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Coin Rarities & Related Topics: The Fun Has Begun

Greg Reynolds — Wed, 05 Jan 2011 13:35:16 +0000

News and Analysis on scarce coins, coin markets, and the coin collecting community #34

A Weekly Column by Greg Reynolds

While the Summer ANA Convention includes a wide variety of items of interest to collectors of U.S. coins, paper money, tokens and medals, plus some coins of the world, the Winter FUN Convention is the leading event of the year in the field of rare U.S. coins. Today’s discussion will be a little shorter than usual as I am busy in Tampa viewing coins, witnessing events and gathering information during FUN week. Yes, the winter FUN Convention formally begins on Thursday, at the Tampa Convention center. Coin related events, however, have already occurred.

I. B&M Pre-FUN Auction

I attended the Bowers & Merena pre-FUN auction on Tuesday at the Grand Hyatt Hotel, which is near the Tampa Airport. In last week’s column, I discussed the fact that Bowers & Merena and Stack’s are in the process of merging. The new Stack’s-Bowers president, Chris Napolitano, was in attendance. It was made clear that QDB and Chris Karstedt would continue to play roles in Stack’s-Bowers. Brad Karoleff, the longtime auctioneer for B&M, and Melissa Karstedt, an auctioneer at Stack’s, served as auctioneers during Tuesday night. Unfortunately, as this auction did not finish until well into Tuesday night, there was not time for me to thoroughly analyze this event.

On Tuesday, the lot viewing room for the B&M auction was packed. There were, at times, people waiting for seats in a fairly large room on the main floor of a very large hotel. My sources tell me that lot viewing attendance was excellent on Sunday and Monday as well, and that there were many collectors and dealers viewing at Heritage’s lot viewing room at the Tampa Convention center on Monday and Tuesday. So far, there seems to be even more interest in the FUN auctions than there was last year. It is too early, however, to draw a conclusion on the topic of collector interest in FUN week auctions.

In my column of Dec. 8, I raised the topic of FUN auctions, and I then provided explanations as to the general importance of January FUN auctions. My column of Dec. 8 is primarily about Jim O’Neal’s landmark set of Indian Head Half Eagles ($5 gold coins) and I remind readers that I wrote a two part series on O’Neal’s Eagles ($10 gold coins) in 2009. Please also read my article about the Jan. 7, 2010 Platinum Night event. (As usual, clickable links are in blue.)

In my column of Dec. 22, I focused upon the Henry Miller collection, the core of which Heritage will auction on Thursday, during Platinum Night. On Dec. 15, I wrote about the Malibu set of Proof Liberty Seated Quarters. The collector known as ‘Malibu’ also consigned Proof Liberty Seated halves and silver dollars to Tuesday night’s event, plus a few other coins. As I earlier suggested, his set of Proof Liberty Seated Quarters is far more spectacular than his respective sets of halves and dollars. I was delighted to finally have the opportunity to view all of his Liberty Seated Quarters, Half Dollars and Dollars.

It is not practical to write here about the whole auction or even about all of the coins from the consignment of the second part of the Malibu collection, As the Proof Liberty Seated Quarters from the 1860s were really special, perhaps the best ever collection of these, I will discuss several of them here.

II. 1860s Proof Liberty Seated Quarters

I like the Malibu Proof 1865 quarter, though not nearly as much as I expected to like it. I agree with its ‘Proof-66 Cameo’ certification, and I respect its CAC sticker, though I have seen better Pr-66 Liberty Seated Quarters including other coins in the Malibu collection. The price realized of $12,650 is certainly a retail level price and a successful auction result.

Actually, the next lot, #511, another Proof 1865 quarter, though not part of the Malibu collection, was probably a better value. It is PCGS certified Proof-64 Cameo, and, like the Malibu 1865 Quarter, has a CAC sticker of approval. In my view, it is just beautiful and may be undergraded. This coin’s toning, which is definitely natural, is stunning, especially when this coin is tilted under a light. It realized $2415, I believe.

I really like the Malibu 1866, which is PCGS certified ‘Pr-64 Cameo,’ and is CAC approved. About it, Jeff Ambio says, “very colorful, quite smooth for the grade and” Jeff regards its toning as likely to be “original.” In my (this writer’s) view, the Malibu 1866 was dipped decades ago, and then naturally retoned, probably while in a coin album. It sold for $2186. (Keep in mind that these are preliminary auction results and will occasionally include errors. The auction house will post final, audited prices realized in the near future.).

The Malibu 1867 is exceptional. It is also PCGS certified ‘Pr-66 Cameo’ and it has a CAC sticker of approval. It was not one of Ambio’s favorite coins in the set, but it is one of mine. The wonderful natural toning is more than very attractive and this coin is technically impressive as well in that it has few surface imperfections. If my memory serves correctly, Laura Sperber was the successful bidder and the price was $8050, which is a good value.

Jeff Ambio and I are strongly in agreement in relation to the Malibu 1869 quarter. “This one is definitely original,” Ambio declares, “no worries here, just a lovely and solidly graded Gem.” Indeed, the Malibu 1869 is more than very attractive and the toning is definitely natural. It is PCGS certified Proof-66 and CAC approved. The reported price for this coin, as lot #516, is $4543.

The price realized of $11,500 for the Malibu 1870 was extremely strong. It is NGC certified PF-67 and it has a CAC sticker. Though the obverse (front of the coin) has an absolutely stunning look, it has some imperfections as well. The reverse (tail) has really neat steel blue toning, but it is not spectacular. In my opinion, this coin should not be worth a premium, though I admit that I like it. I would hope that non one figures that it should grade 68, though a casual glance at the obverse, without a magnifying glass, may give the impression that it should grade 68.

III. Barber Quarters

Though not particularly rare, and not candidates for finest known status, three Proof Barber Quarters in this auction captured my attention, largely because of their wonderful natural toning. I am referring to two 1892s and an 1894.

The first, lot #553, is PCGS certified Proof-66 Cameo. The variety, blend, and evenness of its natural toning are incredibly pleasant. The orange-russet, brownish-russet, green and other shades cannot be described in words. It sold for $2415, a high price for a poor person, though hardly a vast sum in the field of rare U.S. coins. This coin would be a good value for a connoisseur of U.S. coinage.

A second 1892, this one NGC certified PF-66, and CAC approved, has heartwarming tones of russet, green and gray. It has probably never been dipped or significantly cleaned. Plus, I suggest that it grades in the high end of the 66 range. This coin, as lot #554, garnered $2990. Lot #557, a PCGS certified Pr-66 1894 is terrific, too, and was reasonable at $2140.

As an aside, I note that a 1901-S quarter, a representative of the key date in the series, realized $20,987.50. It is PCGS graded Very Fine-20.

IV. Malibu Halves

The Malibu set of Proof Liberty Seated Half Dollars was nowhere near as nice, overall or in terms of the respective certified grades of the individual coins, as his corresponding set of quarters. Even so, there were many very attractive coins in the set and there was intense bidding for some of these at the auction.

There was a long bidding contest for the Malibu 1876, lot #738, which seemed to start at around $10,000 and ended at $16,100. The two ‘with arrows’ issues of the 1870s caused the most commotion. Both are PCGS certified ‘Pr-65 Cameo.’

It seemed that at least four people bid on the Malibu 1873 ‘With Arrows’ half before it sold for $18,400. My tentative impression is that the successful bidder was a Southern California dealer, who is almost always very active at B&M auctions. The 1874, lot #734, went to Laura Sperber for $16,100.

The Malibu 1879 half is really cool, though I could not get quite as excited about it as did the cataloguer. It is PCGC certified ‘Pr-67 Cameo’ and it is CAC approved. To some extent, it has a traditional ‘black and white Proof’ look. It does, though, exhibit even russet toning on and around the outer devices and periphery. It is sharply struck and has minimal imperfections. It is lighter in actuality than it appears to be in the online catalogue images. There is certainly no doubt about the assigned 67 grade and it may be the finest known Proof 1879 half. It sold for $18,400. The next lot, #747, another 1879 half that is PCGS certified ‘Pr-63′ went for $1092.50.

One of my favorite Malibu Liberty Seated Halves is the 1885. It is PCGS graded 67 and is CAC approved. It just has to be seen to be appreciated. The toning is incredibly pleasing and well balanced. A telephone bidder captured this prize for $12,650.

One of the reasons why I am focusing upon the Malibu collection is that many of the other coins are dealer-consignments or miscellaneous anonymous consignments rather than carefully assembled collections. There were a wide variety of coins in this auction.

One of the most important coins in this auction was an 1875 Quarter Eagle ($2½ gold coin), sold as lot #1350. Fewer than fifty 1875 business strikes survive, hardly any in high grades. This one is NGC graded AU-58 and I like it. It is an appealing coin. While it has some imperfections, it may be very difficult to find an 1875 business strike Quarter Eagle that is of higher quality than this one. Although the reported price of $18,975 seems high, this amount is a sound value from a logical perspective.

Next week, I will be writing about coins in the Heritage auction. I am very much looking forward to viewing them. I will also walk around the bourse floor and see rare coins that are available or on display for other reasons. The rest of the week will be even more fun.

Coin Rarities & Related Topics: The Ten Leading Topics of 2010

Greg Reynolds — Wed, 29 Dec 2010 16:10:08 +0000

News and Analysis on scarce coins, coin markets, and the coin collecting community #33

A Weekly Column by Greg Reynolds

This is my last column of the year 2010. It seems appropriate to list the ten leading topics of the year, starting with number ten.

Please note that I am referring to news relating to rare U.S. coins, not to coins actually minted in 2010 or to coins minted in recent years. In addition to often discussing rarities, I have written, and will write more, about classic coins that are not rare. Please see my two part series on why 1933/34 is the clear dividing line between classic and modern U.S. coins (part 1 – part 2), and my column on advice for beginning and intermediate collectors. I have recently written about modern coins as well. (As always, clickable links are in blue.)

X. The Fate of 1933 $20 gold coins

For decades, the U.S. Treasury Department has maintained that it is not legal for individuals to possess 1933 Double Eagles. Indeed, the Federal Government has allocated considerable funds to chase and seize 1933 Double Eagles ($20 gold coins).

In 2002, Stephen Fenton, who owned a 1933 Double Eagle, and the U.S. Treasury reached a settlement that stipulated that the Fenton 1933 Double Eagle be sold at auction and the proceeds, after the auction house’s commission, be split between Fenton and the U.S. Treasury Department, which granted title to the successful bidder. Sotheby’s, in partnership with Stack’s, auctioned the Fenton 1933 Double Eagle for $7.59 million on July 30, 2002. This result remains the auction record for a coin.

The Switt-Langbord family acknowledges inheriting ten 1933 Double Eagles. The U.S. Treasury Department and the Langbord family are currently involved in litigation over the title to these ten 1933 Double Eagles.

Although the Langbord case could have been more of a non-story than a story in 2010, as not much happened in Federal Court, it was discussed at length by innumerable collectors and received much attention in the media. Importantly, researcher Roger Burdette announced in 2010 that he unearthed government documents that demonstrate that the “first 1933 Double Eagles were struck March 2nd, during the Hoover administration.” Before Burdette’s recent find, the “assumed date was March 15 or shortly before, since that was the initial delivery date.” Moreover, Burdette discovered that the Mint Cashier was provided with forty-three 1933 Double Eagles on March 4 and these “balanced” the accounting of the production of 1932 Double Eagles as some 1932 Double Eagles were earlier found to be defective.

So, in my (this writer’s) view, some or all of these 1933 Double Eagles that were counted, for bookkeeping purposes, as 1932 Double Eagles could certainly have been traded to collectors and dealers. Documents discovered by Burdette support the argument that collectors may have legally traded earlier dated Double Eagles for 1933 Double Eagles before President Roosevelt ordered the Treasury Department to stop ‘paying out’ gold coins.

From the 1790s to the 1930s, there were many coins and other numismatic items that were released to collectors or dealers at the discretion of U.S. Mint personnel. For decades, as long as ‘the books balanced’ in that no gold or silver was missing, it was considered acceptable for collectors to obtain scarce or rare U.S. coins directly from U.S. Mint officials, provided that such collectors paid for the coins, often by trading relatively common coins for scarcer or rare coins. There are many privately owned U.S. coins and patterns for which no records survive, or for which records are incomplete, and these are generally regarded as being legitimately owned by collectors or dealers.

IX. 1794 Silver Dollars

In May, Steve Contursi privately sold his PCGS certified ‘Specimen-66′ 1794 silver dollar to the Cardinal Educational Foundation for a price reported to be “$7.85 million.” In August, the Boyd 1794 dollar was auctioned for $1,207,500. The Boyd 1794 is discussed in my column of June 23rd, and my analysis of the auction result is in my column of Aug. 11. The Boyd 1794 was NGC graded MS-64 and is now PCGS graded MS-63+. It is the fifth finest known 1794 dollar, behind the Carter-Contursi, Rogers-Stellar, Jimmy Hayes, and Norweb pieces.

The magnitude of the demand for 1794 silver dollars astonishes me. Yes, these are the first silver dollars minted by the United States. Even so, there are more than one hundred and thirty 1794 dollars in existence, including at least six that are truly uncirculated. Furthermore, there survive many naturally toned Very Fine or Extremely Fine grade 1794 dollars. Moreover, unlike 1796 quarters, 1796 ‘No Stars’ Quarter Eagles, and 1808 Quarter Eagles, 1794 dollars are NOT a one-year type coins. The Flowing Hair design was also employed for the production of silver dollars in 1795, and thousands of 1795 Flowing Hair dollars survive. In any event, it is clear that collectors fervently demand 1794 dollars and regard these as being of tremendous importance.

VIII. The sale of a 1943-D cent for $1.7 million

Curiously, the collector known as Simpson paid $1.7 million for the only known 1943-D cent that was struck in copper, rather than on a zinc coated steel planchet (prepared blank.) Certainly, this is a private sale record for a Lincoln Cent of any kind and for a Mint Error of any kind. About this transaction, please see my column of Sept 29. Regarding off-metal strikings of World War II era cents, please click to read my two part series on ones that sold in 2008 (part 1 – part 2).

VII. The Sale of Dr. Duckor’s Barber Halves

Among coin people who reveal their names and their viewpoints, Dr. Steven Duckor is the leading living collector. He is certainly one of the most sophisticated collectors of all time.

Collectors and other experts were overwhelmed when Dr. Duckor’s collection of Barber Halves was sold in the official ANA auction in Boston. Many auction records were set. More importantly, Duckor’s Barber Half collection served a great educational purpose for those who cannot afford to buy them, as the showing and auctioning of these halves enabled collectors to learn about the meanings of quality, natural toning, and special striking characteristics in regard to Barber coins. Though I strongly attempt to convey, in writing, aspects of coins that sophisticated collectors’ value, there is just no substitute for actually examining coins that are special. (Please read my articles on Duckor’s Halves, Part 1 – Part 2, and my column of Aug. 4th.) Also, many of Dr. Duckor’s halves were previously in other great collections, like those of the Norweb family and Emery-Nichols. Learning about choice and important coins that were in epic collections contributes to an understanding of the factors that determine greatness in U.S. coins and whole collections.

VI. The Rage for Type One Double Eagles

The year 2010 has been characterized by manic demand for, and increases in supply of, Type One Double Eagles ($20 gold coins), which were minted from 1850 to 1866. Though many collectors and speculators sold such coins during the year 2010, often to take advantage of relatively strong market levels for coins of this type, the demand not just ‘held up,’ the demand grew. My columns of May 19, of June 30, Aug. 11, and Sept. 22, cover specific, rare Type One Double Eagles that traded this year. Of course, there are thousands of other Type One Double Eagles that I did not write about, though I did discuss 1857-S Double Eagles from the shipwreck of the S. S. Central America. (Remember that links in blue are clickable.)

V. The Increasing Impact of the CAC

The CAC was founded by John Albanese in Oct. 2007. In my column of June 16, I reported that the CAC surpassed the $150 million level in coin transactions. Undoubtedly, the CAC has accrued total revenues of more than $175 million by now. Not only does the CAC approve (or reject) submitted coins that have already been graded by the PCGS or the NGC, the CAC competitively buys CAC approved coins, usually for premium prices. Frequently, a coin with a CAC sticker will sell for substantially more than a coin of the same date, type and certified grade, but not CAC approved. The CAC has dramatically changed coin markets and has served an educational function, as a significant number of the coins that the CAC rejects have been doctored or have other serious problems. In 2007 and 2008, the CAC was just beginning to accelerate and was being tested in the marketplace. In the year 2010, the CAC became much more widely accepted and really began to mature.

IV. The Combination of Stack’s and B&M

The news pertaining to B&M and Stack’s is very recent that it is much too early to judge its impact. According to a press release issued by Spectrum on Dec. 22nd, the parent of B&M, Spectrum, will own “51%” of the combined Stack’s-Bowers entity and Stack’s will own the other “49%.” Though the Anderson family, or entities they own, have a majority interest in Stack’s, Chris Karstedt and QDB are shareholders in Stack’s as well. If the new entity is 49% owned by Stack’s, not 49% owned by the Andersons, then will Karstedt and QDB remain shareholders? It is has already been announced that veteran dealer Chris Napolitano will be the president of the combined entity.

There are now just three auction firms that are widely recognized as specialists in rare U.S. coins, Heritage, Stack’s-Bowers, and the Goldbergs. All three firms also auction world coins, as do many other firms in the U.S. and elsewhere.

Some art auction firms sell coins, too. Art auction firms do not, however, have the same stature or command the same level of respect among coin collectors as the auction houses that specialize in coins.

In 2005, there were seven auction houses that specialized in scarce or rare U.S. coins: Heritage, B&M-Spectrum, ANR, Stack’s, the Goldbergs, Superior and DLRC. Before the end of that year, John Feigenbaum, the president of DLRC, had decided to stop conducting live auctions and focus instead on Internet-only sales. Less than two years after DGSE acquired Superior in 2007, DGSE shut down Superior’s auction division.

The Andersons bought a controlling interest in ANR, probably from Chris Karstedt, and then later acquired a controlling interest in Stack’s. By late 2006, ANR and Stack’s were awkwardly combining into one, and the ANR name was dropped. By May 2009, Harvey and Larry Stack had departed. Chris Karstedt and QDB seemed to be running Stack’s from New Hampshire, subject to oversight from the Andersons, who operate media companies in the South.

Presently, with just three U.S. coin-centered auction firms, there is much less competition in this field than there has been during the last four decades or so. Some accomplished economists contend that just two or three firms in an industry are sufficient for the benefits of competition to be actualized. I am, though, a little concerned by this lessening of competition.

III. The auctioning of a nickel for $3,737,500

Yes, it is true that the Eliasberg 1913 Liberty Nickel sold privately for $5 million in 2007. So, why is it so spectacular that the Olsen-Hawn 1913 Liberty Nickel sold for $3,737,500?

There is a tremendous difference between a private sale and an auction result. Before Jan. 7, 2010, a 1913 Liberty Nickel had not sold at auction since this Eliasberg 1913 realized $1,840,000 in March 2001. The Olsen-Hawn 1913 had last been auctioned for $962,500 in 1993.

The $3,737,500 result is tied for the third highest price that a coin has ever realized at auction. The $7.59 million price for the Fenton 1933 Double Eagle is mentioned above. On Aug. 30, 1999, B&M, then managed by QDB and Karstedt, sold the Childs 1804 dollar for $4.14 million. In April 2008, Heritage auctioned the Mickley-Hawn-Queller 1804 dollar for this same price, $3,737,500. Also, Sotheby’s auctioned a medal on Dec. 11, 2007 for $5,305,000; consider clicking to read my preview and auction report articles about this medal. No matter how auction data is analyzed, the $3,737,500 result for the Olsen-Hawn 1913 Liberty Nickel is extraordinarily significant.

II. The PCGS Lawsuit Against Alleged Coin Doctors

I have devoted two columns to the PCGS lawsuit against alleged coin doctors, those of June 2nd and Sept. 8th. I will write more about it. It would not make sense, however, to summarize this suit here.

The most pressing issue facing the coin collecting community is the need to contain the coin doctoring problem. Every day, important rarities are harmed by coin doctors who seek to deceive the grading services and collectors into believing that doctored coins are of higher quality than these were before they were doctored. In reality, doctoring a coin reduces its quality, often to a terrible extent.

I. The PCGS SecurePlus Program

While lawsuits and exposure in general deter coin doctoring activities, the new technologies that the PCGS introduced (and continue to develop) as the central components of the SecurePlus program have tremendous potential to identify doctored coins and to curtail grade-inflation. If properly and fully implemented, the PCGS SecurePlus program may be miraculous. So far, it has been disappointing. Nonetheless, the technologies involved are wonderful and are just beginning to be appreciated. Please read my recent two part series on the PCGS SecurePlus program, part 1– part 2.

What should I collect? Tips for building a meaningful set of U.S. Coins. Part Two.

Vic Bozarth — Mon, 27 Dec 2010 15:32:28 +0000

Bozarth Rare Coin Market Report

During the holiday season I often reflect on the many blessings I have in my life. One of those blessings is the joy I receive from handling and looking at rare coins. In fact, I love my job. I get to look at coins virtually every day as a coin dealer. I enjoy looking at most coins, but some coins are better than others. The coins I really get a ‘charge’ out of handling usually have a couple of factors that make them ‘special’.

What makes a coin ‘special’? Scarcity or outright rarity can make a coin special because you don’t often see them. Incredible eye appeal is always a big factor in making a coin special. Indeed, eye appeal can make a relatively common coin ‘special’. A strong or full strike, glowing luster, originality, and especially a high state of preservation (grade) are all factors that can make a coin ‘special’. When buying coins, I am always looking at the grade, but these other factors (strike, eye appeal, luster, and originality) all contribute to whether or not I find the coin ‘speciaI’ and write the check.

In last month’s RCMR-Rare Coin Market Report I discussed three sets of U.S. Coins that are always in demand. This month I am going to discuss three additional sets that are loved by collectors. First let me explain the difference between collecting a set of coins by DATE versus collecting a set of coins by TYPE.

In most cases, a date set of coins is every date and mint of a particular denomination and design of U.S. coin. For example, last month I explained DATE collections of a short set of Walking Liberty Half Dollars (from 1941 to 1947), Peace Dollars (from 1921 to 1935), and $2.5 Indian Gold coins (from 1908 to 1929). All three of these sets contain all the dates and mints of their particulate design type of that denomination.

There are a few variations with some DATE sets. Often times a collector will collect a single coin of each year of coins for a particular design type of coins. Budget and availability often contribute to a collector starting with a single coin of each year versus all the different mint examples of each date. I have often seen a Year DATE set of Morgan Dollars assembled. In other words, the collector collects one coin from each year that Morgan Dollars were made, which would include one coin from 1878, 1879, 1880 etcetera through 1904 and including a coin from the last year of issue in 1921.

A TYPE coin collection is different from a DATE coin collection, because the collector is trying to collect ONE coin of each design type for a particular area of U.S. Coins. For example, the classic U.S. Commemorative Coins were produced from 1892 through 1954. There are 144 different issues in the complete DATE set. This includes ALL the different mint issues from the multiple mint issues like Arkansas, Boone, Columbia, SC, and Oregon Halves among others. Most often classic U.S. Commemoratives are collected by design TYPE. This collection contains 50 different design types so a collector has one example of the Arkansas, Boone, and Oregon halves. Not only is this easier to complete, but collecting by type is more affordable.

One of the neat things about collecting coins by ‘type’ is that the collection can always be expanded to include more or all the dates within the set depending on your preference or budget. For example, I am currently expanding an eleven piece type gold set for a customer to include some of the No Motto issues as well as some of the earlier issues. This particular customer liked these coins so much he decided to keep going!

This month I am going to discuss the following desirable sets of U.S. Coins:

Two Cent pieces in Mintstate: 1864 through 1872, 10 coins total
All years plus the 1864 Small Motto variety.

Classic Commemorative type set: 1892 through 1954, 50 coins total
One of each of the 50 different design types, Including 48 different Commemorative 50C designs and the 1893 Isabella 25C and the 1900 Lafayette Dollar.

Gold Type Set-11 piece design type set:
One of each of the three different $1 Gold design types: Type One 1849 to 1854, Type Two 1854 to 1856, Type Three 1856 to 1889.
One of each $2.5 Liberty Head and $2.5 Indian designs.
One of each $5 Liberty Head and $5 Indian designs.
One of each $10 Liberty Head and $10 Indian designs.
One of each $20 Liberty Head and $20 Saint Gaudens designs.

The Two Cent piece was produced between 1864 and 1872 for circulation strikes. You can complete this set in most grades up to MS65RD although the Red specimens can become quite a challenge. Depending on your budget, this is a desirable set in even circulated grades, although a Uncirculated mint state set should be your goal. Look for spot free coins with good luster. Nice full Red specimens are difficult to find and the pricing guides are often inaccurate on higher grade examples in both Red/Brown and full Red. Both the 1864 Small Motto and the 1872 are considered keys to the set, but virtually all the dates are scarce, except for the more common 1864 Large Motto and 1865 issues. On a personal basis I have put together two sets of these over the years and did very well on both sets when I sold them.

Classic Commemoratives are incredibly cool. Each design tells a different story. Classic Commemoratives should be assembled in uncirculated Mint State condition. These were not meant to be circulated, although many were. Your goal for each coin should be a grade of MS64 or better. Look for coins with eye appeal. Whether your personal preference is blazing luster or lovely toning, there are coins out there in virtually all the different designs that will fit handsomely in your set. If you are contemplating a pretty toned set be prepared to pay a premium for pretty coins because they are very highly sought after.

Especially with rising gold prices, the eleven piece Type Gold Set is a great collector/investor play. Buying rare gold coins allows you to participate in both the bullion market and the rare coin market at the same time. Although all the coins in this set are desirable in all grades (for their bullion value in lower grades), I would recommend you concentrate on the highest grade you can find within your budget. I am currently assembling several sets of Type Gold coins for customers. These are always highly desirable. Many coins in this set are trading at a smaller premium over their bullion ‘melt’ value than we have seen since the early seventies.

Bozarth Numismatics would love to help you build a meaningful set of U.S. Coins. Not only will we actively look for the particular coins you need for your set, but we will call or email you first when an item becomes available. This ‘want list’ service carries no obligation and you always have a full return privilege with any item you order with BNI.

Bozarth Numismatics Inc and our website bozarthcoins.com stock and list hundreds of PCGS, NGC, and CAC certified U.S. Coins. We are constantly traveling to buy ‘fresh’ coins for our customers. Whether you are looking for one particular issue or need guidance in putting together a ‘meaningful set of U.S. Coins’ we can help you. Best Regards, Vic and Sherri Bozarth.

The Three Kings: The Proof-Only Double Eagles Dated 1883, 1884 and 1887

Doug Winter — Mon, 27 Dec 2010 15:04:54 +0000

By Doug Winter – RareGoldCoins.com

Continuing my fascination with Proof-only issues, I’d like to discuss the rare Proof-only double eagles dated 1883, 1884 and 1887. These issues are not all that well-known outside of Type Three Liberty Head collectors and I think they merit more than a passing mention.

Beginning in 1881, production of double eagles at the Philadelphia mint became little more than an afterthought. And it would remain as such until 1888. In 1883, there were no business strikes produced. The Mint did strike 92 Proofs; ostensibly for the limited numbers of collectors who were interested in Proof double eagles at this point in time.

The Mint struck considerably more Proof 1883 double eagles than they were able to sell and it is believed that as many as half of the original mintage was melted later in the year. Of the four dozen or so that were distributed to collectors and dealers, around twenty at most are known today. This figure includes at least three that are impounded in museums and another two or three that are impaired.

The 1883 is the second rarest collectable Liberty Head double eagle, trailing only the 1884 (I consider the 1849 and the 1861 Paquet reverse non-obtainable and do not include them). Despite this coin’s indisputable rarity, it is only fairly recently that the 1883 became known as a major rarity. Prices for this issue had remained fairly stagnant for many years, hovering in the $75,000-100,000 range. This only changed in 2004 when Heritage sold an example for $172,500. Today, a Gem is worth at least $200,000-225,000.

There are a small number of Gems that have been graded by the services and at least one has been slabbed as PR66 by NGC. I know of six or seven Gems and the two nicest that I have personally seen are Heritage 1/06: 3580 (graded PR65 Ultra Cameo by NGC) and Heritage 1/04: 3224 (graded PR65 Deep Cameo by PCGS and possibly also ex Dallas Bank collection).

There are a few diagnostic criteria that make this an easy issue to authenticate. All show roughness on the back of the eagle’s neck and fragmentation of the fleur de lys beneath its beak. These die markers do not exist on any business strike reverses of this era.

The 1884 is the rarest of these three Proof-only issues. A total of 71 were struck and it is possible (although unconfirmed) that a few were melted as unsold, given the fact that so many Proofs dated 1883 suffered this fate. There are slightly fewer than twenty known. I wrote in 2000 that 15-17 exist and I think this number might be a tiny bit on the low side. A total of twelve have sold at auction since 2000 but this includes a number of coins that have sold more than once.

The current auction record is $264,500 which was set by ANR 8/06: 1644, a coin graded PR66 Cameo by NGC. It had sold two years earlier (as Heritage 1/04: 3225) for $149,500.

The 1884 is much rarer in Gem than the 1883. I do not believe that a full-blown Gem exists and most that I have seen are in the PR63 to PR64 range. For some reason, this date was not as well handled as the 1883 or 1887 and most show signs of having been cleaned.

There are some interesting die characteristics for this issue that make it very easy to identify. All known examples show an uneven pattern of frost on Liberty’s face. It is thick on the right half of the neck and near the ear but it is quite light on the neck. This is why none have ever been designated as “deep cameo” or “ultra cameo” by PCGS or NGC. In addition, all 1884 double eagles have a noticeable diagonal die line just to the left of the Y in LIBERTY.

There is no question that, as a date, this is the rarest collectable Liberty Head double eagle. Given this fact, it seems fairly reasonably priced at current levels.

The last of the Three Kings is the 1887. This issue has a mintage of 121 struck. I believe that, as in 1883, a number went unsold and were later melted. My best guess is that around half were released to collectors and that there are 25-30 known today.

The 1887 tends to come better preserved than the 1883 and 1884 and it is more available in Gem than the other two Proof-only dates. There are around six to eight Gems known. The finest is an incredible NGC PR67+* Cameo that will be sold in the upcoming Heritage 2011 FUN auction. The current auction record for this issue is $161,000 that has been acheived twice (Goldberg 9/08: 1295 and Heritage 1/07: 3145) but this mark is certain to be broken by the aforementioned Heritage coin.

There are no major die characteristics seen on Proof 1887 double eagles. This tends to be a very well made issue and many of the examples that exist show excellent contrast between the frosted devices and the mirror fields.

The three Proof-only Liberty Hesd double eagles from the 1880’s are among the more interesting and desirable United States issues from the 19th century. I believe that they are all highly undervalued, considering how few are known for each isssue. As I have said in other recent blogs, if the Type Three series were to become more active among date collectors, these three issues would be considered true “stoppers” and would show dramatic increases in price.

Coin Rarities & Related Topics: The Henry Miller Collection

Greg Reynolds — Wed, 22 Dec 2010 05:32:37 +0000

News and Analysis on scarce coins, coin markets, and the coin collecting community #32

A Weekly Column by Greg Reynolds

I. FUN Auctions

Two weeks ago, I wrote about Jim O’Neal’s set of Indian Head Half Eagles ($5 gold coins), which will be auctioned during the Jan. 6, 2011 FUN Platinum Night auction in Tampa. During the FUN Convention, Heritage will auction a wide variety of items, including the Henry Miller collection. Miller specialized in Proof gold coins and many of his coins will also be sold during this Platinum Night event. He also had business strikes. The topic here is the Henry Miller collection.

To attain some understanding of FUN Platinum Night events, please see my column two weeks ago and my articles concerning coins auctioned in Jan. 2009 and 2010: The Jan. 2010 Platinum Night, $3,737,500 for a nickel, the O’Neal Collection of Indian Head Eagles, and Jay Brahin’s $20 gold coins.

II. Henry Miller

Henry Miller collected coins for decades before passing in 2009. He lived and worked in New York City. Miller collected Proof Liberty Head Double Eagles ‘by date’ and gold coins from many other series mostly ‘by type.’ Though Miller had a few pre-1834 Half Eagles and some early 20th century gold coins, he generally focused on U.S. gold coins of the second half of the 19th century. Additionally, he had an accumulation of ‘not rare date’ Liberty Head and Saint Gaudens Double Eagles. Also, Miller had a complete 1887 Proof Set, copper, nickel, silver and gold, which Eric Streiner regards as “a fantastic set.”

Eric Streiner remembers Miller’s coins though he has not seen any of them for more than a dozen years. Streiner “knew the guy quite well. Miller really liked his coins. He spent a lot of time looking at his coins,” Streiner recounts. Eric emphasizes that Miller was an enthusiastic collector.

Eric reports that “Miller bought most of his coins in the 1970s from dealers in the New York area, many from Stack’s. He bought some at auction, but mostly he bought coins privately,” Streiner says. “He bought a few coins in the mid 1990s,” Eric adds.

Streiner relates that, “in the late 1980s or early 1990s,” Eric arranged for Miller’s coins to be submitted to the NGC for grading and encapsulation. Streiner remembers that Miller contacted him through Stack’s. At the time, Eric was a very young dealer who had a reputation as a grading wizard. I (this writer) heard many stories, some clearly verifiable, of Eric spotting coins that were undergraded, or not clearly graded, by other coin dealers.

John Albanese recollects that, “a long time ago, probably in the late 1980s, [he] had lunch at a seafood restaurant with Eric Streiner and Henry Miller, who was a really nice guy.” Albanese is glad to have had the opportunity to view Miller’s Proofs again. Recently, Heritage sent many of Miller’s Proof coins to the CAC.

John Albanese was the sole founder of the NGC in 1987. Mark Salzberg, the largest current shareholder in the NGC, joined Albanese as a partner in 1988. Ten years later, Albanese sold his shares in the NGC to Salzberg. In 2007, John founded the CAC, which evaluates the quality of coins that are already graded and encapsulated by the PCGS or the NGC. Submitted coins may be approved or rejected. Approved coins receive a CAC sticker.

Both Albanese and Streiner were very impressed by the quality of Miller’s coins. Streiner, “even around twenty years later,” recalls Miller’s coins “as great pieces, nice original stuff, mostly gem, definitely good eye appeal.” Indeed, John and Eric separately emphasized that Miller’s Proof gold coins tend to be “original,” meaning that these have never been dipped, substantially cleaned, or doctored.

Though Streiner “hates to say it,” Eric is concerned that “some of these coins might lose their original surfaces, after the auction”! Some dealers will dip or doctor them in efforts to get higher grades assigned.

I (this writer) suggest that collectors bid on many of Miller’s coins at the auction for several reasons, one of which would be to prevent dippers and coin doctors from buying them. Proof 19th century gold coins with natural toning and mostly to fully original surfaces are wonders to behold. In addition to Proof Double Eagles, the Miller collection contains a wide variety of gold type coins, some of which are not expensive.

III. 1823 $5 Gold Coin

An 1823 Half Eagle ($5 gold coin) is expensive and is the leading business strike in the Henry Miller collection. It is a prized type coin. Capped Head Half Eagles are the most difficult series of all U.S. coins to even 80% complete. Though the 1823 is one of the least rare dates of the whole type, there may be fewer than eighty known in all grades, including those that are ungradable.

It is my belief that there are fewer than forty true gems known for the whole Capped Head, Large size type, which was minted from 1813 to 1829. The data published by the PCGS and the NGC include some multiple counts of individual coins. The Miller 1823 may be the second finest known 1823 Half Eagle. It is the only 1823 Half Eagle that is NGC graded MS-65 and none have been assigned a higher grade by the PCGS or the NGC.

Miller’s 1823 has a CAC sticker of approval. Albanese remarks that “I [John] remember really liking the coin; it is mostly original and just beautiful. One of my favorite early gold coins seen over the last few years,” Albanese declares.

IV. Type Coins

While his 1823 Half Eagle is the most important, Miller had many gold type coins. The Miller collection, according to Heritage cataloguers, contains high grade business strikes of all three types of One Dollar Gold pieces, plus several Proof Gold Dollars of the third type. The most newsworthy of Miller’s One Dollar Gold pieces is his 1864, which is NGC certified Proof-64 Cameo and has a CAC sticker. (Please see last week’s column for a brief discussion of ‘Cameo’ designations.) Albanese was very impressed with this 1864.

Quarter Eagles ($2½ gold coins) are not really well represented in the Miller collection. His one business strike is worth noting. It is an 1848 with the ‘Cal.’ imprint on the reverse (back). For one year only, and only on Quarter Eagles, the Philadelphia Mint identified a relatively small number of gold coins as having been made from gold that was mined in California. The ‘California Gold Rush’ had just begun. Miller’s 1848 is NGC graded MS-64 with a star for eye appeal

All of Miller’s Proof Quarter Eagles have CAC stickers. He had at least five Proof Liberty Head Quarter Eagles and one Proof Indian Head Quarter Eagle, a 1913 that is NGC certified Proof-65.

Miller’s 1875 is NGC certified ‘Proof-64 Cameo.’ In fact, the Heritage website suggests that the Miller collection contains two such 1875 Quarter Eagles, lot #5035 and #5036, though the ‘print’ catalogue indicates that only one of these two is from the Miller collection. Either way, there seem to be two Proof 1875 Quarter Eagles in the upcoming Platinum Night event.

Proof 1875 Quarter Eagles are particularly important, as these are not only extremely rare in their own right, corresponding business strikes are very rare. As fewer than fifty business strikes survive with hardly any in choice condition, collectors of high quality business strike Quarter Eagles often demand Proofs.

A ‘64′ grade business strike 1875 would be much more difficult to obtain, if one could be obtained at all. Miller’s Proof 1864 Quarter Eagle is even more important than a Proof 1875.

Business strike 1864 Quarter Eagles are even rarer than business strike 1875 Quarter Eagles. While Proof 1864s are not quite as rare as Proof 1875s, the combined business strike and Proof total of 1864s is less than the respective combined total of 1875 Quarter Eagles. Most collectors are not aware of the extreme rarity of 1864 Quarter Eagles. The number known of Proofs and business strikes combined is less than forty-six, maybe substantially less.

Generally, Albanese has a high regard for Proof 1864 Quarter Eagles, which, he says, “come really nice. They were made very well, as good as any current Proof Gold coin that you will see. Collectors very much like them, they come with amazing contrast. They are similar to Proof 1896 and 1897 Quarter Eagles,” John explains. “For a Proof Liberty Head Quarter Eagle for a type set,” a collector may wish for an 1864, an 1896 or an 1897. Albanese emphasizes that Proofs of these dates tend to be special, with “great contrast and a lot of cool frost.” Also, Albanese mentions that 1864 Quarter Eagles are “popular as a Civil War date.”

Albanese finds that the Miller Proof 1864 Quarter Eagle is exceptional for its NGC assigned grade of “65.” It received a coveted CAC ‘Gold’ sticker. Typically, CAC stickers are green.

Miller made considerable progress towards a set of Proof Three Dollar Gold pieces, though I am not sure that he ever planned to complete such a set. As already noted, he had a complete 1887 Proof set. It may be true that Miller, at one time, planned to build gold Proof sets of certain dates, like 1861, 1863, 1864 and 1873. He has Proofs of multiple denominations of some of these dates.

In any event, Three Dollar Gold coins were minted from 1854 to 1889. The Miller collection contains Proofs of the following dates: 1858, 1861, 1863, 1864, 1868, 1870, 1876, 1881 and 1887.

As for Proof Half Eagles, Miller may have obtained his 1873 to serve as a type coin. I hypothesize that Miller’s Proof 1881 Half Eagle was part of an 1881 Proof gold set, though this set is not mentioned as such in the Heritage catalogue. Miller had a Proof 1881 One Dollar Gold piece, a Proof 1881 Quarter Eagle, a Proof 1881 Three Dollar gold coin, a Proof 1881 Half Eagle, a Proof 1881 Eagle and a Proof 1881 Double Eagle. Clearly, he had a set.

As for Eagles ($10 gold coins), Miller had four Proof Liberty Head Eagles and one Proof Indian Head Eagle, a 1914. His 1887 Eagle, NGC PF-65 Cameo with a CAC sticker, is part of his 1887 Proof set. As just mentioned, his 1881, NGC PF-65 with a CAC sticker, is part of an 1881 Proof gold set.

His Proof 1861 Eagle is PCGS graded Proof-65 and also has a CAC sticker. It is extremely rare as a Proof, though business strike 1861 Eagles are not rare. As best as I can tell, Miller has just one business strike Eagle, a 1908.

Most of the coins in the Miller consignment are Double Eagles. He had numerous business strikes from the 1850s, including some important New Orleans Mint issues. His two 1852-O Double Eagles have received much attention, as has his 1857-O, which is NGC graded MS-62 and has a CAC sticker.

The Miller collection contains numerous Liberty Head and Saint Gaudens Double Eagles of common dates and slightly better dates, mostly in grades from MS-61 to MS-64. These do not seem to fit into Miller’s collecting strategies, and may have been impulse purchases. Streiner insists that Miller was not collecting such coins and may have bought them “on whim” or “for bullion” related purposes.

The most important Philadelphia Mint business strike Double Eagle in the Miller collection is an 1881 that is NGC graded AU-55 and has a CAC sticker of approval. Tentatively, I suggest that there are less than fifteen 1881 Proofs and fewer than eighty-five business strikes, for a total of less than one hundred 1881 Double Eagles in existence.

V. Proof $20 Gold Coins

The Henry Miller collection will be best remembered for its awesome run of Proof Liberty Head Double Eagles. “A lot of Proof coins in the Miller collection have their original skin,” Albanese found. John remarks that the Miller Proof Double Eagles from the “1860s were fantastic.”

The following is a list of Proof Liberty Head Double Eagles in the Miller collection that are NGC graded and have CAC stickers: 1860 (64), 1863 (64), 1864 (65), 1865 (64), 1867 (65+), 1870 (64), 1874 (64), 1880 (63), 1881 (65), 1882 (64), 1885 (66), 1886 (64), 1888 (64), 1892 (65).

I am here omitting designations of ‘Cameo’ as many of these were certified before NGC introduced the ‘Ultra Cameo’ designation and because I strongly maintain that a Proof with a cameo designation is not necessarily superior to a Proof of the same grade without such a designation. Buyers are placing too much weight on Cameo and Ultra Cameo designations. When evaluating or just appreciating a Proof coin, there are several other factors to consider besides the extent of the contrast between the devices and the fields. A coin WITHOUT a strong cameo contrast may be more attractive and/or of higher quality than a coin of the same date, type and certified grade, with a cameo designation.

Miller’s 1887 is NGC certified “Proof-67+*” and does not have a CAC sticker. Most of Miller’s Proof Double Eagles are in holders that are more than fifteen years old. This 1887 Double Eagle is in a holder that was issued within the last few months. It has been upgraded by the NGC. It is an important coin because 1887 Double Eagles are a Proof-only date and are extremely rare. There are no business strike 1887 Double Eagles. So, a collector who wishes to own an 1887 Double Eagle must buy a coin that was struck as a Proof.

Henry Miller seems to have had the best collection of Proof Liberty Head Double Eagles that has ‘come to light’ in a long time. The upcoming Platinum Night event will probably be very exciting.