US Gold Coins - Wish I Had Known This Sooner
Gold coins are of particular interest to coin collectors for three reasons. The first reason is because of gold's long history as the primary monetary unit of exchange, and the significance of historical events in which gold and gold coins played a major role. The second reason is the aesthetic and artistic appeal of minted gold coins. The third reason is gold's role in our modern economy as a highly functional and financially liquid store of monetary value. In fact, US gold coins are still minted and sold by the U.S. Government.
Gold coins were first minted around 560 BC. Gold coins were the primary form of money from that time until the early 1900's. In 1933, the worldwide Great Depression led to a switch by the governments of the world to currencies with very little intrinsic value beyond the cost of production, such as paper currencies and minted coins made from far less valuable metals. The U.S. Government ceased circulating US gold coins about this time.
Generally, most people are attracted to gold jewelry because of the beautiful color, shine, and malleability. For many of the same reasons, those same features make us gold coins very attractive to collectors. Additionally, the designs printed on the coins can provide a unique opportunity to learn about the world's history, not to mention their artistic beauty.
Gold bullion coins are gold coins which are collected for their monetary value. From ninety percent to almost one hundred percent gold by weight, bullion coins contain a very high percentage of gold. Because the value of gold in the modern economy fluctuates around many hundreds of dollars per ounce, gold coins represent a dense store of monetary value. Like other metals such as silver, gold is considered by investors to represent a hedge against the inflation of intrinsically worthless currency.
Besides precious metals being used as a hedge against inflation, many investors also store some of the net worth in them to hedge against the possibility of another major economic recession. Those who do this argue that today's modern currencies hold no real value, and would quickly lose their value in exchange. Using this logic, gold coins would actually increase in value as an exchange unit as people began abandoning banks and other more traditional investment vehicles for a safer place to maintain their money. Gold has also maintained its value as a unit of exchange over thousands of years, unlike paper currencies and stocks and bonds that have not.
Regardless of why you are interested in currency made from gold, you can find the greatest amount of information on the internet or in volumes which deal with the subject of coin collecting. While there are loads of dishonest vendors both on the Net and offline, you can locate lots of trustworthy dealerships where you can choose to buy gold bullion and buy gold coins.
Learn more about US gold coins at the net's premiere site covering everything related to U.S. gold coins, US-Gold-Coins.org. Whether you're seeking to buy gold bullion or buy gold coins, everything you need is here including current spot gold price prices, gold related videos, and of course, our US Gold Coins Blog!
Published September 4th, 2008
Filed in Hobby
