5 Important Things to Know about 1 oz Gold Krugerrand

It is hard to find another gold coin that will encompass so many benefits of owning it than a 1 oz Gold Krugerrand. Unsurpassed quality, high investor and numismatic demand and low premium costs compared to other coins of its class, place this product among the top choices to buy no matter if you are shopping to replenish your collection or portfolio. These coins are struck using 22 karat gold making them super scratch resistant and able to preserve their original shape.

1. Most Minted Coin In History

The 1 oz gold Krugerrand is the most minted coin in history. When all the sizes of Krugerrand gold coins are added together, there will be more Krugerrands than any other type of coin, making them one of the most recognized by investors and others around the globe. These coins have a distinctive look and a rich interesting history behind them. Did you know that in the early 1980’s 1 oz Gold Krugerrand bullion production totaled 90% of the world bullion market. Not a lot of coins, even Canadian gold bullion, can boast such vast market shares.

2. Legal Tender

A 1 oz gold Krugerrand was the first bullion in the world that acquired the status of legal tender currency in South Africa. Krugerrands are legal tender, and they have a known weight and quantity which makes them very desired and sought after. These coins have been minted since 1967, and can be a fantastic investment with relatively low premium costs compared to other similar bullion products.

3. Not As Beautiful but Just As Valuable

Krugerrand Gold bullion coins that come in various sizes ranging from 1/10 of an oz all the way up to a full oz, are not considered the most aesthetically appealing coins among the rest of the bullion products. They certainly cannot compete with the luster of Canadian Maple Leaf coins or Austrian two-tone design of Chinese Pandas but Krugerrands are rather sought after because of their low cost of investment in physical gold that these coins can give you. They may appear rough or unpolished, but they are still just as valuable in spite of this appearance containing a full ounce of rich South African Aurum.

4. Twenty Two Karat vs. Twenty Four Karat

While some one ounce bullion coins, like Gold Maple Leaf coins, are twenty four karat this is not true of Krugerrands. A 1 oz gold Krugerrand is twenty two karat composition or made up of 91.67% pure gold and copper alloy giving it a coppery tint. Most other bullion coins have copper and silver alloy, however, copper in its composition makes them more scratch resistant. Therefore, your 1 oz Gold Krugerrands will stay in their “like new” condition for years to come preserving their value.

5. Coin Specifications

The 1 oz gold Krugerrand still contains one troy ounce of the yellow precious metal, just like all of the other 1 oz bullion coins you can find. The twenty two karat composition does not alter the weight of the precious metal content used, just the finished product. If one of these coins is melted down and the two percent copper is extracted, what is left is one troy ounce of pure yellow precious metal. 1 oz Gold Krugerrands are produced by the South African Mint in 3 variations bullion, non proof and proof. Bullion varieties come with minimum premiums allowing investors to minimize investment costs. Non-proof variety features a more refined design with more ridges on the edge of the coins. Proof Gold Krugerrands are issued in limited editions with more serrations and frosted and mirrored finish which changes from year to year. Non-proof and proof coins carry much higher premiums are targeting collectors rather than investors.

Most precious metals experts agree that Krugerrands are some of the best bullion coins to acquire due to their high quality, demand and wide accessibility. In addition, they also come at surprisingly low dealer premium costs allowing you to enter the precious metals investment market at an affordable cost.