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American Gold Coins - What You Should Know Before Investing

by Daniel Wright

Gold coins were often used as currency in the earliest times of civilization. But these coins are considered a type of investment now. Bullion gold coins are particularly well recognized for their investment purposes. The price of gold coins tends to fluctuate a great deal from one day to the next depending upon gold prices. All countries have their official bullion gold coins. American Eagle gold coins are known as the official USA bullion gold coins.

The U.S. mints the American Eagle Gold Coins from gold found in the U.S. When it was introduced in 1986, as an alternative to South African gold, its popularity quickly grew as the South African gold was banned. Ever since then, American Eagle coins have been much more popular than South African gold

American Eagle Coins come in 1 oz., 1/4 oz., 1/10 oz., and 1/2 oz. denominations and they're 22 carat gold, or 91.67% pure gold. The coin denomination denotes the coin's gold content, with additional metals added to the weight of that gold. Unlike the Kruggerands of South Africa which have a copper alloy, American Eagles have a silver and copper alloy which gives them a lighter yellow tone as opposed to the Kruggerands' deep orange.

On the obverse of the American Eagle is the Liberty statue, a brazen image of democracy. On the reverse is an image of an eagle flying with his partner and their child. The male eagle is a symbol to the United States' power and resolve, but he is carrying a olive branch to symbolize America's quest for peace. Aside from the gold content, all denominations of the American Eagle have the same design.

All American gold coins come with a stated face value. One-ounce coins have a face value of $50, half-ounce coins carry a face value of $25, quarter-ounce coins bear a $10 face value, and 0.1 ounce coins have a face value of $5. However, these face values are symbolic, meant to emphasize that the coins are legal tender. Their actual value depends on the market value of the gold that they contain, plus a small premium. An American Eagle coin with a $50 face value is presently worth about $900.

American gold coins are among the most admired gold coins in the entire world. The gorgeous design and commanding imagery, along with their classic gold color make these American Eagles wonderful gold coins for both collection and display. Having the entire weight and gold content guaranteed by the US mint ensures that they are a good investment as well. All truly serious gold coin collectors own an American Eagle.

Learn more about American gold coins at the net's premiere site covering everything related to U.S. gold coins, US-Gold-Coins.org. Whether you're interest is investing or building a collection, it's covered in our FAQ's, gold-related videos, and of course, our US Gold Coins Blog covering the latest news on U.S. gold coins!

Published December 29th, 2008

Filed in Hobby