alma Cricket and Football club.
The clubs still all came from New York and New Jersey, though there were now four different cities represented. The Domestic club became the Almas, while New York Rovers and Trenton were added. The Alma football club, established in 1884, played out of Frelinghuysen Avenue Grounds and wore black jerseys and white knickerbockers. The Trenton football club, established in 1886, played out of the East State Street grounds and wore blue and black jerseys, blue caps, white shorts, and red socks.
Caledonian Thistle drew a bye.
Home teams listed on top of bracket
Notes: <nowiki>*</nowiki> result after two replays