Know Your Liberty Gold Coins

Spot gold prices are expected to surge to $2,500 an ounce by the end of the year, JPMorgan said on August 8, 2011. Analysts expect gold prices to climb in response to the expected volatility following the downgrade of US debt by credit rating agency Standard and Poor’s. JPMorgan analysts Colin Fenton and Jonah Waxman said in a research note to clients, “Before the downgrade, our view was that gold could average $1,800 per ounce by year end. This view will likely now prove to be too conservative.”

Liberty gold coins are among the most popular gold options. The price of these coins as of 8/19/2011 is very low compared to the spot price (they are undervalued). With the spot price of gold expected to skyrocket by the end of 2011, there is increased interest in Liberty gold coins.

Get to Know More About Liberty Gold Coins

Among the popular Liberty gold coins are the Liberty Head Double Eagle Coins, which were touted as the “King of US Gold Coins” in the 1800s. This coin was minted over a very long period, from 1849 to 1907, against the backdrop of the California Gold Rush. Thus, the minting of this coin saw more than ten US Presidents serving their terms, from Zachary Taylor to Theodore Roosevelt. In America, during the nineteenth and early twentieth centuries, these Liberty Head Double Eagle Gold Coins were a symbol of prosperity.

In 1850, 1.2 million Liberty Head Double Eagle Gold Coins were minted at the Philadelphia and New Orleans Mints. However, during the lifetime of the coin, it has been minted at five different US Mints, including Philadelphia, New Orleans, San Francisco, Denver and Carson City. The Carson City Mint coins are the most popular and highly demanded numismatic gold pieces.

This $20 gold piece is a big chunk of almost one ounce of gold. It is a reeded edge gold coin, weighing 33.436 grams. Although not as aesthetically appealing as the Saint Gaudens gold coin, the Liberty Head Double Eagle is a classic and rare gold coin.

The Liberty Head Double Eagle Gold Coin was designed by the US Mint’s chief engraver James B. Longacre. Its obverse design is the Greek rendition of the Liberty Head. It had an arresting reverse design of a dauntless eagle with a US shield on its chest. There are three varieties of the Liberty Head Double Eagle Gold Coin:

• “No Motto” (1849-1866)
• “Twenty-D” (1866- 1876)
• “Twenty Dollar” (1877-1907)

It was in January 1850 that the regular production of the Liberty Double Eagle first began. Only one such gold coin remains presently with the Smithsonian National Museum of American History. Anyone investing in the Liberty Head Double Eagle Gold coins should be aware of coin grading to avoid any losses. A spectrum of coin grades has been developed by the American Numismatic Association to avoid people from being cheated. In the late 1980s, an investor made an over-graded investment of $150,000 into old US gold coins, whereas his investment was valued at less than $35,000 at that time. It is important to be careful while buying such rare coins and they should be checked for authenticity as well as the grades assigned to them by organizations like the ANA, PCGS and NGC.

New York attorney Harold S. Bareford collected the most complete set of authentic US gold coins ever seen from 1945-1955. He spent close to $13,800 on collecting the coins. When this collection was auctioned in 1978, its net worth had escalated to $1,287,215! Wonder what they would be worth today!