American Gold Buffalo CoinsMany of the gold coins that are popular in the United States have a 22 karat quality to them, or just over 91% gold with other metals forming an alloy. That isn't the case with the American Gold Buffalo. Authorized for creation in 2015 by the Presidential $1 Coin Act, these are the first .9999 24K gold coins that were ever struck by the United States Mint.
Like their American Gold Eagle counterparts, the face value of the Gold Buffalo is $50. The content and purity of each coin is guaranteed by the US government, which makes them a highly sought after collectible gold coin. When there is economic uncertainty, investors tend to turn to gold to help protection their portfolio. Instead of shares or ETFs as a gold investment, the American Gold Buffalo gives you a real, tangible way to invest.
The Design of the American Gold Buffalo
One of the most iconic coin designs in US history is the Buffalo nickel. First created in 1913, the nickels were created to provide homage to the native heritage of the US West. James Earl Fraser was responsible for the design of the nickel, notable because he was a student of the great Augustus Saint-Gaudens, who is responsible for many of the most beloved coin designs in American history.
The American Gold Buffalo is very similar in its design. As with the nickel, the word “Liberty” is placed just above the profile forehead of a Native American. The crisp details of the feathers and braids in the hair, combined with the weary, weather-worn expression on the face speak volumes without saying a word. The profile is said to be a combination of features from three different famous chiefs: Big Tree, Iron Tail, and Two Moons.
On the reverse side of the coin is the iconic buffalo, another enduring symbol of the US West. Traditional inscriptions, which include “In God We Trust” and “E Pluribus Unum,” are found alongside the buffalo. The weight of the coin and its millesimal fineness are also recorded on the reverse side of the coin, noted as “.9999 fine gold.”
Only the proof coins available in the American Gold Buffalo series bear the mint mark. Each coin has a diameter of 32.7mm, a thickness of 2.95mm, and a mass of 31.108g, which is just slightly above 1 troy ounce. Each coin also has a reeded edge, which is common for US coins.
The Value of the American Gold Buffalo
The Presidential $1 Coin Act not only mandated the creation of a 24K gold coin, but it also limited the mintage of the coin. This means there is a level of scarcity in some years for this coin, which has the potential of increasing the value above the spot price of gold for some investors.
Even the price of gold itself has allowed some investors to already make a good return on the American Gold Buffalo. When the 2006 US Mint proof coin was introduced to the general public, it was offered at a retail price of $800. In 2011, the proof coin in this series was initially offered at a price of $2,010.
In 2006-2007, only the 1 ounce version of the American Gold Buffalo was released to the public. Starting in 2008, fractional ounce coins of 1/10, 1/4, and 1/2 were also released by the US Mint. They have face values of $5, $10, and $25 respectively.
Why You Need Official US Mint American Gold Buffalo Coins
Maybe you've seen a version of the American Gold Buffalo sold on TV for $19.95. These coins are issued by a private company and only have a thinly plated gold exterior and are not considered to be an official proof. Other variations have directly copied the design of the American Gold Buffalo, but have the word “Copy” printed above the face value and purity values listed on the coin. It is important that if you want to make a real investment into real gold that you only purchase gold coins that are released by the United States Mint.
Some collectors prefer to collect the 24K gold coins on the market today instead of 22K coins. If that is your personal preference, then consider the benefits of adding the American Gold Buffalo to your collection or investment portfolio today. Its purity is guaranteed by the US Government and value unquestioned.