American Gold Buffalo Coins

About Gold coins

The American Gold Eagle coin is arguably the most popular U.S.-made bullion coin. It’s got an excellent design, a historic finish, and several other things going for it. But one aspect the purists may not appreciate is its gold content. Although high, a gold percentage of 91.7 percent is not all gold.

The American Eagle coin is not devoid of its share of followers, however. But those seeking 24-karat gold coins steer away from it. Instead, they look to the Canadian Maple Leaf, Australian Kangaroo, and Austrian Vienna Philharmonic gold coins. Even U.S. coin investors/buyers have opted for non-American gold bullion coins because they don’t have an American option.

The American government took notice of the status quo and wanted to change that or have a U.S. bullion coin made of just gold. The American Buffalo gold coin was thus born in 2006. Despite the massive time gap, the Buffalo coin is no less popular than the American Eagle, primarily due to its makeup.

Let’s get to know the Buffalo gold coin in much more detail and why it’s such a sought-after coin. In this article, we’ll discuss:

• The American Buffalo gold coin, in general
• The various sizes of the coin and physical dimensions
• The Buffalo gold coin’s design and its contents
• The coin’s overall value, reasons to invest, etc.

We feel you if you’re stoked about buying a pure gold American gold bullion coin. But don’t put the money on the table already. Get to know the coin more and then decide. It’s also important to buy American Buffalo gold coins from the right vendors. Read on to learn more.

About the American Buffalo Gold Coin

Also called the “gold buffalo,” the American Buffalo gold coin is a 24-karat, pure gold bullion coin. The United States Mint first offered the coin to the public in June 2006. The coin is the first American bullion coin to be minted in pure gold. It was released under the Presidential $1 Coin Act (Public Law 109-145). Produced in New York at the West Point Mint, the gold Buffalo coins are legal tender, bearing a face value of $50.

As mentioned above, the Buffalo gold coin is the first American gold bullion coin to be 0.9999 fine. The thought to mint the coin stemmed from the desire to have an American gold coin that competes with foreign fine gold coins, such as the Canadian Maple Leaf and Austrian Vienna Philharmonic coins. The 24-karat gold bullion coin market accounts for nearly 60 percent of the global gold market, which the United States wanted to have a pie of.  

Since the Buffalo gold coin launch, demand has been great. The rush to buy the bullion was exceptionally high during 2008’s subprime mortgage crisis, when investors lost faith in paper money and sought refuge in an intrinsically valuable commodity, such as gold. The demand for Buffalo gold coins and others has subsided since that period, but there’s no denying that the bullion coin is highly sought after in the industry.

Specifications

The American Buffalo coin comes in four sizes: 1 oz, ½ oz, ¼ oz, and 1/10 oz. The 1 oz coin has been made since 2006. The fractional sizes were introduced a couple of years later, in 2008. Perhaps, as a result, the 1 oz variation is made in larger quantities or is a lot more readily available for purchase than the other three sizes.

Particulars	1 oz	½ oz	¼ oz	1/10 oz
Diameter	32.7 mm	27 mm	22 mm	16.5 mm
Thickness	2.95 mm	2.24 mm	1.83 mm	1.19 mm
Weight	31.1 g	15.55 g	7.776 g	3.11 g
Face value	$50	$25	$10	$5

In 2008, an uncirculated variant of the one-troy-ounce gold Buffalo coin was released, which is also quite popular among investors.

Why Invest in the American Buffalo Gold Coin?

Gold American Buffalo coins are ideal for those who want to buy a 24-karat gold coin made in the United States. And because it’s the only American bullion coin made of pure yellow gold, it often trades at a price premium or above the current market price of the gold it contains.

American Buffalo Gold Coin Design

The American Buffalo gold coin’s design is based on the Indian Head nickel (the early 1913 Type 1 issue). James Earle Fraser designed the iconic Buffalo nickel coin, which inspired the 2001 Smithsonian coin. The Indian Head nickel coin design is considered one of the best among U.S. bullion coins, showcasing the American West’s native beauty.

The front or obverse side of the American Buffalo coin depicts the right-profile shot of a native American. The depiction is a mix of the features of three American Indian Tribes’ chiefs: Big Tree, Two Moons, and Iron Tail. The respective heads came forward to model for the sketch. The front also has the motto “LIBERTY” inscribed at the top-right. The year of mintage is on the bottom left, with the letter “F” denoting Fraser below the year inscription.

The reverse side has the image of the American bison, with the official motto “IN GOD WE TRUST” inscribed on the bottom left, right below the bison’s head. The motto “E PLURIBUS UNUM” is toward the top right, above the bison’s lower back. The words “UNITED STATES OF AMERICA” is inscribed along the top. At the bottom, the coin’s face value, size, and purity information are mentioned. The edges are reeded.

American Buffalo Gold Coin Metal Contents

As mentioned earlier, the gold American Buffalo coin is the first pure gold coin to be minted in the States. It’s 99.99 percent pure gold or 0.9999 fine. A troy-ounce coin contains 31.1 g of unadulterated gold.

American Gold Buffalo Proof Coin

The American Buffalo gold coins have proof versions too. The coin’s design and finish are identical to the regular coin, except that it’s minted in limited quantities and usually challenging to procure. Contrary to general perception, proof coins are called so for the specialized minting they undergo.

The coin is subjected to a unique minting process that entails manually feeding the gleaming coin blanks into special die-fitted presses. The coins are struck several times, so the highly detailed and softly frosted images seem to glide over the field. The black presentation case it comes encapsulated in has the United States Mint seal. There’s a certificate of authenticity to go with it too. Most notably, only the proof versions of the American Buffalo coin have the mint mark “W” on the front.     

For instance, this $50 proof coin is a proof variant of the original 1 oz coin. Its mintage has been limited to 300,000 coins, with an added enforced limit of just ten coins a household. The 2006 proof American gold coin’s catalog number is (BA6). In 2013, the U.S. Mint issued a special reverse-proof coin to commemorate the original American Buffalo Nickel design’s 100^th anniversary. “Reverse proof” means reversed features, a clear mirror-finish design on the front, and a frosted, matte solid look on the rear surface. 

American Buffalo Gold Coin Value

The American Gold Buffalo coin has different face values based on the sizes. But because the coin is fine gold, the mentioned values are only symbolic. The coin’s actual worth corresponds to the current gold spot price. Because the coin is the first fine gold American bullion coin, it’s quite popular amongst buyers seeking pure gold American coins, pushing the prices further up.

The very first version of the coin was worth $800. The price rose to $899.95 a year later in 2007. In 2009 and 2011, the coins were worth $1,410 and $2,010, respectively. As of December 2022, a 1 oz American Gold Buffalo coin was selling for more than $2,000. Based on the dealer, prices may vary. Some dealers also offer variable prices based on the mode of payment (wire, crypto, card, etc.).

If you come across American Buffalo gold coins for cheap, those are likely privately issued (not by the United States Mint) and may not be entirely gold. Only the coin’s exterior could be gold-plated, for instance.

American Buffalo Gold Coin: Where to Buy

The United States Mint doesn’t sell the American Buffalo gold coins to the public directly. They are purveyed through official distributors instead, referred to as authorized purchasers. They include SD Bullion, JM Bullion, APMEX, Kitco, etc. Online retailers deliver the coins to any part of the world. One of the reasons to buy the American Buffalo gold coin or any other gold bullion coin from a recognized retailer is the right prices and not being handed over fake coins.

Which American Buffalo Gold Coin Variant Should You Buy?

The 1 oz American Buffalo gold coin is the best variant to buy. Since its production is greater than the other three sizes, it usually sells for a lesser premium comparatively. The relative rarity of the other three coins usually translates to more premium prices. For their splendor and novelty, the smaller size variants are quite sought after.

Conclusion

If you’re looking to invest in bullion coins, you have a veritable option in the American Buffalo coin. It’s pure gold, made in America, and eligible for a precious metals IRA. The high precious metal content makes the coin attractive when paper money loses its sheen. Even if not for the clout among investors, the coin is undoubtedly valuable for its intrinsic value.

Despite being relatively new to the bullion coin space or not having the cachet similar to the Austrian Vienna Philharmonic and Canadian Maple Leaf gold coins, the American Buffalo coin holds its own pretty well. 

The proof coin versions are a much better choice if you want a highly pristine version of the American Buffalo coin. Hopefully, this article highlighted every aspect of the coin, helping you make a sound investment decision. Kindly go through our coverage on other precious metal content coins to know more about the other coins mentioned (or not stated) in this write-up.