Krugerrand - one of the world's most famous coins
Since the Krugerrand was minted for the first time in 1967, it has become one of the most widely-distributed investor gold coins with the greatest level of popularity. German-speaking countries use the slightly modified "Krügerrand" variant. The name of the coin is a combination of the depicted former President Kruger and the currency of South Africa, the "Rand".
Fineness of the Krugerrand
The Krugerrand has a fineness of 916.67 (91.67% gold), which corresponds to 22 carats. This degree of fineness was adopted by the so-called rand gold coins and the former sovereigns. These were used as payment methods at the time. Admittedly, pure gold would not have been suitable as a payment method, since it is not scratch-resistant nor abrasion-proof. Copper was added as an alloy metal to harden the precious metal. Incidentally, this is also the reason for the intense reddish colouration of the Krugerrand.
The design of the coin
A springbok on what appears to be a grassland is depicted in the middle of one side of coin. The embossing year is shown on both sides of the gazelle-like animal. Only the Krugerrand has this presentation as an investment coin. The lettering "Krugerrand" can be found above the springbok, details about the metal type and fine weight are embossed underneath.
The portrait of Paul Kruger, a president of the former Boer Republic of Transvaal, is emblazoned on the second side of the coin. The Kruger National Park in South Africa is also named after this enthusiastic animal lover. The minting country of “South Africa” is indicated on both sides of the image both in Afrikaans as well as English.
Since the Krugerrand is considered as the official payment method in accordance with the South African Constitution, the face value is oriented towards the daily fluctuating London Fix Price. Therefore there is no nominal indication on the coin.
Circulation range and coin size
While the circulation was initially limited to 40,000 coins after the initial issue, the minting numbers "exploded" in subsequent years, which peaked in a record circulation of more than 6 million coins in 1978. A total of around 60 million pieces have been minted to date.
In addition to the original one-ounce coin, the Rand Refinery also launched half-, quarter- and tenths from 1980 onwards.
Krugerrand as an attractive investment coin
As a protest against South Africa's apartheid policy, both the USA as well as the EU banned the import of the Krugerrand in 1986, leading to a massive slump in trade and production of the coin.
When the import ban was finally lifted in 1999 - after apartheid ended - the Krugerrand had long since been outed by other investment coins, such as the "American Gold Eagle" or the "Kangaroo".
The circulation range of the Krugerrand has increased since 2000, but the number of minted coins still remains far behind previous numbers. Nevertheless, the Krugerrand still remains today one of the most well-known and wide-spread investment coins, whereupon 90% of the coins traded today originate from years gone by. This also explains why the Krugerrand is one of the most sought after bullion coins.
Selling or buying Krugerrands
Do you want to sell or buy Krugerrands? Then just drop by one of our branches in Vienna.
At a glance:
Name: Krügerrand or Krugerrand
Country: South Africa
Manufacturer: South African Mint
Year of minting: 1967 till today
Fineness: 916.67/1000 Gold (91.67% Gold)
Face value: not applicable, based on the current gold price
Type: Investment coin, official payment method in South Africa