Does a 22-Karat Gold Coin Still Contain an Ounce of Gold?
Yes.
We sell a variety of one ounce gold coins that vary in purity from 22-karats to 24-karats. These coins all share one common attribute: they contain one troy ounce of gold. We also sell 1/4 and 1/2-ounce gold coins, and the same holds true for the fractional coins. If you purchase a 1/4-ounce fractional gold coin, the coin will contain a 1/4 ounce of gold.
Gold purity tends to be measured by karats – abbreviated “kt” – with 24-karat gold designated as 0.999 fine or above. Pure gold fineness would be 1.000; however, the softness of gold would make such coins impractical to use, so 0.999 fine and above is considered pure gold. These coins contain only the most minuscule amount of another metal – or ‘alloy’ – needed to make them tradable. With a 22-karat coin or a 18-karat piece of jewelry, more alloy is mixed into the product to create strength and/or manipulate the color.
The American Gold Eagle and South African Krugerrand bullion coins, for instance, are made up of .9167 fine gold, thus making them 22-karat. But they still contain one troy ounce of gold – which is why they weigh 1.0909 troy ounces overall. The added alloy creates a more durable coin, and is considered desirable for bartering or home storage.
But since gold coins aren’t typically used for daily transactions (at least not today) and are most likely to be stored securely in protective packaging, gold coins with higher purity are also great for investment. The most well-known pure gold bullion coin is the Canadian Gold Maple Leaf, created by the Royal Canadian Mint. The Maple Leaf, American Gold Buffalo, Austrian Philharmonic, and Australian Kangaroo are all .9999 fine.
Many customers expect that a coin with a higher gold purity would be more expensive than a 22-karat coin. This is not always the case, and certainty not with the Canadian Gold Maple Leaf. This is our most popular product, with lower premiums than the American Gold Eagle. If you are looking for more gold for your dollar, and you plan to protect the coin from scratches and nicks, the Maple Leaf is the best bang for the buck.
Whether it is 22- or 24-karat gold, every coin we sell is in superb condition. We sell only investment-grade products at competitive prices. To learn more about gold purity or our offerings, call a Euro Pacific Precious Metals Specialist today at 1-888-GOLD-160 (1-888-465-3160). No sales pitches, only straight answers.