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Was made by peace makers that was headed by Austria. This was made so the Germany government of each state would not have to be dismantled.
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Bismarck made an alliance with Austria and went to war with Denmark and seized provinces of Schleswig and Holstein from Denmark.
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Bismarck made up an excuse to attack Austria. The Austroprussian War lasted 7 weeks and Prussia won. Prussia after annexed of several other north german states.
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This war started when Napoleon was angered over Austrias loss and this fueled a rivalry between Prussia and France. Bismarck edited a telegram between the French ambassador and King William I seemed as if he insulted Napoleon so he jumped into battle and lost.
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Due to the victory over France William I was given the title kaiser, or emporer. Then in January 1871, German Nationalist Celebrated the creation of the second Reich, or empire.
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Bismarck was first a prime minister in 1862 by King William I then a decade later in 1872 he became the chancellor, or the highest official of a monarch and used his policy of "blood and iron" to unite germany states under prussian rule.