Historically, gold has been much sought after because of its inherent value and beauty. It is a precious metal as well as a tangible asset, which means that you can feel and hold it in your hands. In addition, gold is a very good investment as it offers stability and liquidity, and it can be diversified.
Internationally, gold is recognized for its monetary value and as a financial asset. Some governments often use gold as part of their reserve, and it is also used to diversify investment portfolios.
Over the years, the US Mint has produced and offered gold coins for sale, and one such coin is the American Eagle $50 Gold Coin, which is sought after by collectors and investors.
The American Eagle’s History
The American Eagle $50 Gold Coin is one of the official coins of the United States, and it is part of a set of four, with the other denominations being the $5, $10 and $25. The coin is authorized by the 1985 Gold Bullion Coin Act and the minting of the coin started in 1986. Since then, demand has grown over the years with more than 11 million Coins sold since that time.
To learn more about gold’s history, check out the history of gold.
Guaranteed by the United States Government, the American Eagle Gold Coins have the distinction of being the only coins that have been backed by the Government in terms of the content, weight, quality and purity. This guarantee is very useful as it elevates the coins to a level where there are no questions regarding the stated gold content, and ultimately provides confidence to investors who are buying them.
Made in the United States, the American Eagle $50 Gold Coin is solid bullion of 22 Karat gold. The metallic composition of the coin is mostly gold with about 92%, and includes about 5% copper and 3% silver. Due to the high gold content, the coins are not easily marred or scratched, and this helps to protect the resale value. Weighing one ounce, the $50 coin is the highest denomination in the set of American Eagle Gold Coins.
The design of the coin is similar to the great Double Eagle Gold $20 dollar coin which was designed by Augustus Saint-Gaudens in the early 1900s. On the front or obverse side of the coin, you will find the date that the coin was minted. This was originally done using Roman numerals, however, in 1992; the US Mint began using Arabic numbers. In addition, it bears the full bodied symbol of Lady Liberty with Lady Liberty holding a torch in her right hand and the olive branch in her left hand. The significance of the torch and the olive branch relate to the spirit of enlightenment and peace respectively. On the front of the coin there are also 46 stars which represent the numbers of states that were in the Union up to 1907.
The back or reverse side of the coin shows a male eagle, carrying the olive branch of peace. The male eagle is flying above the nest with a female eagle and two chicks. This design was created by prominent sculptor, Miley Busiek, and it symbolizes unity and family tradition. Other marks on the reverse side include the US national motto – “IN GOD WE TRUST” which is placed on the right hand of the coin and on the opposite side, the Latin phrase, “E PLURIBUS UNUM”, which means ‘Out of Many, One’. In addition, at the bottom of the coin, the denomination and weight are included – ‘1 OZ FINE GOLD – 50 DOLLARS’.
Measurement of the American Eagle $50 Gold Coin include a diameter of 1.287 inches or 32.7 mm and thickness of 0.1inch or 2.88 mm. The gross weight is 1.0909 troy ounces and the pure gold weight is 1.00 troy ounce.
Value and Benefits
Owning American Eagle $50 Gold Coins is certainly a very good investment especially during harsh economical times. If the price of gold were to fall, the face value of the coins is still valid and if you have 5 of the coins, as a legal tender, the value would be $250.
Another benefit of having the gold coins is that since they are guaranteed by the American Government, they can be sold at the current price of gold. For example, the $50 American Eagle Gold Coin has a weight content of one ounce of gold, and if the price of gold were say $500 per ounce, then one gold coin could be sold for a minimum of $500. In general, the market value is usually far greater than the face value.
Buying the Gold Coins
The coins are usually sold in sets or in units of 10 or 20 coins. If you are interested in buying American Eagle $50 Gold Coins, be sure to purchase them from reputable dealers and if purchased from other sources such as online, you should get the proof of purchase. In addition, the US Mint sells both the proof and uncirculated versions of the coins for investment and collection purposes and a Certificate of Authenticity is issued for both types.
An interesting fact about the American Eagle $50 Gold Coin is that the law requires that the gold used in making the coins, must be mined in the United States. Another fact is that the coin is a top seller worldwide among gold bullion coins, and it is the most popular gold coin purchased in the United States.
In addition, the sale of the coins was temporarily suspended for about two weeks from August 14 -25, 2008, because of a significant high demand. It has been suggested that this monumental demand may be as a result of the increase in gold prices. However, there is the belief that that the production and supply of good quality gold is decreasing, and hence the suspension in order to protect declining inventory.
Investment in the American Eagle $50 Gold Coin is worthwhile and can undoubtedly reap great benefits. To learn more about investing in gold, read Ways to Invest in Gold, or our special Buy Gold page.