Where Astute Investors Buy and Sell Krugerrands
Many countries worldwide still hold enormous gold reserves, even though all had ceased to use the gold bullion standard as the basis for their respective monetary systems by last year, 2013, but even so, astute investors are still able to buy and sell Krugerrands as and when they choose, one of the most secure forms of investment on offer today.
Moreover, the market for and allure of Krugerrands is international, since these coins are a legal currency (tender), unlike many other bullion coins, and by 1980, they made up about 90% of the total international gold currency market. At this time, smaller denominations were introduced, giving investors the option of purchasing one tenth oz, a quarter, a half or a full oz coin, or a set, comprising the entire range.
In 1961, some six years prior to the introduction of this collectors’ coinage, South African changed its normal currency from sterling influenced pounds, shillings and pence to a decimal system, rand and cents. The new South African rand was appropriately so named after the Witwatersrand, the area and reef of one of the world’s richest goldfields, discovered in 1886.
Because of the stability of global currencies and economies, inflation was virtually unknown, meaning that an exchange rate of 2 rand remained the equivalent of one pound consistently and for many years.
South Africa launched the Krugerrand in 1967, the first gold commemorative coin, which enables private persons to own gold legally, a global investment and collectors’ option that was taken up rapidly, particularly during the gold market’s boom years, 1874 – 1985.
The immense success in the sales of this investment vehicle undoubtedly led to the introduction of collectable gold bullion by other countries; Canada initiated the Gold Maple Leaf, Britain launched the Britannia, the Gold Panda emerged from China and the Americans introduced their Gold Eagle in the period between 1979 and 1987.
Our own Krugerrand has remained the primary international commemorative coin, although sales were negatively affected, declining during the years when global anti-apartheid sanctions were applied against South Africa. Fortunately, for this country and all its inhabitants, that period is now history.
The reverse side of the coin depicts South Africa’s national animal, the iconic springbok, beloved by one and all. Well-known sculptor and artist, Coert Steynberg, who produced statuary in wood, stone, marble, copper and bronze, was responsible for this design
On the obverse, one observes the profile of Paul Kruger, President of the then Zuid Afrikaansche Republiek (ZAR), the one-time independent Boer republic which spanned most of the subsequently named Transvaal region. This depiction was created by Otto Schultz.
In his official capacity of Boer leader, Paul Kruger was extremely concerned, politically and economically, about giving the vote to foreigners, who flocked to the Witwatersrand in pursuit of a dream of finding gold and attaining wealth, plus the aspirations of the British monarchy to claim this precious natural resource as their own. Oom Paul’s links with the Witwatersrand thus made it almost inevitable that his name would forever be associated with coins minted from the mineral riches which he sought to protect on behalf of his people.
No long history of the pursuit of dreams is complete without a good legend. Despite the passing of many, many years and supposed evidence to the contrary, certain people still believe that the lost Kruger millions existed and continue to search for this so-called hidden bullion treasure.
Enduring legend has it that a hoard worth millions lies buried somewhere in the Lowveld region, and the Lowveld is a very big area, so the search continues, as do theories about the treasure’s most likely location. Still, nothing has been found yet, but it is nice to dream….
Whilst it is a documented fact that gold was removed from the SA Mint and National Bank on 4 June, 1900, a mere 24 hours prior to the British occupation of Pretoria, and evidence was led about the journey, this haul was said to have taken to keep it out of British hands, it seems to have vanished somewhere in the Lowveld, possibly between Machadodorp and the then Transvaal/Mozambique border – a fascinating mystery and a legend.
Find, Buy and Sell Krugerrands
Fortunately, there is no mystery or legend involved regarding the best professional source of modern gold Krugerrands; our Sandton City-based company deals (buys and sells) them, as part of our physical bullion range of products, which additionally includes gold bars and both gold and silver minted bars.