Just a bit more on the development of blitz...
E. Winter noted that the "BCM" in March 1897 stated:
What may not unfittingly be called “lightning chess” has been introduced at the Sydenham and Forrest Hills Club. Tournaments are organised on the principle of rapid play, 30 seconds per move being allowed, and half-an-hour for the entire game. Much interest is being evoked by this novel mode of play.
and the "Chess Omnibus" in Feb. 1898, quoted the "BCM" of some unspecified date:
Continuous tournaments, and rapid games of one minute per move, have been lately in great favour in America. They have not yet caught on much in Europe, and we hope the latter kind never will do so, for though they may be very amusing, and may promote a quick sight of the board, they are more of the nature of skittles than of solid and thoughtful chess, and we should think would be a very poor preparation for contests of any real importance.
I found a few references to lighning chess (not what we consider lightning, and barely what we consider blitz):
"BCM" Oct. 1898
. . . Mr. L. Hoffer, who was also present, was frequently to be seen playing skittles in his naive and lightning style.
"The Hastings Tournament Book" 1895
Bird and Janowski enliven us with a little lightning chess.
It seems toward the late 1890s that faster chess was becoming popular, possibly with timers or clocks, but faster, meaning 30 - 60 secs./move - most games played at that speed would barely fall into present day blitz time, if at all.
I read somewhere that Tarrasch once grabbed the queen's bishop instead of the knight (as an illegal move) then he was forced to move his king as penalty...got mated with the next move...(Lasker mentioned it if I remember correctly)