The Fascinating History of Silver Eagle Dollars


The Silver Eagle dollars are the official silver bullion coin of the United States.  The history of Silver Eagle dollars is a very interesting one for both collectors of these beautiful coins and for investors who are attracted to them due to the rising price of silver bullion.  They were first released on November 24, 1986 after congress authorized their production.

The idea for the Silver Eagle bullion program had been around for more than a decade as the government considered ways to sell off silver from the Defense National Stockpile.  The production of silver in the U.S. far outpaced the demand for it while its strategic value to the U.S. diminished. The sale of silver was opposed by silver mining states because in the decades leading to this program any serious discussion of a sell-off caused the price of silver to drop.  In addition, military supporters in congress held up the sale until they received guarantees that proceeds would be used to fund items more urgently needed in the stockpile.

Eventually an executive decision was made to begin selling excess silver, partly in response to a Reagan-era initiative to help balance the national budget through such a sale.  Sales of Stockpile silver began in 1982 and later that year Senator James McClure, a republican from Idaho, introduced legislation for a silver bullion coin program while an identical bill was introduced in the House.  The bills were never voted upon but they were influential in Interior Secretary James Watt announcing the suspension of government sales of Stockpile silver, with the effect that the price of silver rose substantially.

The debate continued and finally in 1985 an amendment was added to a banking bill that authorized the formation of a silver bullion coin program to begin no earlier than September 1986.  The House and Senate passed the bill and President Reagan signed it into law.

The design chosen for these special coins features a versions of Walking Liberty by Adolph Weinman on the obverse and a heraldic eagle designed by John Mercanti on the reverse.  The coins are considered to be some of the most striking produced in the 20th century.  The first Silver Eagle dollar was struck in San Francisco in October 1986 and were produced at the San Francisco mint until 1998.  For 2 years they were then minted at the Philadelphia mint and since 2001 all Silver Eagle dollars are minted at West Point.

The standard bullion coins do not have a mintmark.  Proof coins have been minted at San Francisco (S) and West Point (W) but no proof Silver Eagle dollars were offered in 2009 or 2010.  Uncirculated coins were minted at West Point from 2006-2008 using burnished blanks and bearing the W mintmark.

Several special issues have been offered including the Philadelphia Set from 1993 that commemorates the bicentennial of the first coins minted there in 1793.  The set contains 5 separate coins including a Silver Eagle dollar and several American gold Eagle coins.  In 1995 a special Silver Eagle was minted at West Point to commemorate the program’s 10th year.  In 2006 the 20th anniversary of the program was celebrated with a coin minted at Philadelphia.  It is known as the Reverse Proof Silver Eagle and was offered in a set that also included a regularly minted Silver Eagle as well as an uncirculated burnished coin.  Others special issues offered over the last 2 decades are also sought after by collectors the world over.

In the years since the American Silver Eagle was released the mint numbers have gone up and down.  1986 saw the release of 6.8 million coins and the number nearly doubled to 12.4 million the next year.  In the years from 1988 through 2000 mint numbers ranged from 5-8.5 million and then they began to ascend steadily.  In 2008 21.8 million coins were produced and the number in 2009 was a whopping  30.5 million.  Through August 2010 more than 23 million 2010 coins have been sold.

These coins continue to rise in value following the price of silver but are also considered to be of premium value because of highly collectible quality produced by their beautiful design.

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