Buy Gold Krugerrand Coins South Africa Bullion I Lowest Price Guarantee
The South African Gold Krugerrand, introduced in 1967, is one of the most iconic and widely traded gold bullion coins. Created to promote South African gold, it has become a favorite among collectors and gold investors around the world for its durability, recognizable design, and global liquidity.
The History of the Gold Krugerrand
Introduced in 1967 by the South African Mint in partnership with the Rand Refinery, the Gold Krugerrand was designed to showcase South African natural reserves and promote private ownership of gold. As the first modern gold bullion coin, it quickly became a global standard, appreciated for its 22-karat gold composition and total weight of 1.09 troy oz.
Despite its initial success, the Krugerrand faced a setback in the 1980s when international economic sanctions were imposed by the United Nations against South Africa due to its apartheid policies, making the South African coin an illegal import in several western countries, including the USA. These sanctions were lifted in 1991 following the end of apartheid. Since then, the Gold Krugerrand has regained its prominence in the global gold coin market.
Gold Krugerrand Variations
Since its premiere, Gold Krugerrands have been struck annually using a copper-gold alloy, giving them a distinctive warm hue. In 1980, the South African Mint introduced fractional sizes of 1/2 oz, 1/4 oz, and 1/10 oz.
The Mint also produces proof versions, featuring a mirror-like finish and finer detailing, with 220 edge serrations compared to the 160 found on standard coins.
To mark the series' 50th anniversary in 2017, the Mint introduced a 1/50 oz Gold Krugerrand and commemorative Platinum and Silver Krugerrand coins. The Silver Krugerrand was so popular that it has since become a regular annual release, further expanding the appeal of this iconic series.
The South African Mint
Founded in 1890 in Centurion, Gauteng, the South African Mint plays a central role in the country’s numismatic history. Initially established as the nation’s first official mint, it became a branch of the British Royal Mint in 1923 before regaining its independence in 1941. Today, it operates in collaboration with the South African Reserve Bank, producing circulation coins for the rand, South African currency.
In partnership with the Rand Refinery, it produces the Gold Krugerrand. Notably, the Rand Refinery is the only LBMA-accredited refinery in Africa, ensuring that it meets global standards of purity and quality.
The Design of the South African Gold Krugerrand Coin
The Gold Krugerrand’s design reflects South Africa’s rich political and cultural heritage. Featuring two iconic images, it captures the spirit of a nation defined by resilience and natural beauty.
The Obverse
The obverse of the coin features a left-facing portrait of Paul Kruger, the fifth president of the South African Republic and a key figure during the Second Boer War. Designed by Otto Schultz, this portrait honors Kruger’s lasting impact on the country. South Africa’s name is inscribed in both English and Afrikaans, representing the nation's bilingual heritage.
The Reverse
The reverse showcases the springbok antelope, South Africa’s national symbol, leaping across the landscape in a design by Coert Steynberg. This engraving celebrates the nation's wildlife and unity. The accompanying inscriptions refer to the coin’s name, metal content, and weight.
The Lack of Face Value in Gold Krugerrands
Although the Gold Krugerrand does not have a stamped monetary denomination, it is recognized as legal tender in South Africa. Its value is based on its gold content and the current market price of gold. Backed by the South African Reserve Bank, the Krugerrand’s legal tender is fully insured based on its weight and purity.
Why Invest in the 1 oz South African Gold Krugerrand?
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Proven Investment: Gold has long been a reliable store of value, offering protection against inflation and economic instability;
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Trusted Coin: It is one of the most respected and sought-after gold bullion coins globally;
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High Purity: Each coin is minted in 22K gold (.9167 fine), ensuring exceptional quality;
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Historical Significance: With nearly 50 years of history, it is one of the world’s oldest and most established gold coins;
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Limited Mintage: Early mintage years are rare;
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Iconic Design: Featuring enduring national symbols, each coin is visually striking and carries inherent value.
Buy Gold Krugerrand Coins at SD Bullion
The esteemed South African Gold Krugerrand is a valuable addition to any collection, offering a hedge for long-term financial security. Whether you're diversifying your portfolio or planning for retirement, these iconic coins are a wise choice.
Do you have questions about our current stock or the Gold Krugerrand in general? Contact us today, and we’ll be happy to assist with any information you need.
FAQs
Are Krugerrands 100% gold?
No, Krugerrands are not 100% gold. They are 22-karat gold coins, meaning they contain 91.67% gold and 8.33% copper. The addition of copper gives the coins added durability and strength, which helps prevent damage and wear. While not pure gold, this alloy makes them more resilient and helps preserve their value over time.
Why is a Krugerrand so valuable?
It contains a full troy ounce of gold, which is seen as a safe haven, maintaining its value through economic fluctuations. With nearly 50 years of rich history, the Krugerrand is widely recognized and trusted around the world. Its enduring popularity and semi-numismatic appeal, coupled with its purity, make it highly collectible and sought-after.
Are Gold Krugerrands legal?
Yes, Gold Krugerrands are legal tender, guaranteed by the South African government based on their weight and purity. They lack an imprinted monetary denomination, as they are designed primarily as an investment rather than currency. While Gold Krugerrand coins were banned in many countries during the 1980s due to UN sanctions, those restrictions were lifted in the early 1990s following the end of apartheid.
Can you sell Krugerrands?
Yes, they are a highly liquid investment and can be sold or traded easily. Due to their 22k gold and numismatic appeal, they are in high demand globally. The price you can get for a Gold Krugerrand coin depends on factors such as its condition and rarity, with well-preserved coins often fetching a premium above their gold value.
Can anyone buy Krugerrands?
Yes, anyone can buy gold krugerrands, whether for investment or as a collectible. However, it's crucial to purchase from reputable sources to ensure authenticity and avoid counterfeits. To ensure you're getting genuine coins, it's recommended to buy from trusted dealers like SD Bullion, which provides certified, high-quality coins.
Which year Krugerrand is most valuable?
The 1967 Krugerrand, with its limited mintage of 40,000 coins, is considered one of the most valuable in the series. As the first modern gold coin designed for private investment, it features 91.67% pure gold and weighs just over one ounce. Due to its rarity, the 1967 strike is highly sought after. In 2020, a 1967 Proof coin sold for $300,000, setting a record.
Are Gold Krugerrands eligible for a Gold IRA?
No, Gold Krugerrands are not eligible for a Gold IRA. The IRS mandates that gold in a Precious Metals IRA must be at least 99.5% pure (0.995 fineness). With a fineness of 0.9167, Krugerrands do not meet this requirement, meaning they are not approved for inclusion in an IRA. However, they remain a popular investment outside of retirement accounts.
Are Krugerrands collectible or purely for investment?
They were originally created as a popular investment bullion coin . However, their strong historical roots and cultural significance have also made them popular among collectors. Early mintages, special editions, and proof versions often carry added value beyond gold content. Today, they are recognized not just as investment tools, but also as meaningful pieces of numismatic history.
Can I sell my Krugerrands back to SD Bullion, even if I didn’t buy them from them?
Yes. Our team is constantly looking to update our inventory. Check out our buyback process (link here) and learn about the 3 simple steps to sell your bullion to us for a fair price.
Are Krugerrands taxed differently than other gold coins in the U.S.?
No, they are taxed the same as other gold coins in the U.S. The IRS treats all physical gold, including Krugerrands, American Gold Eagles, and other bullion coins, as collectibles. This means that any profit from their sale is subject to a maximum capital gains tax rate of 28%, the same rate applied to other collectible assets, such as art or rare coins.