History of US Coins – Rare and Vintage Eras

Key Takeaways:

• Age is the biggest factor for rarity.
• The location of a coin’s mintage can make a big difference.
• Historical factors, including wars or government policy changes, can create rarity in unusual spots.

Coinage in the land of the United States predates the country itself. Even during the days of the thirteen British colonies, people in the proto-US used a variety of coins in trade.

The US itself began producing coins in 1793. The debut of official American coinage occurred a year after the Coinage Act of 1792 established the dollar as the currency of the new country, mandated the creation of the US Mint, and directed the mint to begin producing coinage in specific denominations.

Interestingly, however, the rarest and most valuable coin in US history is a product of the 20th century. A lone 1933 Double Eagle sold in 2021 for a record $18.9 million at a Sotheby’s auction to an anonymous buyer.

We’ll go over the reasons behind this coin’s price in the sections below. As indicated, rarity is not always a function of age, so we’ll discuss the different eras of American history that have produced the country’s rarest and most vintage coinage.

Colonial and Early American Coinage (Pre-1792)

Settlers from Europe began arriving in the lands that would become the United States during the 17th century. Most notably, the British would eventually create the 13 colonies that became the earliest members of the new USA.

However, during the colonial period, the media of trade were all over the place. There was no official coin of the colonies for much of the early period, and coinage from the French, Spanish, and Portuguese intermingled throughout.

Spanish Milled Dollars

In an attempt to quell some of the mess, Britain’s Queen Anne issued a proclamation in 1704 that designated the Spanish milled dollar as the currency of the colonies. The Spanish dollar was declared equivalent to six British shillings by the proclamation. Incidentally, the term “pieces of eight,” a phrase known by fans of the Pirates of the Caribbean film franchise, stems from this coin piece, which was commonly divided into eighths in order to make change.

The Spanish dollar remained the official currency in the colonies until the Revolutionary War. However, even though a vestige of the unpopular British Empire, the Spanish dollar served as the basis for the new country’s official currency.

In fact, US law did not disallow the Spanish dollar as an acceptable medium of trade in the early United States. The pieces of eight remained legal tender all the way until the Coinage Act of 1857, which banned foreign currency as an acceptable coin of the realm. Incredibly, vestiges of the Spanish dollar persisted in the US until the year 2000, when the New York Stock Exchange transitioned from stating prices in eighths of a dollar into the current decimal system.

Massachusetts Bay Colony Coins

Now, the installation of the Spanish dollar was a bit problematic for the colonists due to the fact that most of the colonies were not permitted to issue their own coins. Many colonial governments began to chafe about this restriction, so it probably came as little surprise when the Massachusetts Bay Colony began producing its own shillings in 1652, which were valued to be worth 12 pence. The Boston-area mint also produced smaller silver coins in six, three, and twopence denominations.

The colony would produce these coinpieces for thirty years. However, with the exception of the twopence pieces (stamped with 1662), all issues from this period bore a 1652 mintage date. It’s possible that this universal mintage date served to conceal the continued production from the British government, but in all likelihood, the date simply paid tribute to the year during which the Massachusetts Bay General Court authorized the creation of the coins.

There were three versions of the Massachusetts shilling issued during the thirty-year run, and all of them bore the image of one of the trees native to the colony. The first two versions were the willow (1652 – 1660) and the oak (1660 – 1667), but the Pine Tree Shilling (1667 – 1682) is the most famous iteration of the bunch.

Needless to say, any of these pieces is a valued collectible. After all, some of them are nearly 400 years old, and all of them were produced illegally at the time. So, there is a tremendous amount of scarcity and rarity associated with them.

Higley Coppers

The English authorities shut down the Massachusetts shilling production in 1682. In doing so, the Crown further reinforced the notion that the production of coins was forbidden inside the colonies.

However, colonists still had to contend with coin shortages as they attempted to conduct business. So, many private or home mints attempted to fill the vacuum. One of the most famous examples of these private coins is the Higley copper.

Samuel Higley was a prominent doctor, businessman, and landowner in early 18th-century Connecticut. One of his holdings was a 130-acre piece of land that, among other things, was home to a copper mine. Higley, also a skilled blacksmith, produced the first steel in the history of the colonies, so it was natural that he might produce coinage of his own using the materials sourced from his mine.

Much of the usage of Higley coppers is lost to history or apocryphal, but their usage during this period is confirmed true. Several examples are kept by the Smithsonian, and auctions of them routinely yield results in the tens of thousands of dollars, even though they are likely in poor condition.

The Fugio Cent

Though the United States wrested its independence from the British in 1783, the Constitution would not become the law of the land for another six years. However, in 1787, the Confederation Congress issued its first official coin – the fugio cent.

The fugio cent was a copper coin that, in many ways, served as the predecessor for the creation of the penny. Although only a rumor, it is possible that the designer of the fugio cent was none other than Benjamin Franklin. To be fair, the namesake motto referring to the passage of time and the pointed “Mind Your Business” stamped across the coins’ obverse certainly could have come from the Founding Fathers’ elder statesman, but there’s no way to know for sure.

Establishment of the US Mint & First Major Issues (1792–1830s)

The ratification of the US Constitution in 1789 ushered the new country, more or less, into the form it takes today. Three years after the emergence of the new United States as a settled country, Congress passed the Coinage Act of 1792. Here are the highlights of the law:

• The creation of the US Mint
• The establishment of dollars and cents as the official currency
• The specifications of the new coinage and associated direction to mint officials

Thus, the first official coins of the constitutional republic began to appear in 1793. However, minting processes in the late 1700s and early 1800s were rather primitive, and the new government refinery struggled to meet demand in any kind of reasonable measure.

Additionally, most of the early coins were shipped overseas for international trade and/or melted down for their metal content due to the curious valuation that the Coinage Act had designated. Gold was set, by statute, to be valued at a 15:1 ratio with silver, which was significantly different from the world market’s valuation.

The result of all this turmoil is that the early US Mint produced quantities of coins that were largely insufficient for demand. Their low mintages and common disposition mean that any coins from the early days of the United States are genuine and rare historical artifacts, and are thus among some of the most valuable coins today.

Key Coins

If you find a genuine coin from this period, please take care of it. Even the unremarkable specimens are valuable. However, there are a few coins that stand out from the rest as particularly noteworthy:

• 1793 Flowing Hair Chain Cent – It is likely the first coin ever produced by the US Mint, and was only in production between February and April of 1793. Needless to say, any of these coins are incredibly rare and valuable, and sell for hundreds of thousands of dollars.
• 1794 Flowing Hair Silver Dollar – The most important early coin produced due to its status as the standard bearer for the new currency system. These coins have sold for millions of dollars, including a 2013 auction sale that exceeded $10 million.
• 1804 Draped Bust Silver Dollar – One of the rarest and most celebrated coins among numismatists due to its unique and extensive history. Part of its appeal is its inherent misnomer – none of them were minted in their stated year, but were produced in 1803 in limited numbers and discontinued due to rising silver prices. For many years, only 15 of these specimens were known to exist, and the earliest Grade I coins have sold for more than $4 million. However, the recent discovery of a 16th 1804 silver dollar may mean that a new record value for the coin is in the offing.

Historical Events and Laws That Shaped US Coin History

Though the coinage mentioned above was the beginning, the early days of the US Mint are not the full story of America’s numismatic journey by any means. There were several key events and new laws that moved the history of US coins significantly. Here is the rundown on each of those key moments:

• The Coinage Act of 1792 – As mentioned, the first coinage act in American history established the basis for the country’s entire monetary system. The notion of dollars, cents, and the first coins of the country arose from this law.
• California Gold Rush (1848 – 1856) – One of the reasons behind the low mintage numbers during the first half-century of the United States was that the country’s access to the required precious metals was limited. That situation changed dramatically and permanently when gold was discovered at Sutter’s Mill in California. The resulting gold rush injected tremendous amounts of gold into the economy and paved the way for significantly higher mintage numbers.
• The Coinage Act of 1873 – Gold and silver had both served as redeemable metals during the first 80 years of the United States. However, the “Crime of 1873” signaled a move away from silver when it decertified the silver dollar as a form of legal tender. The resulting national debate culminated in the 1896 Presidential Election, where the contentious election of William McKinley over bimetallist William Jennings Bryan set the stage for the official adoption of the gold standard in 1900.
• Executive Order 6102 – Thirty years after the gold standard’s official emergence, the US found itself mired in the Great Depression. The country, desperate for a solution, turned to Franklin D. Roosevelt and his progressive New Deal to right the nation’s ship. After his election in 1932 – the first of four – Roosevelt issued Executive Order 6102, which criminalized the “hoarding” of gold, demanded that citizens surrender their gold, and all but ended private ownership of gold. As a result, many gold coins from this period were melted down (to form the basis of the gold stored at Fort Knox), and surviving specimens have the potential to be quite valuable. The EO was codified into law the following year with the passage of the Gold Reserve Act of 1934.
• Public Law 93-373 (1974) – The prohibition of gold bullion in the hands of citizens lasted for more than 40 years, and ended through a rather unlikely source. President Gerald Ford, serving only for his abbreviated term, enacted Public Law 93-373 to authorize increased US participation in the International Development Association, a World Bank affiliate focused on issuing interest-free loans to extremely poor countries. Within the relatively anonymous law as a sort of “oh, by the way” clause, Ford rescinded the Gold Reserve Act and allowed Americans to begin gathering gold again. Thus, the modern American numismatic movement was born.

Key Vintage Eras & Rare Types (Mid-1800s–Early 1900s)

20th Century Rarities & Discontinued Issues

If it was not clear in the sections above, the 20th century was a tumultuous time for coin collecting and numismatics. The confiscatory 1934 law would be problematic enough, but this government action fell in the 20 years between two world wars, and quality assurance standards in the early 20th century still permitted the possibility of notable misstrikes, error coins, or the production of coins with the wrong design. Here are some of the 20th-century coins considered most valuable and coveted by coin collectors:

• 1913 Liberty Head V Nickel – The 1913 Liberty Head V nickel is one of the rarest and most valuable American coins known to exist. In fact, the very existence of the five known specimens is a mystery, as the 1913 issue of nickels was mandated to use the new Buffalo design, not the previous Liberty one. Thus, in a sense, these five coins are not even supposed to exist at all, and each one of them has commanded millions of dollars at auction.
• 1933 $20 Saint-Gaudens Double Eagle – We already discussed the record-breaker above, but it bears repeating in the context of the climate in which it came to be. The fact that any of these coins survive is a minor miracle, and the fact that they sport one of the most beloved coin designs in the country’s history makes them all the more attractive.
• 1943 steel cent – The US entered World War II in December 1941 after the bombing of Pearl Harbor, but the ongoing war effort had created a shortage of several metals, including copper. Thus, in 1943, the US Mint pressed its only circulation coin to date that featured a 99% steel composition. These steel cents are valuable collectors’ items due not only to their appearance, but their historical significance as a reflection of the last great war.
• 1943-D copper penny – As it turns out, an even rarer and more valuable 1943 penny exists – the 1943-D copper penny has exactly one known specimen. Only about 40 copper 1943 pennies are known to exist, but all except this one came from the mints in Philadelphia and San Francisco. All 40 are quite valuable, but this one-of-a-kind piece last changed hands in 2010 for a reported $1.7 million – making it the most valuable penny of all time.

Please note that silver was subject to similar confiscations under President Roosevelt. So, any silver or gold coins with a pre-1933 mintage date are worth your attention, even if they aren’t some of the coins mentioned explicitly on this page.

Most Valuable Rare US Coins in History

Collector Appeal of Rare Coins

Coin rarity is a function of several factors. Unsurprisingly, the primary one is the age of the coin, but the complete picture of a coin’s rarity typically involves one or more of the following:

• Mintage numbers – The US Mint does not always release the same number of coins each year. Even though the coin designs may be the same, supply shortages, decreasing demand, or production difficulties can result in coins from particular years being rarer and more valuable than others.
• Mintage locations – The total number of coins produced isn’t always a determinant of rarity, either. Even if a coin series was minted in adequate numbers, coins minted at nonstandard locations can be considered rare items. So, even if a coin is common, it may be considered rare if produced at an uncommon location.
• Coin condition – One of the touchier aspects of numismatism is the fact that coin collectors must take significant care to maintain the condition of their coins. Scuffs, nicks, or even common wear and tear can significantly degrade a coin’s value, but coins that manage to retain their condition as they emerged from the US Mint itself are understandably rare – especially as coins get older – and their value is never higher than when they are still in mint condition.
• Historical significance – The expression “may you live in interesting times” is an apt wish for coin collectors when they refer to their holdings. Coins that happened to be minted during significant historical periods gain value simply by virtue of their mintage dates. In addition, the historical situations can precipitate lower mintages, nonstandard mint locations, or composition changes that make for a rarer piece. So, if a coin is contemporaneous to an event or period in American history, it may be worth keeping.
• Minting errors – Like any human endeavor, minting coins is an imperfect process. Even in modern times, coins may be pressed and issued with errors. Common errors include double strikes, off-center strikes, or other askew elements. Occasionally, there may even be errors where the mint workers used the incorrect planchets to make the coins. Any of these situations can result in rarity and value – particularly if the coin’s condition and other details about it add to its rarity.

Learn more: What Makes a Coin Rare?

Final Thoughts

Every single coin that the US Mint has released is a piece of American coin history. The details of a coin’s design, composition, and condition serve as a reflection of the conditions evident in the country during the years of the coin’s mintage.

However, a rare coin now is never going to be less rare in the future. Additionally, some coins that may not be rare today could become so in the future.

In either case, rare and vintage coins are set to inspire collectors with their designs and their stories for the remainder of human history. So, even though there are some record auction prices above, don’t expect them to remain the titlists forever.