Lot 2054
1878. NGC graded MS-66. Only 25,000 examples are estimated to have survived. Lovely rich golden toning. A beautiful coin. The 1878 $3 is interesting among later issues in that 82,304 were coined. For many years, indeed since the waning days of December 1861, such pieces had not been available at par and did not circulate in the East or Midwest. Now, by congressional mandate, on January 1, 1879, all gold coins were to be exchangeable at par with Legal Tender notes and other paper money. Anticipating a rush, the Mint produced additional examples of certain denominations. Rumors swept through the financial community in December, to the effect that come January 1, the bank vaults would be completely cleaned out, this despite millions of dollars in gold being set aside for the purpose.
Par was achieved on December 17, 1878, nearly two weeks ahead of the legal mandate. In the end, there was no rush for gold at all. Customers of banks were content in the knowledge that if desired they could exchange paper for gold. However, by that time paper had become familiar in circulation, and the assurance that it was now backed fully by gold was enough. Paper (and demand deposits, checkbook money) continued to dominate in commerce, and after 1878 coins of any gold denomination were hardly ever seen except in certain areas of the West.
As to the 82,304 $3 pieces minted in this year, presumably many of them were paid out to banks, where at least some remained in vaults for years after, thereby accounting in part for the 8,000 to 10,000 Mint State pieces known today. Pop 34; 17 finer (PCGS # 8000) .
Estimated Value $15,000 - 16,000.
The Stocker Estate.
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| Realized $16,100 |
