Tuesday, April 1, 2008
The Krugerrand was the first gold bullion coin that was "legal tender" currency AND that sold from the mint directly to investors for its gold content. Only available in 1 ounce coins, the Krugerrand was very popular with American Investors because of its "protected status" as a foreign currency.
Between the 1930s and the 1970s it was illegal to own gold bullion as a "private citizen" in the United States. In an effort to bolster the dollar, Franklin Roosevelt ordered that all privately held gold reserves be confiscated in return for the relatively new "greenbacks".
Thus, later on, many Americans realized they could own gold bullion as long as it was coined "legal-tender" by a non-American entity (South Africa).
Apartheid was a brutal segregation of the Black Majority from the White Minority. To protest Apartheid, Krugerrands were boycotted. They have since fallen out of favor and were replaced by the Canadian Maple Leaf in the late 1970s as the "gold bullion coin" of choice.
To Learn How To Invest in Gold:
Paul A Drockton M.A.
"Why Gold Will Hit $4,000"