$1 LIBERTY-INDIAN PRINCESS GOLD PIECE 1849-1889

During the 19th-century, people had often complained that silver dollars were too large and heavy to carry around. The $1 gold piece posed quite a different problem. They were too small and could easily be mislaid or lost. They are about three-quarters the size of today's dime.

But make no mistake about it, these tiny coins packed a lot of punch as far as purchasing power. They were equivalent to a full day's wages or more for most Americans in the mid-1800s.

Today, the $1 Liberty/Princess gold piece enjoys enormous respect from investors and collectors worldwide for its historical significance, value, and rarity. The coin was minted at five facilities, Charlotte, Dahlonega, New Orleans, San Francisco, and Philadelphia, from 1849 to 1889 with three variety types.

At Minuteman Rare Coin Company, with our experience, expertise, market knowledge, and a large network of resources, our clients have access to some of the finest, scarcest, rarest, and most valuable $1 Liberty/Indian Head Princes Gold pieces in the rare coin market.

THE CALIFORNIA GOLD RUSH

The smallest coin ever produced by the U.S. Mint owes its existence to the most significant gold discovery in U.S. history. On January 24, 1848, James W. Marshall saw something shining in Sutter Creek, along the American River in California. He had unexpectedly discovered gold, and once word spread, the California Gold Rush had begun. Some $600 million in gold was discovered. It is the equivalent of nearly $20 billion in 2022 dollars to put that in perspective.

The territory's population exploded from 25,000 to over a half million. There's no mistaking the gold rush with its flood of 49'ers opened the door for statehood and was responsible for making California the nation's 31st state in 1850.

The massive amounts of gold being extracted from California prompted the U.S. Congress to authorize three new denominations, the $1, $3, and $20 gold pieces between 1849 and 1854.

In 1849 the "pipsqueak" $1 gold piece was produced and issued for circulation and began its long and storied 40-year run.

The $1 Liberty/Princess series has three variety types. All three types were minted at the main Mint in Philadelphia, Charlotte, Dahlonega, New Orleans, and San Francisco. There are a total of 81 date and mintmark combinations.

$1 TYPE I LIBERTY HEAD GOLD PIECE
(1849-1854)

The $1 Type I gold dollar debuted in 1849, and the gold $20 Double Eagle in 1850. The nation now had the smallest and the largest issued gold coins in circulation, not only in denomination but also in size.

During its six years of production, Type I gold dollars were struck at five facilities. Only the Philadelphia and Dahlonega mints issued them every year of the series. The San Francisco Mint produced them in 1854 only, while Charlotte and New Orleans struck them every year except 1854.

For the most part, mintages were high from Philadelphia and New Orleans but much smaller at the other three branch mints.

Type I gold dollars are scarce but available in grades up to MS-64. They are very scarce in Gem MS-65 and rare above that level.

The 1854-S carries high demand among investors and collectors due to its low mintage output of only 15,000 coins and that it was the only year the San Francisco Mint struck the Type I variety.

$1 TYPE II INDIAN PRINCESS "SMALL HEAD" (1854-1856)

By 1854, citizens wanted the gold dollar to be larger and less likely to be lost or misplaced. The Bureau of the Mint ordered a design change. The new design portrayed a Native American Indian Princess. The coin was named the $1 Indian Princess "Small Head." The Type II design was made larger by 15% and was easier to keep track of and less likely to be lost.

Type II lasted only three years, and barely 1.6 million specimens were produced during its brief existence before giving way to a new Type III design. The main Mint in Philadelphia accounted for the vast majority of the mintages. All three southern branch mints produced the coin in 1855, but mintages were minimal.

1856 San Francisco $1 Gold n Princess Small HeaIndiad

A new branch mint in San Francisco opened in 1854 and was the only mint to produce the Type II $1 Indian Princess in 1856, minting a minuscule 24,600 coins. San Francisco 1856-S specimens are always in high demand by investors and collectors.

For example, this coin certified and graded below Mint State in AU-50 (About Uncirculated) condition commands prices above $2,000.

Type II pieces tend to be weakly struck, especially ones minted from San Francisco. Specimens that are well struck and earn a high certified Mint State grade are rare. Their prices reflect that rarity. Type II coins are exceptionally elusive in Mint State condition and scarce in MS-65 and above.

$1 TYPE III INDIAN PRINCESS "LARGE HEAD" (1856-1889)

It took three tries, but the third attempt was a charm as the new Type III $1 Indian Princess "Large Head" was released in 1856. The new gold dollar's size proved satisfactory and continued for the next 23 years. The third variety kept the portrayal of a Native American Indian Princess with the size of the coin slightly enlarged.

Mintages were high in the early years partly because worn-out or uncurrent gold coins were being re-coined into the new design during that time. For example, the first two years of the Civil War in 1861 and 1862 saw large numbers of Type I gold dollars hit the melting pot for re-coinage into Type III gold dollars.

The Type III variety production topped one million pieces in a single year only twice, in 1856 and 1862. In the early years, the southern branch mints in Charlotte and Dahlonega turned out gold dollars regularly. In 1861, the confederate Army seized all three southern branch mints, shutting those facilities down.

1868 $1 gold Type 3 Indian Princess with Large Head

After 1861, all $1 gold coins were struck at the main Mint in Philadelphia, except for the San Francisco Mint issue of 1870. Unlike in the East, where gold coins had not circulated since the summer of 1861, in California and the majority of the Far West, the use of gold and silver coins never left the marketplace.

The 1870-S saw heavy circulation, accounting for the rarity, value, and high demand it receives today from investors and collectors in grades above Mint State 63.

During the mid-1880s, there came a realization that the $1 gold coin held little practical use for the ordinary citizen, and in 1889 the last coin was struck.

During its 33-year lifespan, Type III coincided with one of the most turbulent periods in American history. A third of a century passed, during which it endured the Civil War, the Reconstruction Era, and the Indian Wars. All of which left indelible marks on the nation.

OUR RECOMMENDATION

The $1 gold series is of considerable size with 81 date and mintmark combinations, including three varieties covering 40 years.

The Type II design is scarce in all grades and extremely rare in higher grades. It would take a sizable investment and considerable patience to complete the series in certified AU (About Uncirculated) to low Uncirculated Mint State condition.

The alternatives to pursuing the entire $1 gold piece as a series are to build a significant 3 coin typeset by acquiring one coin from each of the three different varieties in the highest affordable grades.

Or, assemble date runs by choosing one of the four decades and acquiring a specimen representing each year of the decade, which would consist of 10 coins.

Also, we encourage acquiring select $1 gold piece examples from each of the historical Southern branch mints of Charlotte, Dahlonega, and New Orleans, along with coins produced during the Civil War as they become available.