The Krugerrand Gold Coin You’ll Want to Learn More About | TopNewsGazette

The Krugerrand Gold Coin You’ll Want to Learn More About

Often it isn’t until a recession or times of economic/financial panic occur that middle-class Americans and conservative investors truly consider the impact of gold on their portfolio.

While diversifying into precious metals shouldn’t be a decision you make without research, there are opportunities to invest lightly so you can begin to understand the potential that certain metals might have for your financial future when the dollar dips, but gold and silver stay stable, perhaps even growing. Recently, the Krugerrand gold coin popped up on my radar, and could potentially become the first gold coin you consider looking into.

The Krugerrand Gold Coin You’ll Want to Learn More About
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In the aftermath of the lifting restrictions on the FDR era gold laws, restricting private ownership of gold ingots, coins, or any way of exchanging value in 1975, a rush of interest in collecting and the investment of gold hit the market. According to financial expert Paul-Martin Foss at Redtea.com, the Krugerrand became one of the most sought after coins of the period and is coming back into popularity now. According to Foss “With South Africa positioning itself as the world’s top producer of gold, the Krugerrand was developed as a way to market South Africa’s gold to investors abroad. The coin’s obverse features an image of Paul Kruger, the President of the South African Republic from 1883 to 1900. The reverse features an image of a springbok, an antelope commonly found in southern Africa.”

Coins like this are sought after because of the unique history regarding its minting alone, and due to South Africa’s own growth and changes over the past four decades, this pre-apartheid minted coin brings with it an additional sense of history with it. Foss continues stating “Due to the South African government’s policy of apartheid, numerous governments including the United States began to ban imports of the Krugerrand in the 1980s.

They also began to mint their own gold bullion coins to service continued investor demand for gold coins. The United States banned importation of the Krugerrand in 1984 and began production of the American Gold Eagle in 1986.” One important detail to understand specifically for investors is that the Krugerrand is not a coin you will be able to invest in for a gold IRA since existing legislation in the United States is meant to benefit the American Gold Eagle instead of this South African coin.

While the Krugerrand might not be as popular as the American Gold Eagle, it is still widely sought after and is still a cheaper investment than its American counterpart, making it a prized possession for collectors and investors alike.

Source: RedTea


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