American Gold Buffalo Proof 1 oz
The US Mint began production of the American Gold Buffalo Proof 1 oz in 2006. This special edition proof gold coin features the highly reflective and frosted surfaces frequently seen on combination matte/brilliant modern proof coins.
Both the American Gold Buffalo Proof 1 oz and the American Gold Buffalo uncirculated production were the first pure gold coins authorized by the US Mint (Public Law 109-145, dated December 22, 2005).
The front of the American Gold Buffalo Proof 1 oz features a rendition of the familiar 20th Century James Earle Fraser composite Native American Indian. This lifelike rendition is taken from his design of the US buffalo nickel minted from 1913 through 1938.
The reverse features a real buffalo of long ago named Black Diamond. The American Gold Buffalo Proof 1 oz is monetized with a face value of $50.00. This legal tender value is symbolic because the proof while carrying a higher premium moves directly with the price of gold. The word proof as applied to precious metal is a method of manufacture and not a condition.
For a coin to be a proof it goes through many extra steps in the manufacturing process. The American Gold Buffalo Proof 1 oz is struck on polished coin blanks using a unique US Mint process which produces a rich matte finish.
The American Gold Buffalo Proof 1 oz is encapsulated in a hard plastic holder which fits tightly into the US Mint’s custom felt box. The packaging and special certificate issued by the US Mint are important and should be retained.
The premium on the American Gold Buffalo Proof 1 oz is about half of the premium seen on the American Gold Eagle Proof 1 oz because the Buffalo Proof while very popular is not allowed in Individual Retirement Accounts (IRA).
There are other advantages to owning the American Gold Buffalo Proof 1 oz: (1) the American Gold Buffalo Proof 1 oz is minted in limited numbers so collector value may develop over time as investors compete for date sets. (2) The American Gold Buffalo Proof 1 oz is easy to buy and sell because CNI and other large dealers post daily buy/sell prices. (3) The American Gold Buffalo Proof 1 oz is a pure gold coin which appeals to a wider international audience. (4) Unlike the South African Krugerrand (1 oz) or the Canadian Gold Maple Leaf (1 oz) the American Gold Buffalo Proof 1 oz is not reportable on Federal Form 1099B when the public buys or sells.
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