Ladies and gentlemen, gather around, for I have a tale to tell of the most unassuming coin in American history – the U.S. $1 Gold Coin. Often overlooked by collectors, this tiny piece of currency holds within its small frame a wealth of fascinating history and intrigue.
You see, originally, there was no plan for a $1 gold coin. But, as fate would have it, two major gold discoveries and the entrepreneurial spirit of one Christopher Bechtler, a North Carolina jeweler, would change the course of American coinage. Bechtler, in the early 1830s, saw an opportunity to turn the gold dust brought in by local miners into coinage, and by the 1840s, his business was booming.
This caught the attention of the U.S. government and, in 1849, Congress passed the act mandating the production of not only the $1 Gold Coin but also the $20 Double Eagle. And thus, the $1 Gold Coin became a staple of American currency.
First came the Liberty Head Type 1, designed by James B. Longacre, featuring a depiction of Lady Liberty facing left, surrounded by 13 stars on a plain field, with the inscription “Liberty” on her coronet. On the reverse, the simple wreath with the inscription “1 DOLLAR” encircled by “UNITED STATES OF AMERICA.”
But, as with all good things, the coin soon faced its fair share of obstacles. Its small size and composition of 90% gold and 10% copper, weighing in at a mere 1.67 grams, made it easily lost. Complaints flooded the U.S. Mint, leading to a redesign in 1854—the Indian Head Type 2. Though slightly larger at 15 mm, the design faced issues with poor strikes and clashed dies.
So, in 1856 Longacre redesigned the Indian Head Type 3. Enlarging the portrait and lowering the relief solved some striking issues, but not all. Nevertheless, it proved popular with collectors, with many rarities and varieties existing within its 33-year run.
It's worth noting that while the majority of the $1 gold coins were minted at the Philadelphia Mint, they also saw production at Dahlonega, Charlotte, New Orleans, and San Francisco. The Dahlonega mint, in particular, is of historical significance as it continued to mint the coins in 1861 after being seized by the Confederacy.
Why should you care about this coin? The answer is simple – rarity and variety. The Liberty Head Type 1 saw a relatively short production run, with a mere 5,566,000 minted between 1849 and 1854. The Indian Head Type 2 had an even shorter run, with a mere 15,000 minted in 1854 and 1855. And while the Indian Head Type 3 had the longest production run, lasting 33 years and seeing over 6 million minted, it still holds many rarities and varieties within its numbers.
But rarity and variety aside, the $1 Gold Coin holds a unique place in American history. It was the first $1 coin to be minted by the U.S. government and, despite its small size, saw regular circulation throughout the country. In fact, it saw more regular circulation than silver dollars of the time. And, as the years went on, particularly after 1874, large numbers of the $1 gold coins were hoarded, so many examples of can be found in the higher grades.
The 1849-C is likely the rarest of the Type 1 $1 Gold coins, with only a handful known to exist. Proof $1 gold coins were regularly produced starting in 1856, many with only tiny mintage, but later with enough produced to satisfy most collectors.
While the $1 gold coin is relatively affordable, the scarcer and rarer coins draw a larger premium, as they should. For lovers of American Gold Coins minted pre-1933, the $1 gold coin sometimes gets overlooked by its larger siblings like the $20 Double Eagle. But it shouldn't be! To learn more about this great hobby, read, Quick Guide to Coin Collecting, 2nd Edition.
The story of the $1 Gold coin is its history and variety, and that means it should be in your collection.
