According to Stack’s Bowers Galleries, a rare coin- the 1794 silver dollar- sold at auction for $10,016,875 in January of this year. The inflation of the price for that silver dollar amounts to more than 1 billion percent. The annual gain for this rare coin that is over 200 years old is about 7.6%. This is an excellent example of compound interest on rare coins. Whether you are starting a collection or a proficient numismatist, it is important to understand that a rare coin collection often takes time to mature. However, the wait may be the best investment opportunity.
The sale of this coin was a historic one. The coveted 1794 Flowing Hair silver dollar set a world record price for any coin. The Flowing Hair dollar was the first dollar coin issued by the US Federal Government. Throughout history, the 1794 silver dollar has ben considered one of the most rare and valuable of all United States coins.
Below you’ll find a video of David Bowers (the seller of the rare coin) on the prized 1794 Flowing Hair Silver Dollar coin.