The British Gold Sovereign just might be the oldest gold bullion coin still traded today as gold bullion. Originally minted back as far as 1489, the Gold Sovereign as we know it today started minting in 1816 as the British Empire expanded under Queen Victoria. During this period in the 1800s, it came to be the world’s most widely distributed gold coin.
Gold Sovereigns can also be minted from other countries such as Canada, Australia, and South Africa. However, the most common coins in modern day are minted in Australia.
Gold Sovereigns can be for the gold investor or for the coin collector. As for the gold investor, usually he or she will want to buy the most recent minted coins as those coins will be closest to the price of bullion. But for the collector, The Gold Gazette isn’t the place to find out information for the collector.
If an investor is looking to buy sovereigns older than the most recent mintage be sure to look closely at the quality. Goldprice.org advices investors saying, “The quality of the coin has become more important here with an attractive and perfectly minted coin having a much higher value than one which has been worn or chipped. It is important to be able to ‘grade’ the condition of gold coins.”
The investor can snag older sovereigns near the current bullion price. Coin & Stamp Gallery Inc. explains why the coins can be bought at near bullion prices noting that, “because of the huge output of gold Sovereigns at that time, and the fact that they have been traded and hoarded all over the world ever since, these roughly nickel-sized gold coins are available today at bullion prices. Although these coins are sometimes promoted as ‘scarce” and marked up outrageously by numismatic sales companies, in fact, they are currently available at bullion prices.”
Avoiding Counterfeit Sovereigns
A large Gold Sovereign coin seller know as Chard warns buyers of buying fake coins on eBay and elsewhere online. Their website gives warning to buyers saying, “day after day, we see misleading, fraudulent, or counterfeit items offered for sale on eBay.”
To avoid buying counterfeit coins there are a few tips. Deal only with reputable coin dealers, ask an expert, and do your homework.
The British gold sovereign coins weigh 8 grams and contain just under a quarter-ounce of gold (.2354 troy ounce).