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US Mint Struggles while Perth & the Royal Mint Shine

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Both the Perth Mint and the Royal Mint have announced huge increases in year over year sales of precious metals.

According to the Royal Mint, gold sales increased 25% above 2021, silver demand was up by 29%.

Earlier this month, the Perth Mint reported that gold sales were up 10% for the year, noting that there was a drop in demand during December.

The Perth Mint is owned by the government of Western Australia and it is reported to be the largest refiner of newly mined gold in the world.

Meanwhile, the US Mint has been struggling to keep up with demand from domestic silver investors.

Sales of Silver Eagles slumped in 2022 as demand continues to soar. This led investors to buy silver coins from Australia and England.

Why is the US Mint struggling to keep up with the demand from investors?

The US Mint outsources the production of blank silver planchets to private mints.

The Mint cancelled the commemorative 2022 Morgan & Peace silver $1 coin series due to issues with acquisition of raw materials.

The planchet manufacturers need to adhere to all legal definitions. The main one being that coins be minted from domestically mined sources.

The pandemic exposed a lot of problems with America’s supply chain. Many in the mining industry continue to worsen with inflation and looming recession.

Many of the top silver and gold mining operations in the United States all reported encountering various production delays throughout the last year.

Many of the top miners have reported delays and higher fuel costs associated with the transport of slurry concentrates from remote mine locations to refiners for further upstream processing and smelting.

The US Mint began outsourcing the production of planchets that are used to produce coins.

While the current list of suppliers is not readily available, Sunshine Minting and LeachGarner are two of the private mints that have had previous contracts with the Mint.

Most of the world’s largest and most capable precious metals processing companies are located outside the US, making it more difficult for the Mint supply chain.

Some of the ore extracted from domestic mines is handled by multinational corporations.

Many of the world’s leading refineries such as PAMP Suisse, Metalor, and Valcambi are based in Switzerland.

The Perth Mint and Royal Canadian Mint operate the largest and most advanced refineries in the world.

Why is the US Mint continuing to outsource mining and smelting operations to foreign companies?

The five largest mines in the US:

Greens Creek Mine, Alaska

The Greens Creek Mine is owned by Hecla Mining Company. The mine is located on Admiralty Island in the Alexander Archipelagos Islands, roughly 40 miles south of Juneau.

In 2021, Greens Creek produced 9.2 million ounces of silver and 48,088 ounces of gold.

Projected production outlook for 2022 is expected to be slightly higher, between 9.3 and 9.6 million ounces of silver and from 44,000 to 48,000 ounces of gold.

However, issues with the quality of the base metals, primarily zinc and lead, Hecla had postponed shipments of silver concentrates to upstream refineries.

Red Dog Mine, Alaska

Located 105 miles north of the Arctic Circle near Kotzebue, Alaska. It is one of the largest zinc mines in the world and is operated by Teck Resources (TECK).

The Red Dog Mine is believed to be the largest deposit of zinc in the world. Roughly 4% of all of the zinc is produced from this mine.

Ore concentrates of the mine are trucked over 50 miles where they are stored in port.

Due to the extreme location, the silver slurry can only be transported by ship from the arctic during the months from June through October.

The mine has been operating since 1989. With current production levels, the mine is expected to continue operating only until 2031.

The Red Dog Mine is one of the largest domestic sources of critical minerals.

Zinc has a variety of industrial uses. It is also an essential part of the green economy, component manufacturing for electric vehicle, windmills and solar panels.

Silver, germanium and lead and other minerals are byproducts of the primary operations.

Over 7.7 million ounces of silver was dug out of Red Dog mine in 2017.

Continental Mine, Montana

The Continental Mine is located near Butte, Montana. Also where the World Museum of Mining is located.

The main commodities of the Continental Mine are copper and molybdenum. Molybdenum and copper are also critical metals and minerals needed in the domestic manufacturing of electrical devices, motors for EVs and other electrical components.

Silver and gold are extracted from the copper-molybdenite ore. Recent mine output data is not  publicly available.

Marigold Mine, Nevada

The Marigold Mine is located in northern Nevada. The primary deposit is mineralized gold. The gold is extracted from sedimentary rocks including limestone, siltstone, breccias, meta-basalts and quartzite.

The mine is owned and operated by SSR Mining. The Marigold Mine began operation in 1989. The mine is expected to continue to sustain current production levels through 2032. Exploration and development of other nearby properties is expected to extend operations beyond.

Marigold is an open pit operations where blasted rocks is dumped onto heap leaching pages. A chemical process extracts precious metals and minerals from the ore and stored in carbon columns for later extraction through electrowinning.

Reports from SSR earlier in the year showed signs of delays in production with expectations of producing between 215,000 and 245,000 ounces of gold in 2022.

Rochester Mine, Nevada

The Rochester mine is an open pit, heap leach silver-gold operation in northwestern Nevada.

The silver-gold ore is extracted from sulfide deposits layered during Permian-Triassic period volcanic lava flows.

In 2021, the mining operations produced 3.2 million ounces of silver, while gold output was roughly 27,000 ounces.

Saudi Arabia experimenting with CBDC and alternative currencies to the PetroDollar

During the last year there has been a lot of media speculation regarding trade relations between Saudi Arabia and BRICS countries.

The Chinese central bank has been identified as buying roughly 300 tons of gold bullion in 2022. With Central Banks of other countries doing the same.

China has been wooing Saudi Arabia and making significant investments throughout the Middle East as part of the Belt & Road Initiative.

Saudi Arabia becoming part of BRICS and selling oil in a new basket currency would compete with both the Euro and the Dollar.

It seems pretty logical that China would intend for BRICS launch a CBDC digital currency that is backed by gold resources of the basket currency. Given that many central banks are experimenting with CBDC there will need to be interoperability between local currencies.

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BRICS, Central Bank Gold and Oil

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BRICS is loose term created by Goldman Sachs to represent the world’s five leading emerging economies. The original list included four: Brazil, Russia, India and China. South Africa was added to the list in 2010.

Combined, the BRICS nations represent 3.21 billion people, roughly 41.5% of the global population.

Over the last year more stories have emerged in the news about the desire for BRICS nations to seek an alternate currency to the US dollar for their international trade. Often referred to as de-dollarization. The removal of the dollar as the reserve currency used in international trade.

Russia has already established the Moscow World Standard to compete with the LBMA and other legacy markets.

In response to economic sanctions following the invasion of Ukraine, Russia’s gas agency began demanding payments for oil and natural gas in Rubles.

Russia’s Central Bank began exchanging gold for Rubles and many countries are now trading oil on a new gold-standard.

The PBoC, the central bank of China continues adding gold bullion to its reserves and holdings.

Worldwide central Bank gold holdings have now reached their highest point since the 1970s.

The 1970s was a time of global economic crisis. Following the oil crisis of 1973, Nixon led the collapse of the Bretton Woods system as part of his measures to fix the stagnant economy.

Nixon resigned in August of 1974 following the Watergate Scandal. Days later, President Ford signed legislation which repealed Roosevelt’s executive order restricting private gold ownership.

This global appetite for gold has the potential to give emerging nations an advantage over the value of their assets and international trading dynamics.

Many emerging nations are rich in oil, minerals and mining. Some of which are necessary components in the development of batteries, solar panels and other advanced manufacturing.

Private ownership of precious metals now continues to grow every year. During the pandemic, from 2020 until 2022, investors bought more than 75 million troy ounces of American Silver Eagles.

The US Mint has been unable to keep up with investor demand which has caused premiums to rise.

Over the same period gold investors bought more than 5 million troy ounces of Gold Eagle and Gold Buffalo coins.

Government silver coins from Canada, United Kingdom, Austria have become popular alternatives for investors looking for lower premiums.

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Modern History of Silver Coins in the US Economy

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Bag full of Junk Silver Quarters

Precious metals coins have been found by archaeologists and historians that date back thousands of years.

Historians and archaeologists from around the world have unearthed precious metal coins from cultures that vanished long ago. Many notable examples from China, India, Ancient Greece and Egypt are on display in museums.

Silver, Gold and other precious metals are found in natural deposits throughout the world. Coins minted from silver and gold have been valued, exchanged as the purest form of money since ancient civilizations.

The earliest known was the Lydians, an ancient Mediterranean civilization that has been discovered in part of modern day Turkey.

The Lydians are the first known culture to create coins from gold and silver. The earliest coins discovered were minted of an alloy similar to electrum. Electrum is a naturally occurring alloy containing gold and silver that also contains trace amounts of copper and other metals.

The Lydian stater coins have often been reported to be struck from this naturally-occurring alloy. However, modern analysis has shown that many were actually made from a specific and rather consistent alloy. A mixture of approximately 55% gold, 45% silver, and a small balance of copper.

In Ancient Greece, the silver drachma was the standard used for hundreds of years even into the early Roman Empire. Each drachma was minted with 4.3 grams of silver. the largest know, the Decadrachm contained 43 grams of silver.

Colonial times and long ocean voyages to the new world helped to establish a new routes for international trade. The economies of the Europe were funded by exploits gained through colonial expansion. Ships returning to Europe brought goods like sugar, corn and tobacco. The New World was also filled with treasures made from gold and silver.

Locally struck coins dating to as early as 1497 have been discovered at early settlements in the Caribbean.

The Spanish were the first to establish a mint in the New World in what is today in Mexico City. La Casa de Moneda was built by Spanish Colonial settlers in 1536 by order of King Charles I of Spain.

La Casa de Moneda has operated continuously as the oldest operating mint in North America. The flagship bullion coin is the Mexican Libertad Silver Coins which are minted on an annual basis.

Silver coins were also struck in mints established throughout the British colonies. The US Mint was established in Philadelphia in 1792 following the American Revolution.

Silver Coinage in the US economy

Silver is a store of value and wealth that has stood the test of time and technology. Silver was part of the bedrock that the American economy was built on. The Founding Fathers even included a mention of gold and silver in the Constitution.

Everyday Americans carried and used silver coins in everyday life for more than 173 years. Coins minted from alloys of silver were in circulation up until the 1960s.

Congress passed the Coinage Act of 1965. The passage of this act led to further debasement and ushered in the transitioned the dollar away from a gold-standard.

Prior to 1965, all dimes, quarters, half-dollar and dollar coins were 90% silver. Half dollar coins were debased to 40% silver in 1965. The final 40% silver coins intended for circulation were minted in 1970.

The debasement of the dollar and removal from the gold standard continued during Nixon’s first term as president.

For good reason, people began to horde old circulated silver coins. Sometimes old jars of these coins are found buried in someones backyard while doing renovations.

Today, these old circulated silver coins are referred to as Junk Silver. They are bought, sold, traded by investors, stackers, preppers, collectors. Having a few rolls or stacks of old silver coins provides some additional financial security. It’s easy to buy

Modern Silver Bullion Coins

In the late 1970s the Hunt Brothers manipulated prices in the silver market. Their manipulation led to the famed Silver Thursday event in 1980.

The price of silver was driven up to over $50 per ounce on January 18, 1980. At the time the Hunt Brothers were reported to have been holding over 100 million physical ounces at the time.

In response, COMEX created a new trading rule called the “Silver Rule 7”. The new rule suddenly forced the brothers into covering debt borrowed to finance futures contracts. The abrupt change of rules caused the price of silver to drop by more than 50% in just four days.

American Silver Eagle Coins

The US economy suffered through a three year long recession in the early 1980s. In 1985, Congress passed the Liberty Coin Act as a way to help restore faith.

The law established that the first coins were to be released the following year meeting specifications for composition. The US Mint debuted the 1986 American Eagle, minted from .999 fine silver with a design that remained for 35 years.

In 2021, the US Mint updated the reverse with a new design that was introduced part-way into year. There are two distinct reverse designs for the 2021 American Silver Eagle.

During the first part of the year, the coins continued to be minted using the existing design. The coins featuring the new reverse that shows an eagle grasping an olive branch with both talons.

Type 2 – Silver Eagle Design

Today, American Silver Eagle investment coins are considered to be the most widely trusted and recognized silver bullion coin worldwide.

The number of coins manufactured each year varies on demand from investors. The coins are minted based on sales. This helps the US Mint to implement a business model that allows for flexibility in scaling capacity.

Silver bullion coins are sold only to Authorized Purchasers who are approved US Mint. The wholesalers acquire freshly minted silver eagle coins from the mint at a fixed premium over spot price. The premium from the mint to wholesalers is $2.35 over the LMBA silver spot price.

The list of Authorized Purchasers includes investment banks and online bullion dealers APMEX and A-Mark. A-Mark is the parent company of well-known online bullion dealers including JM Bullion, Silver.com, Provident Metals and BGASC.

This year, it has been widely reported that the US Mint has been unable to keep up with investor demand. This is the first time in the 36 year history of minting bullion coins. High premiums at retail have led to some investors to buy generic silver bullion.

Manufacturing delays of planchets from private refineries forced the mint to cancel several eagerly anticipated releases.

The American Silver Eagle coin is only available in a one troy ounce denomination which has a $1 USD face value legal tender designation.

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NY Federal reserve launches CBDC “trial” on the heels of FTX collapse

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central bank digital currency

Several weeks ago, the New York Federal Reserve quietly launched a 12 week long trial of a CBDC “digital dollar” pilot program in partnership with global banking giants like Citigroup Inc, HSBC Holdings Plc, Mastercard Inc and Wells Fargo & Co.

The NYFR describes the project as an attempt to test the feasibility of using blockchain tokens and distributed ledger technology as a mechanism for settlement of liabilities.

This is one of many software and technology projects that the Federal Reserve Bank of New York has been developing through their New York Innovation Center.

The Biden administration has been attempting to take control over the digital assets markets through a combination of Executive Orders and enforcement with the hiring of 70,000 new IRS agents.

On March 9, 2022, Biden signed Executive Order 14143, titled “Ensuring Responsible Development of Digital Assets”.

Government agencies have been funding research projects at private institutions aimed at implementing a fully programmable digital currency such as those endorsed by the G7 and World Economic Forum (WEF).

What is the Federal Reserve New York Innovation Center?
The Federal Reserve Innovation Center is a group within the bank who’s mission is to collaborate on technology research, experimentation and prototyping with banking regulators, the banking industry, academia and international central banks, the Federal Reserve System, the Bank for International Settlements (BIS) Innovation Hub, academia, and the private sector through technical research, experimentation, and prototyping.

The team is chartered to generated insights into high-value central bank-related opportunities, enabling stakeholders and the central bank community to enhance the functioning of the global financial system.

Much of the G7 are following recommendations for CBDC systems endorsed by the WEF that are designed to be centrally controllable and programmable which is the opposite of having a decentralized blockchain.

Back in 2019, the General Manager of the International Bank of Settlements openly spoke about their intent to use CBDC to control which products citizens will be allowed to spend their digital dollars.

The Federal Reserve New York Innovation Center is likely following suggestions endorsed and suggested by the WEF, IBS, G7 and other organizations that have no absolutely no legal authority over the US economy or any other economy.

According to data provided by CBDCTracker.org, more than 60 countries are currently researching or launching pilot programs using CDBC blockchain ledger technology.

Many of the political rank and file in Congress reportedly received donations from FTX and affiliated crypto organizations in the run up to the mid-term elections.


Republicans in Congress have already announced their intent to hold hearings on the collapse of the FTX crypto exchange and into influence peddling by the White House.

In the current bankruptcy petition, the company discloses that it owes its top 50 creditors a total of $3.1 billion dollars but has yet to publicly disclose the list of names.

Shortly after signing EO 14143, former US President Bill Clinton and former UK Prime Minister Tony Blair were both guest speakers at the Crypto Bahamas Conference.


Private Gold Ownership in the United States

During the pandemic the US Mint sold more ounces of gold, silver and platinum coins than ever before.

As a result of the pandemic, private ownership of gold and silver is now the highest it has been since Roosevelt confiscated gold in 1933.

Looking at only cumulative bullion sales of the American Gold Eagle coin series, the US Mint has sold roughly 45.5 million troy ounces of gold eagles from 1986 until 2021.

So far in 2022, it’s reported that the US Mint has sold roughly 976,000 ounces of gold coins as of November.

There have been a variety of problems reported by the US Mint in recent years related to supply chain and planchets that have effected the production of both Gold and Silver bullion coins.

Many investors have been fleeing from the stock and crypto markets due to ongoing inflation, mass layoffs, rising interest rates and fears of a recession or worse. Millions of Americans continue to lose faith in the US economy as millions face layoffs the war in Ukraine drags on without any end in sight.

Buyers demand low premiums on gold and silver. Investors, preppers and many every day Americans continue to search for a safe haven investment as some lobby for a return to a gold-standard economy.

As of March 5 2021, the US Mint stores 147.3 million troy ounces of gold at Fort Knox, down from the highest highest historic gold holdings of 649.6 million ounces in December 31, 1941.

According to the US Mint more than 512.3 million troy ounces of gold has been removed from the Fort Knox Gold Repository since 1941.

According to weekly published reports by the Federal Reserve, roughly 20 million troy ounces is stored in the New York Federal Reserve system.

Monthly Gold Report data provided by the Department of Treasury shows 261,498,926.2 million troy ounces in their inventory, with roughly 147.6 million ounces being held in Fort Knox, 43.8 million in Denver, CO and 54.0 million in West Point, NY. The DoT reports gold holdings at the Federal Reserve to be around 13.5 million ounces.

Between 1941 and 2022, the Department of Treasury seems to have a discrepancy of roughly 388 million troy ounces of gold.

Maybe someone should be asking where did all the gold that was removed from Fort Knox go?

Blockchain Backed Gold Ownership

Many central banks that increased their gold holdings during the pandemic, including Russia, China and other BRICS nations are experimenting with blockchain technology and how it may be able to help their economy.

Bitcoin and other decentralized blockchain technologies are a perfect use case to establish trust amongst sovereign central banks and in developing and emerging nations to validate their gold, other precious metals and minerals holdings to allow for fair participation in world trade and wealth building.

The first mined Bitcoin’s Genesis block contains an encrypted message attached to the blockchain that reads, “The Times 03/Jan/2009 Chancellor on brink of second bailout for banks.” 

Cryptocurrency technology was created in response to the crash of the financial markets in 2008.

The purpose behind the bitcoin, cryptocurrency and blockchain movements have evolved over the last decade.

Most importantly, these technologies can enable trust for the banking and financial system that has been plagued by corruption and mistrust since Roosevelt helped the bankers at the Federal Reserve steal the gold from the American public in 1933.

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A-Mark/JM Bullion acquires BGASC

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central bank digital currency

On August 30, A-Mark announced that their JM Bullion subsidiary had entered into an agreement to buy online bullion dealer BGASC for $4.5 million in cash.

BGASC was founded in 2012 in California and has reported more than 70,000 customers and $200 million in annual revenue. BGASC is an abbreviation for Buy Silver and Gold Coins.

Over the last few years, A-Mark has been leading an effort to consolidate and control many aspects of the bullion industry.

The Silver Heist channel on YouTube recently posted a video discussing the potential for long term impacts to consumers resulting from A-Mark’s ongoing acquisition-streak in the retail bullion industry that began with JM Bullion in 2021.

“Big Bullion Dealer Buys Other Dealer”, Silver Heist on YouTube!

As pointed out in the video, A-Mark has been acquiring stakes in many companies across all segments of the precious metals industry. The acquisitions have included refineries, smelters, wholesalers, distributors and retailers.

A-Mark now has control of an entire vertical segment from raw material to finished investment and industrial products. They have a stake in companies throughout all facets of the supply chain. Starting with the refineries, which is close to the point of extraction from mines.

At the refiner level of the supply chain the company has access to raw material from miners, recyclers and others through the ownership of Sunshine Minting and Silvertowne Mint.

Sunshine Minting was established in 1979 in Coeur d’Alene, Idaho. In 2007, the company was acquired by Tom and Patricia Power.

In 2020, A-Mark acquired a 31.1% stake in Sunshine Minting, which included a joint-venture in Shanghai, China.

Sunshine Minting plays an important role in the minting and distribution of American Silver Eagle coins.

The US Mint sources blank silver planchets from private mints and Sunshine Minting is a primary supplier of the raw blanks that are pressed into Silver Eagle coins.

A-Mark is also one of the “Authorized Purchasers” of wholesale products that are produced by the US Mint.

As an approved wholesalers, A-Mark is able to purchase products from the mint at a fixed markup.

According to business guidelines published by the US Mint in the spring of 2022, the current wholesale premium from the US Mint for American Silver Eagle coins is $2.35 per coin.

A-Mark and American Silver Eagle Retail Distribution

As of this morning, the lowest current online retail premiums from A-Mark affiliated bullion dealers is $14.41 per coin from BGASC, earning A-Mark affiliated investments a gross premium of $12.06 per coin over the combined spot price and $2.35 manufacturing cost of the US Mint. 

Other A-Mark affiliated online retailers that are listed on FindBullionPrices.com offer this exact same product at even higher price points and premiums.

In a way, A-Mark is able to strategic leverage their position in the industry to outsource the manufacturing of Silver Eagles to the US Mint at a fixed cost that they then sell at various price points through retail channels that they have influence over through investments or full ownership control.

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US Mint Halts Production of 2022 Morgan Dollar and Peace Dollar Coins

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Designs of the 1921 Morgan and 1921 Peace Dollars

The US Mint has announced a pause in the production of the new Morgan and Peace dollar coins. The suspension of sales and production is a result of supply chain constraints brought on by the pandemic.

The Mint has stated previously that they have been having difficulty procuring silver planchets to meet demand and production needs.

US Mint Deputy Director Ventris C Gibson said “I want to ensure that our customers know,” she said, “that the modern renditions of the historic Morgan and Peace Silver Dollars will continue next year. Our goal is straightforward: to give our loyal customers the products they want and the service they deserve.”

The modern renditions of the Morgan and Peace Dollar Silver Coins were introduced in 2021. Demand for the modern coins has been very strong amongst investors and collectors.

These coins are minted with .858 troy ounces of .999 fine silver.

Learn more about the 2021 Morgan and Peace Dollar Silver Coin series and find the best prices with FindBullionPrices.com

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What Is COMEX?

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COMEX is a commodities futures exchange where the supply of future raw materials and other goods is traded for delivery in the future.

KEY HIGHLIGHTS

  • COMEX is the world’s largest marketplace for futures and options trading for precious metals.
  • It is a division of the Chicago Mercantile Exchange (CME).
  • Precious Metals futures are mostly used for hedging and are not typically delivered.
  • The COMEX acts as an intermediary.
  • Each Silver Futures contract is the equivalent of 10 American Silver Eagle Monster Boxes.


COMEX is an electronic trading platform that allows investors and brokers to trade futures contracts on a variety of consumable resources, both man-made and natural.


Oil, pork bellies, orange juice and precious metals like gold and silver are just some of the natural resources that are traded via futures contracts.


Gold, silver, platinum and other metal and mineral resources that are bought and sold with futures contracts.

One reason for the COMEX market to exist is to give manufacturers of both consumable and durable goods some indication of what the cost to manufacture their products will be in the future.


Many manufacturers use silver in many of the tiny electrical components that are used in everyday items such as cell phones, hearing aid batteries and solar panels. Silver is a great conductor of electricity.

On average, electric vehicles that are being built today each have roughly 2 troy ounces of silver.

Precious metals prices can be volatile.

Trading silver futures on the COMEX market allows manufacturers to secure mined resources like gold and silver at a fixed price months before it is needed for manufacturing.

This also affords mining companies some indication of what they will be paid for getting silver out of the ground.

This helps manufacturers to more effectively manage the upstream supply chain and be able to go to market with a product that is competitively priced.

History of COMEX

Commodity Exchange Inc. (COMEX) is the main exchange for silver, gold and platinum futures.

The exchange was founded in 1933 through the merger of four smaller exchanges based in New York.

Of the four smaller trading exchanges, gold and silver were mainly traded through the National Metal Exchange.

According to CME Group, more than 400,000 futures and options contracts trades are executed each day on COMEX.

This is the most active and liquid precious metals exchange in the world.

The trading activities of traders worldwide influence the spot price of silver and gold around the clock.

Today, COMEX is part of the New York Mercantile Exchange (NYMEX) and is an operating division of the CME Group.

Silver & Gold Futures Contracts

The current spot price is silver is the price per ounce of silver being traded for delivery sometime in the future.

The vast majority of the gold and silver contracts that are traded are never intended for physical delivery.
Only a small percentage of the gold and silver futures contracts that are bought and sold actually get delivered to a buyer.

Silver futures contracts are comprised of 5,000 troy ounces of silver to be delivered at a date specified in the contract.

The price of a contract is based on today’s silver spot price per ounce.

If silver spot price is trading at $20 per ounce then the cost to buy one full contract of silver would be $100,000.

The futures market is most often used by Commercial Banks, Wall Street trading firms, hedge funds and other investment focused companies as a hedging vehicle used to mitigate risk they have in other investments.

Less than 1% of gold and silver futures contracts ever get delivered. The majority of trades are made on the promise of delivery without any intent to deliver.

Taking physical delivery of silver contract is done quite often by brokers, clearing houses, private mints, sovereign government mints, large scale manufacturers and others.

It’s possible that private investors could also take delivery of a silver futures contract. Delivery of precious metals can be arranged via armored car services for shipment from COMEX Registered Vaults to your private home vault or other secure location.

How much silver is in 5,000 oz futures contract?

While 5,000 troy ounces sounds like a lot of silver, it’s the equivalent of just 10 Monster Boxes of American Eagle Silver 1 oz coins.

Each Monster Box of Silver Eagles contains 500 troy ounces.

Every month the US Mint mints millions of 1 oz silver Eagle coins.

That’s equivalent to around 2,000 Monster Boxes, or ten full silver futures contracts consumed by the Treasury each month just to produce their signature bullion coin.

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Is it legal to own Precious Metals?

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For over 40 years, from 1933 until 1974, the US government made it illegal for citizens to own gold.

Thanks to President Gerald Ford, it is legal for everyone to own gold, silver and other precious metals since 1974.

History of Precious Metals Prohibition

In the early 20th century paper currency was far less common than today. Paper bills were often only available in large denominations commercial and interbank transactions. Much of the currency in circulation was coinage minted of silver and gold alloys.

Economies were still based on the gold-standard. The coins in circulation were minted of 21k gold, which is a mixture of 90% gold and 10% copper for strength and wear resistance during everyday circulation.

Gold coins before 1933 were minted in denominations that include the $2.50 (quarter eagle), $5.00 (half eagle), $10 (eagle) and $20 (double eagle).

In 1921, following the end of the first World War, the Morgan Silver Dollar was replaced with the Peace Silver Dollar. Both coins were composed of an alloy containing a mix of 90% silver and 10% copper. The amount of pure silver in each $1 USD coin being 0.7734 troy ounces.

Also during that time smaller denominations of coins, including the dime, quarter and half-dollar, we also minted from the same silver and copper mixture. The US Mint continued to issue 90% silver coins through 1964.

When clad coins began to circulate in 1965, some citizens remembered the gold seizure that happened thirty-two years early.

The roaring 20’s led to the Great Depression. Wall Street Banks, along with regional banks under purview of the young Federal Reserve system were happy to give out margin loans, unsecured credit in fiat currency.

During the economic hardship many people lost faith in the banking system. Instead of depositing cash into banks, many people turned to hoarding cash at home in the form of gold and silver coins.

During the Great Depression, Roosevelt used an obscure and obsolete piece of legislation meant to prevent the German government to profit from patents in the United States during the World War I as justification for his numerous Executive Orders to confiscate gold coins from the economy.

On April 5, 1933, after enduring several years of the Great Depression, President Franklin Roosevelt signed Executive Order 6102.

With the swipe of his pen, Roosevelt made it a crime for any US citizen to own gold coins, gold bullion or even gold certificates, which were a form of gold-backed fiat currency that was exchangeable for gold. In exchange, the government offered citizens $20.67 in fiat for each ounce of gold that was surrendered.

All gold was ordered to be surrendered to the government. Within the first thirty days the Treasury was able to collect roughly one third of the $1,400,000,000 in gold that was in circulation.

Any person who failed to comply with the presidential order faced imprisonment and fines of up to $10,000. Many private citizens and investors were put on a list, targeted, arrested, prosecuted, fined, imprisoned and had their gold seized.

The order did exempt some items. Such as jewelry, numismatic collectibles, items used by industry, some professions and artists.

In defiance to the order, people drilled holes or attached hasps to the coins to convert coins into pendants to hang on a chain to meet the minimum standard of jewelry.

The seizures, arrests and prosecutions of those who did not surrender their gold continued for most of 1933. Roosevelt signed additional Executive Orders throughout the year.

One of which gave the Justice Department the authority to build a list of citizens suspected to be ‘gold hoarders’. Essentially acting as a government backed gestapo.

During the summer of 1933, agents from the Justice Department visited the homes of “known hoarders of gold” to confiscate more than $38,901,009 worth of gold.

The Emergency Banking Act of 1933 was supposed to help restore faith in the banking system and the economy after the Federal Reserve led the country into the Great Depression.

The prohibition on private ownership of gold continued for 41 years.

Nixon Shock

During the early 1970s, Nixon was facing rising unemployment, high inflation, the looming oil crisis and political foes. In August of 1971, the President called together top economic advisors for a secret meeting at Camp David.

Notable participants in the meeting included Federal Reserve Chairman Arthur Burns and Treasury Secretary John Connally. Also present, then Undersecretary for International Monetary Affairs and future Federal Reserve Chairman Paul Volcker.

Following this meeting Richard Nixon authorized then Treasury Secretary John Connally to break the Bretton Woods Agreement that had defined the rules of international trade amongst many countries following World War II.

Without consulting any international leaders, the actions included the immediate suspension of the “gold standard”.

Nixon directed the Treasury Secretary to abolish the convertibility of dollars into gold through the London Gold Pool. This also removed the fixed price of gold from $35 an ounce to a market based system.

By 1973, the US gold standard that was established by Bretton Woods had been replaced. The new system based on free floating exchange of fiat currencies.

Following the resignation of Nixon, one of the first laws signed by President Ford included a bill which reversed Roosevelt’s Executive Orders.

The bill authorized expansion of the World Bank and included provisions that legalized citizens full authority to purchase, hold, sell, or otherwise deal with gold in the United States or abroad. It has been legal for anyone to own, hoard, buy and sell gold in the United States since December 1, 1974.

The gold bull run that followed culminated in a price peak of $850 USD per ounce in January 1980.

Sovereign Gold Bullion Market

The Gold Krugerrand was the first gold bullion coins to be sold to investors when it debuted in 1967.

At the time, apartheid sanctions against South Africa made it difficult to invest in Gold Krugerrands. The top gold coins of the day included the Gold 100 Corona from Austria and the Mexican 50 Pesos Gold Coin. These vintage gold coins have maintained their popularity with investors.

In 1979, the Royal Canadian Mint introduced the first mintage of the Maple Leaf 1 oz Gold Coin.

The basic design of the Canadian Maple Leaf 1 oz Gold Coin has remained largely unchanged since its creation.

The US Mint made several failed attempts during the early 1980s to woo precious metals investors. One notable attempt is the American Arts Commemorative Series Medallions.

There are ten medallions that are part of the American Arts Commemorative Series that were minted from 1980 through 1984.

The larger medallions are minted 1 troy ounce of pure gold.  While the smaller medallions contain 1/2 troy ounce of pure gold. At the time of release, the medallions were poorly received by collectors, the public and investors.

These medallions were struck from an alloy containing .900 fine gold. Today, these medallions are popular with gold stackers and investors and can are often on sale in the secondary market very close to spot price.

While the series was a commercial failure, it paved the way for Congress to create and establish the guidelines for the American Eagle series of coins from the US Mint.

Gold American Eagle

The American Eagle series premiered in 1986. It continues to be one of the most popular precious metal investment vehicles in the world.

It has been more than 52 years since the Nixon Shock moved off the United States off the gold standard.

Private ownership of gold, silver and other precious metals remains legal throughout the United States today.

Demand from investors continues to grow as more people continue to lose faith in the banking system, traditional investments like stocks and bonds as well as the federal government’s ability to manage and regulate effectively given the massive amount of corruption plaguing Washington.

As of 2023, more than 47 million ounces of gold have been used in minting of four denominations of American Gold Eagle coins. Investor demand for American Gold Eagle coins remains strong after 37 years.

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US Mint Clarifies Statement Regarding Global Silver Shortage

FindBullionPrices.com

The US Mint released a statement confirming a global shortage of silver after the website outages during the pre-sale of the 2021 Morgan Dollar commemorative coins.

“The global silver shortage has driven demand for many of our bullion and numismatic products to record heights. This level of demand is felt most acutely by the Mint during the initial product release of numismatic items.”

US Mint Press Release

This appears to be the first indication from a government agency acknowledging what many have been speculating for more than a year.

The lockdowns at the beginning of the COVID-19 pandemic forced the closure of many mines and the supply chains that turn raw ore into fine silver and gold. 

The shutdown of the mines and supply chains led to refineries scrambling for raw materials and mints running out of product to sell.

After some backlash, the US Mint has revised its statement about the shortage. 

“In more precise terms, the silver shortage being experienced by the United States Mint pertains only to the supply of silver blanks among suppliers to the U.S. Mint.”

US Mint Press Release

Silver blanks are manufactured for the US Mint by private mints. The US Mint didn’t specify which private mints were having issues supplying silver blanks. It has been documented previously that the US Mint has bought silver blanks from private mints such as Scottsdale Mint, Sunshine Minting, Coins’n’Things and other major industry players.

The US Mint has delayed the remaining pre-sales of the 2021 Morgan Dollars and 2021 Peace dollars. The prospective launch dates have yet to be announced.

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American Silver Eagle Mintage History

FindBullionPrices.com
2018 American 1 oz Silver Eagle

The American Silver Eagle Coin was created by the US Mint in 1986 to establish a way to encourage the private ownership of precious metals.

Silver Eagles are issued in both bullion and proof versions. Bullion versions are intended for investment and have higher mintages, while proof versions are produced annually, the mint has issued a variety of special finishes. The American Silver Eagle bullion coin is minted based on monthly sales demand. The mintage figures for proof Silver Eagles are significantly lower.

It’s important to note that while mintage figures can provide insights into the popularity and production levels of a coin, they are not the only factor that influences a coin’s value. Collectors also consider factors like the coin’s condition (graded or ungraded), rarity, and overall demand in the market.

American Eagle Silver Coin Yearly Mintage Figures

Year Bullion Proof Uncirculated (Burnished)
19865,393,0051,446,778 
198711,442,335904,732 
19885,004,646557,370 
19895,203,327617,694 
19905,840,110695,510 
19917,191,066511,924 
19925,540,068498,543 
19936,763,762405,913* 
19944,227,319372,168 
19954,672,051407,822 
1995-W 30,125 
19963,603,386498,293 
19974,295,004440,315 
19984,847,549450,728 
19997,408,640549,330 
20009,239,132600,743 
20019,001,711746,398 
200210,539,026647,342 
20038,495,008747,831 
20048,882,754801,602 
20058,891,025816,663 
200610,676,5221,092,477466,573
2006-P Rev Pr 248,875 
20079,028,036821,759621,333
200820,583,000700,979533,757
200930,459,00000
201034,764,500849,8610
201140,020,000847,473409,766
2011-S  99,882
2011-P Rev Pr 99,882 
201233,742,500832,779226,120
2012-S 281,792 
2012-S Rev Pr 224,935 
201342,675,000934,331221,981
2013-W 235,689 
2013- W Rev Pr 235,689 
201444,006,000894,614 253,169
201547,000,000696,001 200,016
201637,701,500595,664 216,422
201718,065,500(W) – 389,994
(S) – 123,906 3		 176,739
201815,700,000(W) – 352,141
(S) – 158,761		 138,947
2019 114,863,5001(W) – 319,086
(S) -146,735		138,140
2019-W Rev Pr 99,911 4 
2019-S Enh Rev Pr 29,8232 
2020 530,089,500(W) – 357,048
(S) – 146,729 (W) v75 – 75,0006		(W) 154,261
2021 7Type 1 – 25,675,500
Type 2 – 2,599,500		Type 1 – 299,509

 

(S) Type 2 – 238,454

(W) Type 2 – 311,982

Type 1 – 174,470

 

Type 2 –

202215,963,500 8

(W) 499,070

(S) 200,937

(W) – 160,025
2023 24,750,000 9
(W) 436,375 23EA

(S) 177,647 23EM

(W) 137,018 23EG
2024 10,802,000 10
(W) 243,182 24EA

(S) 24EM

(W) 24EG

American Silver Eagle History

The Liberty Coin Act of 1985 established the bullion coin program and directed the US Mint to create the first American Silver Eagle coins in 1986 and played a pivotal role in establishing the U.S. as a major player in the global bullion market. The primary objective was to authorize the U.S. Mint to produce gold and silver bullion coins for private investors to provide trusted precious metal coins for investment.

The Act was also part of a broader initiative that included reductions to the Defense National Stockpile of silver and to provide an avenue for individuals to invest in physical gold and silver as a means of diversifying their portfolios while providing an official means for Americans to own precious metal coins directly backed by the U.S. government.

This source of silver was depleted during the early 2000’s and the law was amended to allow the U.S. Mint to purchase silver on the open market to continue the Silver Eagle program.

American Eagle Silver coins are a trustworthy and easily recognizable investment choice that offer an accessible and trusted avenue to buy physical and own silver coins. The backing of the U.S. government for weight, content, and purity further bolsters investor confidence in these coins, ensuring high liquidity in the bullion market.

The law set initial design specifications and standards for the Silver Eagles that includes:

  • The coins will be 40.6 millimeters in diameter and weigh 31.103 grams
  • Each coin will contain .999 fine silver
  • Each coin will  feature a design symbolic of Liberty on the obverse side and of an eagle on the reverse side
  • Each coin will be inscribed with the of the year of minting or issuance, the words ‘Liberty’, ‘In God We Trust’, ‘United States of America’, ‘1 Oz. Fine Silver’, ‘E Pluribus Unum’, and ‘One Dollar’
  • Each coin will have reeded edges

During its initial mintage years, mintage totals were low due to lack of investor awareness. When the financial crisis and recession of the early 2000’s occurred, investor demand for American Eagles as a safe-haven assets skyrocketed with more than 10 million silver bullion coins were minted for the first time in 2002.

Throughout the 2008 financial crisis, demand for American Silver Eagles soared as the housing bubble expanded and collapsed, with mintage figures in most years surpassing 20 million coins.

The year 2020 brought significant disruption in the supply chain due to shutdowns caused by the COVID-19 pandemic. As a result, the United States Mint temporarily suspended Silver Eagle production, and mintage figures for 2020 were lower than usual before rebounding from the disruptions in 2021.

Rare Mintages and Collectible Silver Eagle

While these coins were created primarily for investment purposes, they also cater to collectors for their aesthetic appeal. Over the years, the U.S. Mint has released Proof Silver Eagles, Uncirculated or Burnished and special editions of these coins that have become highly sought after by numismatists.

Many collectors want to buy American Silver Eagle coins from each mintage year to build a complete set. Some dealers also sell a complete set of Silver Eagles with coins featuring coins from each mintage encapsulated and graded by third-party services like NGC & PCGS.

For many collectors, the most coveted coin is the debut 1986 Silver Eagle. As the inaugural issue of this series, this coin holds a special place for many collectors.

The lowest mintage to date is the 1996 Silver Eagle Bullion Coin. The US Mint produced just 3.6 million Silver Eagle coins dated that year. Even coins in poor condition can fetch high premiums.

The value of some Silver Eagle $1 Coins keep rising due to their rarity and demand from collectors and numismatists. Recent auctions reflect some of the higher numismatic premiums for these rare Silver Eagle coins. 

The 1995-W Proof Silver Eagle is perhaps the most famous and desired of all Silver Eagle coins. It was only included as part of the 10th-anniversary Gold Eagle Set and is the rarest Silver Eagle with a mintage of only 30,125.

Issued to mark the 20th anniversary of the Silver Eagle program, the 2006-P Reverse Proof Silver Eagle features a unique reverse proof finish. It was only available as part of a special three-coin set.

The 2008-W Burnished Silver Eagle with Reverse of 2007 variety was an unintentional error where the U.S. Mint used the 2007 reverse die in 2008. It’s distinguished by the absence of a serif on the “U” in “United.”

In 2011, the US Mint issued the 2011 25th Anniversary Set and is highly sought after because it included a reverse proof coin and an S-minted uncirculated coin as part of a five coin set.

The release of the 2019-S Enhanced Reverse Proof American Silver Eagle coin in November was met by incredibly high demand due in part to its limited mintage.




The mintage was limited to only 30,000 coins making it the lowest mintage of any variety of American Silver Eagle coin produced to date. The 2019-S Enhanced Reverse Proof American Eagle Silver coin sold out from the US Mint website in under 15 minutes.

During the 2020 mintage year the West Point Mint was closed for the period from April 15 until April 21. During a similar period, from April 8 to April 20, the U.S. Mint added silver American Eagle production to Philadelphia and produced 240,000 Silver Eagle Bullion Coins at that location.

These 2020 (P) Emergency Production Silver Eagles were issued without a mint mark. The only identifying markings were available on Monster Boxes. Some Monster Boxes that were certified as originating at the Philadelphia Mint have been cataloged and authenticated by various third-party grading services including NGC and PCGS.

Silver Eagles that have been graded by professional grading services, like the Numismatic Guaranty Corporation (NGC) or Professional Coin Grading Service (PCGS), and have received high grades (e.g., MS-70 or PF-70) can be especially sought after. First Strike or Early Release designations can also add to their desirability.

Burnished Silver Eagles are uncirculated coins, sometimes referred to with a “W” mint mark from West Point, have a distinct finish and are often sought by collectors.

Frequently Asked Questions About American Silver Eagle Coins

  • What is the American Silver Eagle?
    • The American Silver Eagle is the official silver bullion coin of the United States. It was first minted in 1986 and has been produced annually since.
  • What is the silver content of an American Silver Eagle?
    • Each coin contains one troy ounce of .999 fine silver.
  • What is the face value of the Silver Eagle?
    • The face value is $1, though its market value is determined primarily by its silver content and current silver prices plus an additional premium.
  • Where are Silver Eagles minted?
    • Over the years, they’ve been minted at various U.S. Mint facilities, including West Point, San Francisco, and Philadelphia.
  • Are there proof and uncirculated versions of the Silver Eagle?
    • Yes, in addition to the standard bullion version, the U.S. Mint also produces proof and uncirculated (or “burnished”) versions intended for collectors.
  • How can I tell if my Silver Eagle is real?
    • Authentic Silver Eagles have specific dimensions, weights, and designs. Coin dealers often use Sigma Verifiers, scales, calipers and other tools to verify authenticity. There are also easy at-home tests, like the “ping” test, the use of magnets or water displacement to help in identification.
  • Are Silver Eagles legal tender?
    • Yes, they are legal tender with a face value of $1. However, their intrinsic value, based on silver content, is much higher than their face value.
  • Can Silver Eagles be included in my Individual Retirement Account (IRA)?
    • Yes, American Silver Eagles, being .999 fine silver, meet the purity requirements to be included in precious metals IRAs.
  • How do I store Silver Eagles?
    • Many collectors and investors use protective capsules, tubes, or monster boxes (official U.S. Mint containers that hold 500 coins). Some also opt for safe deposit boxes or professional vaulting services.
  • Why do some Silver Eagles have different finishes or mint marks?
    • The U.S. Mint has released various editions, including bullion, proof, and uncirculated versions. Bullion coins typically don’t have mint marks, while proof and uncirculated coins often do. Special releases, like reverse proofs or enhanced uncirculated coins, have been issued for anniversaries or other occasions.
  • How do I buy American Silver Eagles?
    • Proof and Special Edition coins that are offered as numismatics are available to purchase from the US Mint. Bullion coins can only be purchased from precious metals dealers and secondary market sources.
  • Why are some years or versions of the Silver Eagle more expensive than others?
    • Prices can be influenced by mintage numbers, demand, coin condition, special designations (like “First Strike”), and historical significance.

American Silver Eagle Mintage History Notes & References

1 – Sales totals through November 30, 2019. December Sales Totals Unpublished.
2 – Announced Mintage was 30,000 coins. Sales totals shown are based on sales data supplied by the US Mint.
3 – The 2017-S Proof Coin was released in two special sets. One called the “Congratulations Set” (17RF) with an announced mintage of 75,000 units. The other “Limited Edition Proof Set” (17RC) with an announced mintage of 50,000 units. Sales records show 48,906 Limited Edition Proof Sets sold. Sales records do not indicate how many Congratulations Sets were sold that year.
4 – The 2019-W Rev Proof was released as part of the “Pride of Two Nations” set (19XB)
5 – Updated 2020 based on sales figures released by the mint January 5, 2020. The West Point Mint was shutdown from April 15 to April 21, 2020 due to the Coronavirus Pandemic. Minting of Silver Eagles was briefly shifted to the Philadelphia Mint and 240,000 ASE were minted. The only distinction of the Philadelphia ASEs is the box tracking numbers on the outside of the Monster Boxes. Box tracking numbers 400,000 through and including 400,479 were used on boxes of coins minted in Philadelphia. A total of 480 2020 American Silver Eagle Monster Boxes were minted at the Philadelphia Mint.

6 – The US Mint released a special proof American Silver Eagle coin to commemorate the anniversary of the end of World War II on November 5, 2020. This American Silver Eagle is the first to contain a privy mark embossed with v75. This special proof Silver Eagle has a limited mintage of 75,000 coins.

Source: USMint.gov Sales Reports

7 – 2021 will see 2 different designs of the American Silver Eagle. The “type 1” design, which has been the design since the program’s creation. The “type 2” design will be a new design and is expected to be released mid-year. Sales figures updated as of December 28, 2021

8 – 2022 Sales Figures through January 3, 2023.

9 – 2023 Year to Date Sales as of December 23, 2023.

10 – 2024 Year to Date sales as of April 28, 2024.