Gold Krugerrand Coin Legacy
Gold Krugerrands are considered the oldest 1-ounce gold coin regularly minted. At one point in 1980, the 1 troy oz Krugerrand made up over 90% of the gold bullion coins traded on the world market. Today, over 50 million Gold Krugerrand Coins have been minted and sold to gold bullion coin buyers across the world.
The History of the Gold Krugerrand
The South African Mint, partnered with the Rand Refinery, introduced the Gold Krugerrand coin in 1967 to help market the natural gold reserves in the country and promote the use of the precious metal as a private investment.
The Gold Krugerrand was the first modern gold bullion coin available for private ownership, with a gross weight of 1.09 Troy oz (33.93 grams) of .9167 fine gold.
Despite its immediate popularity among gold buyers around the globe, for a few years in the 1980s, a Special Council of the UN imposed an international embargo against South Africa due to its apartheid policies. That made it illegal to import Gold Krugerrands in many countries, including the US.
The sanctions were only revoked in 1991 after the South African government took steps towards ending its segregation regime.
Nowadays, Gold Krugerrands still enjoy a large portion of the gold market. They are widely popular among both investors and collectors alike.
Gold Krugerrand Variations
Since its premiere in 1967, Gold Krugerrands have been annually minted with a copper-gold alloy.
In 1980, the South African Mint expanded the collection to include Gold Krugerrand coins in fractional size options of 1/2 oz, 1/4 oz, and 1/10 oz.
They also produce a proof version of the Krugerrand coins intended as collector’s items rather than an investment option. Proof coins differ from the bullion version in the mirror-like luster and the fact that they contain 220 edge serrations, as opposed to 160 in the bullion coins.
In 2017, the celebration of the series' 50th anniversary brought up a first-ever 1/50 oz Gold Krugerrand and the commemorative Platinum and Silver Krugerrand coins.
The silver version was so popular that it became a regular, annual strike since then.
The South African Mint
The South African Mint was founded in 1890 in Centurion, Gauteng, as the first national mint. Then, it became a branch of the British Royal Mint in 1923 and reverted back to an independent company in 1941.
It is a privately owned mint that works with the South African Reserve Bank to produce circulation rand coins, the official South African currency, and in concert with the Rand Refinery to produce Gold Krugerrands. The Rand Refinery is the only accredited LBMA refinery in Africa.
The Design of the South African Gold Krugerrand Coin
The South African Gold Krugerrand coin features an iconic figure and a national symbol, telling the history of South African efforts to become an independent nation.
Paul Kruger
The Krugerrand Gold coin is named after the fifth Boer president of the country, Paul Kruger, featured on the obverse side.
As the leader of South Africa, he represented his nation's interests against Great Britain during the Second Boer War. Kruger held the office of the presidency of the South African Republic for nearly two decades and would serve in the republic for over 40 years.
Besides the left-profile bust of the former president designed by Otto Schultz, the obverse design displays the country's name written in two languages, English and Afrikaans.
The Springbok Antelope
The coin's reverse showcases the springbok antelope, which happens to be South Africa's national animal. Crafted with stunning details, the design is meant as a homage to all South Africans' political and natural heritage.
The coin's name is engraved on top of the reverse design, while information regarding metal content and weight is beneath the antelope's image.
The Lack of Face Value in the Gold Coins
Despite not displaying an engraved monetary denomination, the Gold Krugerrand coin holds legal tender status. The coin's value is fully insured by the South African Reserve Bank based on its weight and purity, according to the current gold spot price.
Is the South African Gold Krugerrand worth collecting?
Gold is often considered to be a worthwhile investment opportunity. Gold is a long-lasting good because of its intrinsic nature, serving as a hedge against inflation and economic turmoil.
The South African Gold Krugerrand Coin is one of our industry's most trusted and desired gold bullion coins. This one-ounce gold coin is offered in brilliant-uncirculated condition and has a 22K gold coin purity, which is a millesimal fineness of .9167.
With nearly 50 years of history, however, there isn't a more established gold coin on the world market today. It is considered one of the oldest coins in the world, of limited strikes, especially in the first mintage years, with iconic symbols imprinted in the coin's design.
Each coin offers a guaranteed quality with an attractiveness that makes these coins visually appealing.
Buy Gold Krugerrand Coins at SD Bullion
These highly regarded South African gold coins will help diversify a collection, protect a financial future, or help someone plan for retirement.
Contact us today with any questions on what we have in stock right now or questions about the Gold Krugerrand in general, and we'll be happy to provide whatever answers we can.
FAQs
Are Krugerrands 100% gold?
South African Gold Krugerrands weigh a little bit more than one ounce. Because they are 22-karat gold coins, they comprise 91.67% of gold and 8,33% of copper. Considering that a full troy ounce is pure gold content, the remainder of the content belongs to the copper alloy, making them more rigid and durable.
Why is a Krugerrand so valuable?
South African Gold Krugerrand has a full troy ounce of gold. Gold is considered a safe haven investment and tends to remain valuable despite the market's volatility. Gold Krugerrand coins are widely accepted worldwide due to their long history of coinage. This makes them highly collectible and extremely sought-after for their semi-numismatic value.
Are Gold Krugerrands legal?
The South African government guarantees Gold Krugerrands legal tender status based on weight and purity. Therefore, their value can be calculated according to the current spot price of gold. Gold Krugerrands do not have an imprinted face value. The decision to mint them lacking denomination aimed to stimulate buyers to see them as an investment option rather than a common currency. These coins were illegal to import in many countries during the 1980s due to an international embargo imposed by the UN. However, all sanctions were removed in the early 1990s after the end of the apartheid regime.
Can you sell Krugerrands?
These coins can be a liquid investment option, which means they can be traded as an asset. Krugerrands are among the most wanted bullion coins in the market because of their numismatic value and metal content. They are 22k gold coins, and according to their condition and rarity, investors can get a significant price for them.
Can anyone buy Krugerrands?
Anyone can acquire bullion coins. However, when purchasing them either for investment or collection purposes, it is essential to check trustworthy sources to ensure authentic pieces and avoid counterfeits or fraud. Investors and collectors alike are advised to acquire these coins from authorized coin dealers, such as SD Bullion.
Which year Krugerrand is most valuable?
The debuting coin is one of the world's most valuable samples. The series premiered in 1967, with a limited mintage of 40,000 units. They were the first modern gold coins made for private investment, weighing slightly over one ounce of 91.67% pure gold. Their rarity has made them a very sought-after and highly-priced piece. The most expensive Krugerrand ever sold was a 1967 1-ounce Proof coin that sold in 2020 for $300,000.