What is a Kruggerrand?
The Krugerrand is the world’s first modern gold bullion coin, introduced in 1967 by the South African Mint. Known for its durable 22-carat composition (91.67% gold and 8.33% copper), it was specifically designed to enable private ownership of gold. Unlike many bullion coins, the Krugerrand is legal tender in South Africa, though it does not carry a face value. Its global recognition, historical significance, and liquidity make it a favored choice among investors and collectors worldwide.
Proof Krugerrand with protective plastic casing and SA Mint box. What is a Krugerrand?
A 1 oz Krugerrand should weigh 33.931 grams and contain 31.1 grams of pure gold, equivalent to 1.0 oz fine gold. The remaining 2.826 grams consists of copper, giving the Krugerrand its distinctive 22-carat gold composition, which enhances its durability and gives it a slightly reddish hue compared to pure gold coins.
The coin's diameter typically ranges between 32.61 mm and 32.77 mm. Its thickness has varied slightly over the years:
- Before 1976: Between 2.972 mm and 2.87 mm
- 1976–1979: Between 2.972 mm and 2.740 mm
- After 1979: Between 2.84 mm and 2.74 mm
The Krugerrand was first minted in 1967 and was the world’s first modern gold bullion coin. It quickly gained popularity due to its legal tender status in South Africa and its easy tradeability worldwide.
Unlike many bullion coins, the Krugerrand has no face value, meaning its worth is directly tied to the prevailing gold price. This unique characteristic makes it an excellent investment.
As discussed on the Proof page, Bullion Krugerrands feature a noticeably coarser reeding, which can be easily distinguished with the naked eye. Additionally, Proof Krugerrands have a finer reeding and a mirror-like finish, making them highly sought after by collectors.