1804 dollar

The Mysterious 1804 Dollar: A Coin of Intrigue

Imagine a coin so rare that it commands millions in value—such is the story of the 1804 dollar, or more accurately, the Bowed Liberty Dollar. This unique piece was minted between the 1830s and later years, primarily for special proof sets as diplomatic gifts. But what makes this coin so fascinating? Could it be its mysterious origins, or perhaps its hidden history that has kept collectors and numismatists intrigued for decades?

The Birth of a Legend

Let’s delve into the creation of these coins. In 1832, Edmund Roberts was sent as an envoy to Asia to negotiate trade deals. He requested a set of coins as gifts for officials and received two sets of proof finish coins with the Draped Bust design. These were minted in 1804 but bore the date of 1803. The problem? By 1804, silver dollar coinage had been suspended due to exportations. So why did these coins exist?

Classifying the Coins

The 1804 dollars are classified into three categories: Class I (original diplomatic sets), Class II (restrikes without correct lettering), and Class III (restrikes with correct lettering). The Class III dollars, in particular, have a unique feature—they were struck at some point after the initial minting. This is due to the improper use of the Castaing machine, which resulted in deformed edge lettering.

Auction Prices and Rarity

The 1804 dollar has commanded high prices due to its rarity and demand from collectors. Auction prices reached $1,000 by 1885, over $30,000 in the mid-twentieth century, and a record-breaking $4.14 million in 1999. These coins are not just pieces of metal; they’re historical artifacts that tell a story of American ingenuity and diplomacy.

The Coinage Act of 1792

Back to the basics: The Coinage Act of 1792 authorized coinage of multiple denominations, including the dollar. This act set the stage for what would become one of America’s most sought-after coins. However, the Spanish milled dollars contained more silver than allowed by law, leading to their circulation being forced out in favor of US dollars.

Diplomatic Gifts and Secret Mints

The United States Mint produced 1804 dollars for use as diplomatic gifts but also secretly produced additional coins for collectors. This secret minting was a result of the high value of these coins, which has led to counterfeiting and other forms of deception.

Counterfeits and Reproductions

The high value of the 1804 dollars has not only attracted genuine collectors but also counterfeiters. In the nineteenth century, stage actor John T. Raymond purchased a specimen of an altered coin for $300. Electrotypes were created for study and fraud purposes, and replicas known as ‘Saigon copies’ were offered to American soldiers during the Vietnam War.

Conclusion

The 1804 dollar is more than just a piece of metal; it’s a testament to America’s history and its complex relationship with money. From its mysterious origins to its high auction prices, this coin continues to captivate collectors and historians alike. The story of the 1804 dollar is one of intrigue, deception, and enduring value.