Bringing The Eagle Back

Since the very first days of the US republic, there have been gold coins called “eagles.” However, they disappeared from use for over sixty years until the introduction of gold bullion eagles in the mid 1980s. Since that time, millions of ounces of gold have been purchased by people in the US and abroad as gold eagle coins. They have widely been regarded as the best choice for purchasing US gold until the introduction of the very popular 24-karat gold buffalo coins in 2006.

The term “eagle” simply describes the base value of $10 that was established as the base value of US coins in 1795. Fractional eagle coins were also minted in the US in the late 18th century, but the $20 double eagle was not needed until large gold deposits were discovered in the California Gold Rush of 1849. Suddenly, there was more gold than anyone knew what to do with for a few years.

However, after more than a century of keeping gold coinage in a limited circulation, the minting of US gold coins as currency ceased in 1933 when FDR used the powers of the federal government to corner the US gold markets for the purpose of international currency manipulation. Once the ownership of gold became all but illegal for most US citizens, there was no point in minting a gold coin.

The first step in bringing gold bullion eagles back to the US market happened in 1975, when President Ford made it legal for citizens and entities such as banks to own gold again. With the signing of the Gold Bullion Coin Act of 1985 by Ronald Regan, the US Mint had a new mandate to create gold coinage from newly mined domestic sources of gold. As one might expect, US gold production has risen considerably since that time.

Today, the 22-karat (over 91% pure) gold bullion eagles come in a variety of sizes, including the standard 1-ounce eagle with a face value of $50. Fractional sizes include 1/2-ounce, 1/4-ounce and 1/10-ounce coins, with values of $25, $10 and $5, respectively. Like the bullion coins of other nations, these are legal tender in the US, though their actual value (and selling price from the US Mint) far exceeds their face value.

Even the design of these gold bullion eagles reflects an earlier era, with the obverse of the coins featuring the walking Lady Liberty as produced by Saint-Gaudens for the 1907 double eagle coins. In what has become one of the most popular US Mint series ever, the bullion eagle program also includes silver and platinum eagles in various finishes and sizes.

Most recently, special collectors’ editions have been minted at the special US Mint facilities at West Point, including both uncirculated and proof sets. In 2009, technology has caught up to the vision of the coin’s designer, with an ultra-high relief minting that has already brought great interest from the world of collectors and investors, alike.

Article Archives