Status of American Silver Eagles in Question for 2010

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The United States Mint has issued the American Silver Eagle coins since 1986. The one ounce silver coins are issued in two different versions for both precious metals investors and coin collectors. Last year the high demand for precious metals caused the cancellation of the collector versions. The situation has continued, bringing doubts to the status of the 2010 collector coins.

The bullion version of the coin is distributed by the United States Mint through their authorized purchaser network. These large scale buyers purchase the coins directly based on the price of silver plus a fixed mark up. The authorized purchasers distribute the coins to other bullion dealers and sell the coins to the public, and provide an outlet for resale.

The collector coins are sold directly by the United States Mint. Recent offerings have consisted of a proof version of the coin, which features frosted raised elements and mirrored background elements to produce a cameo effect. These high quality strikes are sold at a premium price. A second offering is the collectible uncirculated coin. These are struck on specially burnished blanks and carry a “W” mint mark to signify mintage at West Point.

Based on statements from the United States Mint, they are legally required to produce the bullion coins in quantities sufficient to meet public demand. There is no legal requirement to produce the coins for collectors. Based on their interpretation of the law, the US Mint sourced all incoming precious metals blanks to the production of bullion coins.

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In October 2009, they officially announced that the 2009 Proof Silver Eagle and 2009 Uncirculated Silver Eagle would not be issued. The Mint cited their legal obligation to produce bullion coins and stated that they would work with precious metals blanks suppliers to attempt to increase supply, so that more coins could be produced in 2010.

The US Mint was recently forced to suspend the sale of silver bullion coins amidst another surge in demand. Sales to authorized purchasers were resumed shortly thereafter, but under an allocation program, which limited the number of coins that could be purchased. Collectors are hoping that the US Mint can reverse the situation soon so that the 2010 collector coins may be produced.

Learn more about the American Silver Eagle. Keep up to date with the latest information about the status of the 2010 Silver Eagle.