Buying Krugerrand gold coins from collectors and investors is quite popular due to it being the official gold coin of South Africa and one of the most popular coins in the world today. It was first produced in 1967 and was made from 22 karat gold in order to withstand usage. The coin was used as a legal tender and hence was used for daily purchasing transactions. After a decade of its issuance, the coin became the most bought gold coin in the world which just showed how popular it had become to gold buyers all around the world. Although buying the coin has been prohibited in the United States because of some political issues regarding the South Africa’s policy of apartheid, it remained a popular coin for collectors due to its beauty and durability.
When the coin gained such popularity during the 1980’s, the South African government also approved the making of smaller sizes of the coin which are one half of an ounce, quarter of an ounce, and one-tenth of an ounce. The total weight of the gold content of a South African Krugerrand is exactly one ounce. This is one of the gold coins in the world which contains exactly one ounce of gold in its weight. It is made from 91.67 % pure gold, which is relatively lower than other gold coins, but this mixture creates more resistant to damage and scratching. It contains an added alloy of copper making it much harder than the 24 karat types of coins. The composition of this coin became a model for the first American gold coins due to its toughness. Even its size was also made as an ideal model due its popularity in the United States.
The Krugerrand is named after the famous South African politician, Paul Kruger and the official currency of Africa, the rand. The coin bears the image of Paul Kruger in its obverse side and the South African springbok on its reverse. This coin is only produced with limited numbers of proof coin sets which are all merely for numismatic purposes. These coins cost a lot more than the regular coins due to the process by which their designs are engraved on the coins. Buying these coins will definitely be more than investing in their gold contents. Even though this coin’s circulation was temporarily prohibited due to the apartheid policy of South Africa, it still had a lot of buyers in the United States due to the large amounts of these coins that were already in the US before the ban.
The popularity of this coin, which makes it an ideal investment since it can be readily sold anywhere in the world, makes it an ideal investment. The legal tender of this coin, which depends upon the value of gold at the time of its usage, will also make it highly usable for purchasing. The Krugerrand is still one of the most sought after gold coins in the world today which can be justified by the millions of ounces of these coins that have already been sold throughout the world for the past decades.