American Buffalo (coin)
Encyclopedia
The American Buffalo, also known as a gold buffalo, is a 24-karat
bullion coin
first offered for sale by the United States Mint
on June 22, 2006, and available for shipment beginning on July 13. The coin follows the greatly admired design of the Indian Head nickel
and has gained its nickname from the American Bison on the reverse side of the design. This was the first time ever that the United States
Government has minted pure (.9999) 24-karat gold coins for the public. The coin has a legal tender
(face) value of US$
50. Due to a combination of the coin's popularity, and the tremendous increase in the price of gold since it's creation; the coin's value has increased considerably in a short time of just a few years. The initial 2006 U.S. Mint price of the proof coin was $800.. In 2007 the Mint proof coin was $899.95, $1,410.00 in 2009, and $2,010.00 in 2011.
In addition to requiring a presidential dollar coin series
to begin in 2007 and redesigning the cent
in 2009, the Presidential $1 Coin Act of 2005
mandated the production of a one-ounce 24-karat gold bullion coin with a face value of $50 and a mintage limit of up to 300,000 coins.
(Type 1), issued in early 1913. After a raised mound of dirt below the animal on the reverse was reduced, the Type 2 variation continued to be minted for the rest of 1913 and every year until 1938, except for 1922, 1932, and 1933 when no nickels were struck. Generally, Fraser's Indian Head nickel design is regarded as among the best designs of any U.S. coins. The same design also was used on the 2001 Smithsonian commemorative coin
.
The obverse
(front) of the coin depicts a Native American
, whom Fraser said he created as a mixture of the features of three chiefs from different American Indian tribes, Big Tree
, Iron Tail
, and Two Moons
, who posed as models for him to sketch.
Atop a mound of dirt on the reverse
(back) of the coin stands an American Bison
, which commonly are referred to as buffalo. The animal depicted on the reverse is believed by most to be the bison named Black Diamond, who lived in the New York City Central Park Zoo
during the 1910s. It is said that Fraser had to have someone distract the buffalo while he sneaked to a position beside it to draw. Otherwise, the buffalo would turn to face him and Fraser couldn't get the profile he wanted.
Differences that can be noted between the nickel and the fifty dollar piece are, on the gold American Buffalo coin the mound area of the reverse of the Indian Head nickel bearing the words, FIVE CENTS, has been changed to read $50 1 OZ. .9999 FINE GOLD. Also, the motto, IN GOD WE TRUST
, appearing on all U.S. gold coins since 1908, can be seen on the reverse of the newer coin to the left of, and beneath, the buffalo's head.
in New York
. According to the U.S. Mint website, only the proof version of the buffalo gold coin bears the mint mark
"W" on the obverse (front) of the coin, behind the neck of the Indian; the bullion version does not have the "W" mint mark. The 2006 and 2007 coins only have been issued in a one-ounce version, but in 2008, $5, $10, and $25 face value coins were minted with 1/10 oz, 1/4 oz, and 1/2 oz of gold respectively.
After a long wait by both collectors
and investors, the uncirculated version of the American Buffalo gold piece was made available to coin dealers on June 20, 2006. Collectors who wanted to purchase the proof version from the mint were given the opportunity to place their orders with the mint beginning on July 22. The 2006 proof quality coin has a strict mintage limit of 300,000, with an additional enforced limit of only ten (10) coins per household. The catalog number of the 2006 proof coin at the U.S. Mint is (BA6).
The coin was created in order to compete with foreign 24-karat gold bullion coins. Since investors sometimes prefer 99.99% pure gold over the 91.67% gold used in the American Gold Eagle
, many were choosing non-U.S. coins, such as the Canadian Gold Maple Leaf
, to meet their bullion needs. With the American Buffalo coin, the U.S. government hopes to increase the amount of U.S. gold sales and cash in on the 24-karat sales, which makes up about 60% of the world gold market.
On July 22, the mint transferred two of the American Buffalo coins to the Smithsonian Institution
's coin collection because of their historic value.
On September 26, 2008 the U.S. Mint announced that temporarily, it would halt sales of the American Buffalo coins because it could not keep up with soaring demand as investors sought the safety of gold amid the subprime mortgage crisis
of the late 2000s, which had also affected the price of gold.
. Such coins are advertised as "a recreated gold clad proof of the $50 Gold Buffalo coin" and are generally sold for $19.95. These coins are only coated in a thin layer of gold, as specified by the words "gold clad", unlike the real coin which is 99.99% pure gold. They are also not legal tender in the United States, as they are issued by a private company, not an official US Government mint. These recreations do not have any currency denomination on the reverse face, unlike the official version which has the words "$50" and "1 OZ. .9999 FINE GOLD" on the reverse face. On the obverse face there is the word "COPY" printed where the Indian head's hair is braided.
Another variation produced by American Coin Treasures for 2010 subtly alters the wording on the reverse face to "$50" and "10MILS .999 FINE GOLD" with "COPY" printed above
Carat (purity)
The karat or carat is a unit of purity for gold alloys.- Measure :Karat purity is measured as 24 times the purity by mass:where...
bullion coin
Bullion coin
A bullion coin is a coin struck from precious metal and kept as a store of value or an investment, rather than used in day-to-day commerce. Investment coins are generally coins that have been minted after 1800, have a purity of not less than 900 thousandths and are or have been a legal tender in...
first offered for sale by the United States Mint
United States Mint
The United States Mint primarily produces circulating coinage for the United States to conduct its trade and commerce. The Mint was created by Congress with the Coinage Act of 1792, and placed within the Department of State...
on June 22, 2006, and available for shipment beginning on July 13. The coin follows the greatly admired design of the Indian Head nickel
Indian Head nickel
The Buffalo nickel or Indian Head nickel was a copper-nickel five-cent piece struck by the United States Mint from 1913 to 1938. It was designed by sculptor James Earle Fraser....
and has gained its nickname from the American Bison on the reverse side of the design. This was the first time ever that the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
Government has minted pure (.9999) 24-karat gold coins for the public. The coin has a legal tender
Legal tender
Legal tender is a medium of payment allowed by law or recognized by a legal system to be valid for meeting a financial obligation. Paper currency is a common form of legal tender in many countries....
(face) value of US$
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....
50. Due to a combination of the coin's popularity, and the tremendous increase in the price of gold since it's creation; the coin's value has increased considerably in a short time of just a few years. The initial 2006 U.S. Mint price of the proof coin was $800.. In 2007 the Mint proof coin was $899.95, $1,410.00 in 2009, and $2,010.00 in 2011.
In addition to requiring a presidential dollar coin series
Presidential $1 Coin Act of 2005
The Presidential $1 Coin Program is part of an Act of Congress, , which directs the United States Mint to produce $1 coins with engravings of relief portraits of U.S. Presidents on the obverse.-Legislative history:...
to begin in 2007 and redesigning the cent
Cent (United States coin)
The United States one-cent coin, commonly known as a penny, is a unit of currency equaling one one-hundredth of a United States dollar. The cent's symbol is ¢. Its obverse has featured the profile of President Abraham Lincoln since 1909, the centennial of his birth. From 1959 to 2008, the reverse...
in 2009, the Presidential $1 Coin Act of 2005
Presidential $1 Coin Act of 2005
The Presidential $1 Coin Program is part of an Act of Congress, , which directs the United States Mint to produce $1 coins with engravings of relief portraits of U.S. Presidents on the obverse.-Legislative history:...
mandated the production of a one-ounce 24-karat gold bullion coin with a face value of $50 and a mintage limit of up to 300,000 coins.
Design
The design of the American Buffalo gold bullion coin is a modified version of James Earle Fraser's design for the Indian Head nickelIndian Head nickel
The Buffalo nickel or Indian Head nickel was a copper-nickel five-cent piece struck by the United States Mint from 1913 to 1938. It was designed by sculptor James Earle Fraser....
(Type 1), issued in early 1913. After a raised mound of dirt below the animal on the reverse was reduced, the Type 2 variation continued to be minted for the rest of 1913 and every year until 1938, except for 1922, 1932, and 1933 when no nickels were struck. Generally, Fraser's Indian Head nickel design is regarded as among the best designs of any U.S. coins. The same design also was used on the 2001 Smithsonian commemorative coin
Commemorative coin
Commemorative coins are coins that were issued to commemorate some particular event or issue. Most world commemorative coins were issued from the 1960s onward, although there are numerous examples of commemorative coins of earlier date. Such coins have a distinct design with reference to the...
.
The obverse
Obverse and reverse
Obverse and its opposite, reverse, refer to the two flat faces of coins and some other two-sided objects, including paper money, flags , seals, medals, drawings, old master prints and other works of art, and printed fabrics. In this usage, obverse means the front face of the object and reverse...
(front) of the coin depicts a Native American
Native Americans in the United States
Native Americans in the United States are the indigenous peoples in North America within the boundaries of the present-day continental United States, parts of Alaska, and the island state of Hawaii. They are composed of numerous, distinct tribes, states, and ethnic groups, many of which survive as...
, whom Fraser said he created as a mixture of the features of three chiefs from different American Indian tribes, Big Tree
Big Tree
* Big Tree may refer to:* Big Tree, the tallest tree known to the public in northern California's Redwoods* The Senator, the oldest pond cypress tree in the United States...
, Iron Tail
Iron Tail
Iron Tail was an Oglala Sioux who fought alongside Sitting Bull at the Battle of the Little Big Horn. He also performed with Buffalo Bill's Wild West Show during the 1890s and with the Miller Brothers 101 Ranch Wild West show from 1913 to 1916. He died of pneumonia on May 28, 1916 while traveling...
, and Two Moons
Two Moons
Two Moons , pronounced ‘Ishaynishus’ was the son of Carries the Otter, an Arikara captive who married into the Cheyenne tribe...
, who posed as models for him to sketch.
Atop a mound of dirt on the reverse
Obverse and reverse
Obverse and its opposite, reverse, refer to the two flat faces of coins and some other two-sided objects, including paper money, flags , seals, medals, drawings, old master prints and other works of art, and printed fabrics. In this usage, obverse means the front face of the object and reverse...
(back) of the coin stands an American Bison
American Bison
The American bison , also commonly known as the American buffalo, is a North American species of bison that once roamed the grasslands of North America in massive herds...
, which commonly are referred to as buffalo. The animal depicted on the reverse is believed by most to be the bison named Black Diamond, who lived in the New York City Central Park Zoo
Central Park Zoo
The Central Park Zoo is a small zoo located in Central Park in New York City. It is part of an integrated system of four zoos and the New York Aquarium managed by the Wildlife Conservation Society , and is accredited by the Association of Zoos and Aquariums .The zoo began in the 1860s as a...
during the 1910s. It is said that Fraser had to have someone distract the buffalo while he sneaked to a position beside it to draw. Otherwise, the buffalo would turn to face him and Fraser couldn't get the profile he wanted.
Differences that can be noted between the nickel and the fifty dollar piece are, on the gold American Buffalo coin the mound area of the reverse of the Indian Head nickel bearing the words, FIVE CENTS, has been changed to read $50 1 OZ. .9999 FINE GOLD. Also, the motto, IN GOD WE TRUST
In God We Trust
"In God We Trust" was adopted as the official motto of the United States in 1956. It is also the motto of the U.S. state of Florida. The Legality of this motto has been questioned because of the United States Constitution forbidding the government to make any law respecting the establishment of a...
, appearing on all U.S. gold coins since 1908, can be seen on the reverse of the newer coin to the left of, and beneath, the buffalo's head.
Fractional sizes
The U.S. Mint has indicated an expansion of the program, to include buffalo gold coins in fractional sizes. The specially-packaged 8-8-08 Double Prosperity set contains a one-half ounce gold buffalo coin.Distribution
Currently, all U.S. bullion coins, including the American Buffalo gold piece, are being struck at the West Point MintWest Point Mint
The West Point Mint Facility was erected in 1937 near the U.S. Military Academy in West Point, New York. Originally it was called the West Point Bullion Depository. At one point it had the highest concentration of silver of any U.S. mint facility, and for 35 years produced circulating pennies...
in New York
New York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
. According to the U.S. Mint website, only the proof version of the buffalo gold coin bears the mint mark
Mint mark
A mint mark is an inscription on a coin indicating the mint where the coin was produced.-History:Mint marks were first developed to locate a problem. If a coin was underweight, or overweight, the mint mark would immediately tell where the coin was minted, and the problem could be located and fixed...
"W" on the obverse (front) of the coin, behind the neck of the Indian; the bullion version does not have the "W" mint mark. The 2006 and 2007 coins only have been issued in a one-ounce version, but in 2008, $5, $10, and $25 face value coins were minted with 1/10 oz, 1/4 oz, and 1/2 oz of gold respectively.
After a long wait by both collectors
Coin collecting
Coin collecting is the collecting or trading of coins or other forms of minted legal tender.Coins of interest to collectors often include those that circulated for only a brief time, coins with mint errors and especially beautiful or historically significant pieces. Coin collecting can be...
and investors, the uncirculated version of the American Buffalo gold piece was made available to coin dealers on June 20, 2006. Collectors who wanted to purchase the proof version from the mint were given the opportunity to place their orders with the mint beginning on July 22. The 2006 proof quality coin has a strict mintage limit of 300,000, with an additional enforced limit of only ten (10) coins per household. The catalog number of the 2006 proof coin at the U.S. Mint is (BA6).
The coin was created in order to compete with foreign 24-karat gold bullion coins. Since investors sometimes prefer 99.99% pure gold over the 91.67% gold used in the American Gold Eagle
American Gold Eagle
The American Gold Eagle is an official gold bullion coin of the United States. Authorized under the Gold Bullion Coin Act of 1985, it was first released by the United States Mint in 1986.- Details :...
, many were choosing non-U.S. coins, such as the Canadian Gold Maple Leaf
Canadian Gold Maple Leaf
The Canadian Gold Maple Leaf is the official bullion gold coin of Canada, and is produced by the Royal Canadian Mint. The brainchild of Walter Ott, it is one of the purest gold regular-issue coins in the world with a gold content of .9999 millesimal fineness , with some special issues .99999 fine...
, to meet their bullion needs. With the American Buffalo coin, the U.S. government hopes to increase the amount of U.S. gold sales and cash in on the 24-karat sales, which makes up about 60% of the world gold market.
On July 22, the mint transferred two of the American Buffalo coins to the Smithsonian Institution
Smithsonian Institution
The Smithsonian Institution is an educational and research institute and associated museum complex, administered and funded by the government of the United States and by funds from its endowment, contributions, and profits from its retail operations, concessions, licensing activities, and magazines...
's coin collection because of their historic value.
On September 26, 2008 the U.S. Mint announced that temporarily, it would halt sales of the American Buffalo coins because it could not keep up with soaring demand as investors sought the safety of gold amid the subprime mortgage crisis
Subprime mortgage crisis
The U.S. subprime mortgage crisis was one of the first indicators of the late-2000s financial crisis, characterized by a rise in subprime mortgage delinquencies and foreclosures, and the resulting decline of securities backed by said mortgages....
of the late 2000s, which had also affected the price of gold.
Other Non-Legal Tender Versions
There is a version of the Buffalo Gold Coin offered for sale on TV, minted by a private company called the National Collector's MintNational Collector's Mint
National Collector's Mint, Inc. is a company based in New York that sells collectible coins, privately produces commemoratives and contracts the minting of non-circulating legal tender coins under the auspices of foreign nations.-Products:...
. Such coins are advertised as "a recreated gold clad proof of the $50 Gold Buffalo coin" and are generally sold for $19.95. These coins are only coated in a thin layer of gold, as specified by the words "gold clad", unlike the real coin which is 99.99% pure gold. They are also not legal tender in the United States, as they are issued by a private company, not an official US Government mint. These recreations do not have any currency denomination on the reverse face, unlike the official version which has the words "$50" and "1 OZ. .9999 FINE GOLD" on the reverse face. On the obverse face there is the word "COPY" printed where the Indian head's hair is braided.
Another variation produced by American Coin Treasures for 2010 subtly alters the wording on the reverse face to "$50" and "10MILS .999 FINE GOLD" with "COPY" printed above
See also
- American Eagle bullion coinsAmerican Eagle bullion coinsAmerican Eagle bullion coins are produced by the United States Mint.* American Silver Eagle* American Gold Eagle* American Platinum Eagle...
- American Buffalo (play)American Buffalo (play)American Buffalo is a 1975 play by American playwright David Mamet which had its premiere in a showcase production at the Goodman Theatre, Chicago. After two more showcase productions, it opened on Broadway on February 16, 1977...
, in which three criminals conspire to steal a valuable Indian Head nickel American coin