Jim Bisognani: A Triple Crown Set for June Auction

Well, my fellow coindexters, spring finally arrives this weekend. New England residents are anxious for the new season. It has been a long cold winter in these parts! At least the coin market has been keeping things warm — make that hot, very hot. In fact, all rare or unique items flying under the collectibles banner are achieving, it seems, new records almost weekly.

Yet, my favorite hobby has been temporarily relegated to the back seat of the collectibles juggernaut. Amazingly, the $9.36 million shelled out for the NGC MS 65★ Brasher Doubloon that made headlines for garnering a world record price for a gold coin seems like ancient history in this market.

1787 ‘EB’ on Wing Brasher Doubloon graded NGC MS 65★ and pedigreed to the Partrick Collection. Realized: $9.36 million Click images to enlarge

While media attention can sometimes be fleeting, it reported that a JPG file NFT (non-fungible token) sold for $69 million at Christie’s on March 11. The piece, “Everydays — The First 5000 Days,” is a collage of all the images that the digital artist Beeple has created and has been posting online every day since May 2007. The artist employs digital software to create his special take in an irreverent pictorial commentary on 21st century life. Beeple’s collaged JPG was made, or “minted,” on February 16 as an NFT.

A few thoughts

I applaud Beeple for his fame and newly “minted” wealth. In my opinion, it is a real stretch to call this art — at least in the classic sense. The incredulous fact that it was just “minted” last month forces the coindexter in me to ask the question: Why?

I can easily justify such lofty prices realized if we were talking about a creation from one of the art world’s masters or even the more eclectic Warhol… but nearly $70 million for something created digitally? If collectibles such as this NFT can rake in 7 times what the aforementioned Brasher Doubloon sold for, what will it take for truly rare and historic numismatic coins to claim anything near this NFT?

The comeback trail

The upcoming March 25 sale of a Pogue 1822 Half Eagle, unique outside of the Smithsonian, will perhaps put US gold back in the driver’s seat and perhaps establish a new record price. Amazingly, yours truly wrote in my last column about the famed 1933 Saint-Gaudens Double Eagle, and now it is hitting the auction block on June 8! (An easy date for me to remember as it is my wedding anniversary). Almost 19 years to the day, the 1933 Double Eagle sold for a then-record $7.59 million to an anonymous collector. Well, that veil of anonymity has been lifted thanks to James Barron’s recent article in The New York Times.

This 1933 Saint-Gaudens $20 is returning to the auction block June 8.

The 1933 Saint’s owner be praised

Stuart Weitzman, the American shoe designer, entrepreneur and founder of the shoe company Stuart Weitzman, has a dramatic and penchant flair for “finest knowns.” He has provided many of his one of-a-kind million-dollar shoe creations to Oscar nominees to wear at the annual Academy Awards ceremonies.

June seems to be a poplar buying month for Mr. Weitzman. It was June 17, 2014 that he had an agent anonymously purchase the "world's most famous stamp," the British Guiana 1c magenta at a Sotheby's auction in New York for $9,480,000, including buyer's premium, the highest price ever paid for a postage stamp! In June 2015, Weitzman identified himself as the current owner of the unique plate block of four 1918 U.S. 24-cent Inverted Jennies, widely regarded as the world's most celebrated philatelic printing error.

A Triple Crown set for June 8

All three of these world-famous icons, from the numismatic and philatelic hierarchy, will add additional thunder to the already raging collectibles market, as the trio will appear for sale through Sotheby’s on June 8 in the Big Apple. As Weitzman said, “No one takes a U-Haul to the cemetery” and “We have to figure out what to do with all this stuff.”

Perhaps, the results of the 1933 Saint will leapfrog over the hypothetical record, previously established by the 1822 Half Eagle! Could it be that three records are broken within the first 6 months of 2021? As I said, records are being broken at a record pace.

“Opportunity Knocks” An original by Jim Bisognani. Anyone want to offer me $69 million?

Opportunity Knocks

I have witnessed that many of the truly low-mintage coins of popular series – both US and world – are having a dynamic revival and collectors are carefully viewing what is available. On a smaller scale, the appetite for quality and rarity are tremendous, as are the prices generated for the NGC-certified and raw material in online auctions.

This is where the NGC site — our US and World Coin Price Guides, Census, Auction Central, etc. — become invaluable. I know if I had $69 million to shell out, I would carefully curate a mind-boggling array of US and world coins. It would take time but be worth the effort.

Now back to the reality of the average collector. According to David, a well-known coindexter/dealer friend of mine, one thing to be cognizant of is unfounded rapid acceleration in prices in this blistering sales climate:

“I am referring to several mid-20th century regular series silver issuess as well as modern silver, gold and platinum Eagles. Especially those in Proof Ultra Cam. All I can say is keep an eye out on census vs. price. I know of one well-known dealer who is raising prices merely because of his self-proclaimed expert status.”

My friend David continued to say that all collectors have so many great tools at their disposal, just a mouse click away. “Just because a dealer prices something at a certain level doesn’t mean the price is right. I have even heard many modern dealers bemoaning that it isn’t a ‘nice 70’...”

I have heard this comment before. At face value, I understand it may seem ludicrous that a 70 — any 70 — isn’t nice. In some instances, the term rings true. Take a US Silver Eagle as an example: When the mint coin was first encapsulated and graded — it was an absolute MS/PF 70. Yet post-encapsulation, many Silver Eagles were prone to develop sundry dreaded “milk spots,” which do distract from the overall appeal prestige and ultimate price realized, etc.

The (asking) price isn’t always right

While my friend’s proclamation may sound ominous, it really isn’t. Because, as the consumer of all things numismatic, you should always perform due diligence. Look at the census and current auction trends.

If you see a coin that has been trading for around $5K and Dealer X is touting the same like-graded coin at 3 or 4 times the “going” rate, just take a step or two back — and take an antacid, if necessary — and allow a few minutes to digest the facts and the current market. Of course, in the instance where a coin in a particular series stands alone as the finest known, well then you may be at the mercy of the seller.

Senses vs. Census

When comparing a coin, there is a major distinction for a coin that is singularly the finest-known example vs. a coin that shares the finest-known status with thousands of others! Yet, certain sellers will often use this ploy in substantiating a higher value. Per David, “Hey, there are instances when sellers have been touting certain MS 69’s as even better than an MS 70. One well-known trader tried his darndest to make his case that a certain MS 69 Gold Eagle should be priced much closer to the top-end, low-population MS 70 coin even though there were tens of thousands of that coin residing in the MS 69 census!

Hey, I would love to get started on my all-star collection as soon as my art piece sells — it shouldn’t take long in this market.

Until next time, be safe and happy collecting!

Jim Bisognani is an NGC Price Guide Analyst. He has written extensively on US coin market trends and values.

Want to see more articles like this? Subscribe to the free NGC Weekly Market Report.