1804 Dollar Brings Record Price

Wednesday, September 1, 1999

        One million, two million, three million, four, what can I get for just a little more? The pertinent question in numismatics today is not what can you buy for a dollar, it is what will a dollar cost me? Of course, we are not talking about just any dollar. Bowers and Merena, Inc. of Wolfeboro, New Hampshire, just auctioned the highest graded 1804 Bust Dollar known, from the Walter H. Childs Collection. It is certified as a Proof 68 by PCGS and estimates were being thrown around at $3-$3.5 million. Those in the know speculated that the eventual buyer would be either Spectrum Numismatics of California, or Jay Parrino of Missouri. And the million-dollar answer is, David Akers of Florida as he outbid the competition at $3.6 million. To this figure you add the buyer's fee and the total price realized is a whopping $4.14 million. It is reported that Mr. Akers purchased the coin for a private collector.

        This 1804 Dollar has quite a history behind it. It is believed to have been presented to the Sultan of Muscat in 1835. It is, perhaps, the most valuable U.S. coin to be sold on record; at least to this point. This Class I Dollar had many famous owners throughout the years, not the least of whom was Henry Chapman, Virgil Brand, and Charles E. Green. Charles F. Childs then purchased it in 1945 for $5,000 for his son Frederick. The coin later was added to the collection originally formed by Walter H. Childs back in the 1870s, where it remained until this record sale.

        What does the current market hold for rare and expensive coins? It certainly appears stronger than it has been over the last twenty years. The coin market has had its share of ups and downs, mostly fueled by speculators (investors) but much of the publicity the coin market had received from media sources, other than numismatic publications, was of so-called collectors losing money to "boiler room" type coin marketers. However, that has changed in the last couple of years as numismatics has risen above the negative press. Most coin dealers inspire education as a mandatory requirement to the collecting of coins. As collectors become more knowledgeable about numismatics, they realize coins can be just as collectible and valuable as rare works of art. The 1804 Dollar is a case in point. This sale will also tend to increase the value of the other known 1804 Dollars, although it's not likely that any more of these coins will be found. There are a fixed number of coins in collector hands, which are not likely to be available in the near future. As these rarities receive more mainstream publicity from the media, it will create additional interest and more collectors in all areas of numismatics.

        Now that the summer season is over, coin dealers and collectors from all over the United States are looking optimistically toward the balance of 1999. We are already seeing an increase in activity. With dealers traveling all over the country attending coin shows and any number of major auctions there will be no letdown in the frantic pace that is required to compete in today's quick-paced coin market. Many dealers are expecting that the next few major shows will be quite active, including the Long Beach Expo in September, the Electronic Coin and Collectible Fair in October, and the Suburban Washington Baltimore Coin and Currency Show in November.

        The first major show on the calendar is the Long Beach Expo, which runs September 23rd to the 26th. Heritage Numismatic Auctions will conduct a Signature Sale September 22-24 and a Bullet Sale on the 25th. They will have a wide variety of coins for every taste and pocketbook. There are no significant shows between this one and the Chicago ANA. That allows a lot of time for want list acquisitions and planning future schedules. This is the last Long Beach Show of the year and usually proves quite successful for most of the dealers who take an aggressive approach. One very strong area of the current market is Proof Type coins. Just about any date in any series (Seated material especially) that grades PR64 and higher is in strong demand. Of course, the high buyers are meticulous, as they will not accept coins that are ugly for the grade or darkly toned. They would prefer original white coins or attractively toned if the coins have eye appeal. This is an area that has been strong for sometime, but an inexperienced collector has to be careful if they find coins that seem to be bargain-priced. It is crucial you know what you are buying or ask your favorite dealer for his expertise.

        The 1999 Chicago ANA was considered a successful event by most of the dealers and collectors in attendance. Even though some dealers felt that attendance was not up to par, if you were at the show you would have noticed plenty of activity on the bourse floor. The ANA Committee did an outstanding job of advertising and Donn Pearlman brought in local television stations to report on this annual convention. As is customary, some ANA members passed out various collectible coins to surrounding businesses in hopes that it would stir up some interest and publicity. Concurrently, the Heritage ANA Signature Sale totaled prices realized of nearly $9 million. To most collectors, probably the most interesting coin in the sale was the 1943 Copper Cent, which was graded as Extra Fine and sold for $32,200. This price is likely to set the current standard for any other 1943 Coppers to go on the market in the next year.