American Buffalo gold coins have a relatively short history when compared with many other US gold coins. The 24-karat gold coin was first produced by the US Mint on June 22, 2006. While the coin has only been in existence for a little over five years, its popularity caught on like wildfire. The unique beauty of the coins as well as intense interest in gold investments have led coin collectors and investors to purchase large quantities of American Buffalo coins.
The surge in gold prices in recent years has made many collectors of American Buffalo coins small and large fortunes depending on the extent of their investment. To understand just how dramatic the increase in value of this coin has been since its inception, consider that the original 2006 coins were worth about $800. By 2011, the value of the each coin rose to over $2,000. Investors in these coins were able to more than double their original investment.
American Buffalo coin enthusiasts appreciate the stunning design imprinted on these US gold coins. The design is based on James Earle Fraser’s original design for Indian Head nickels. Fraser was an American sculptor born in 1876. Fraser took part in frontier life and witnessed Native Americans being driven west into Indian reservations. His experience left a deep impression on him and led to many art pieces depicting Native Americans and bison. The Indian Head nickel was one of his most famous artistic endeavors.
Fraser designed the profile of a Native American man based on three American Indian tribe chiefs named Iron Tail, Two Moons, and Big Tree. Each man posed for him so that Fraser could capture their images.
The American bison on the reverse side of the coin stands on top of a mound of dirt. Fraser’s depiction of the bison was based on an actual bison named “Black Diamond” who was living in the Central Park Zoo in New York City at the time.
Included on modern-day American Buffalo US gold coins are the words, IN GOD WE TRUST, and $50 1 OZ. 9999 FINE GOLD. In contrast, Indian Head nickels included the words FIVE CENTS.
While gold American Buffalo coins are now only offered in the one-ounce size, there have been rumors that the U.S. Mint plans to release fractional versions of the coin. This will allow investors and coin collectors more affordable options. One exception is the Double Prosperity set of gold American Buffalo coins that includes a one-half troy ounce coin.