Gold has served as money or established the monetary value of currencies longer than any other material. The use of gold coins was widespread in Europe by the fourth century BC. The earliest gold coins circulated in the United States were foreign coins, mostly from Europe. The Coinage Act of 1792 established an independant US monetary system with the Dollar as the basic United States monetary unit containing 24 3/4 grains of fine gold based on the then world price of gold of $19.39 a troy ounce (which is the equivalent of 480 grains). In 1934, United States citizens were prohibited by the government from holding monetary gold in this country. This was extended in 1961 to gold held abroad as well. The dollar price was then $35.00 per ounce. These restrictions were lifted in 1975. Gold is now a very valuable collectible for investment. Since gold bullion is going for hundreds of dollars an ounce in todays' market, collecting gold coins is a very lucrative past-time. |
