The Rare 1804 Silver Dollar: From Diplomatic Gifts to Million-Dollar Auctions

The 1804 Draped Bust Silver Dollar is more than just a coin—it’s a piece of American history and one of the most famous coins among collectors. This coin has garnered significant attention, featured in books, documentaries, and even major coin conventions. With its rarity, high value, and captivating story, it sits at the top of many collectors’ wishlists.

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A Surprising Beginning

Interestingly, the story of the 1804 Draped Bust Silver Dollar didn’t start in 1804. It was during President Andrew Jackson’s administration in 1834 that the U.S. Mint received an unusual request: to create coin sets as diplomatic gifts for foreign leaders, like the King of Siam and the Sultan of Oman. These coins were meant to represent each U.S. denomination, even though silver dollars hadn’t been struck since 1804—and even those bore the date 1803. In response, the Mint created new dies and produced a small number of 1804-dated Draped Bust Silver Dollars for the gift sets.

A Second Production in the 1850s

The Rare 1804 Silver Dollar: From Diplomatic Gifts to Million-Dollar Auctions

Years later, in 1858, another batch of the 1804 dollars was struck using a different reverse die and a slightly lighter planchet. This “re-strike” version, however, sparked controversy among collectors because it lacked edge lettering, which was common on earlier coins. Eventually, all but one coin from this re-strike batch were destroyed. This single surviving coin can now be found in the National Numismatic Collection at the Smithsonian. Today, only six examples of the second re-strike are known to exist.

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The Coin’s Design

The Rare 1804 Silver Dollar: From Diplomatic Gifts to Million-Dollar Auctions

Robert Scot designed the Draped Bust Dollar, featuring Lady Liberty on the front (obverse) with her draped bust facing right. Thirteen stars surround Liberty, representing the original colonies. The reverse shows a heraldic eagle holding an olive branch and arrows, with a banner that reads “E Pluribus Unum.” The coin’s edge reads “Hundred Cents One Dollar or Unit.”

Why It’s So Valuable

The Rare 1804 Silver Dollar: From Diplomatic Gifts to Million-Dollar Auctions

The rarity of the 1804 Draped Bust Silver Dollar adds to its allure. With fewer than 20 known to exist, collectors are willing to pay millions for these coins. For instance, the finest known specimen—the PF-68 Watters-Childs example—was sold at auction for $4.14 million in 1999. As demand for rare coins has grown, so has this coin’s value, rising from $30,000 in the 1960s to over $6 million today.

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Coin Collecting for Beginners

The Rare 1804 Silver Dollar: From Diplomatic Gifts to Million-Dollar Auctions

If you’re interested in collecting coins, several books can guide you. “Coin Collecting: Newbie Guide to Coin Collecting” covers the basics, from the importance of gold and silver coins to tips on investment. Another helpful resource, the “Handbook of United States Coins,” provides price insights and is a must-have for any serious collector.

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