2021 Morgan & Peace Dollars

[Junior]

2021 Morgan & Peace Dollars

By: Jordan Graveline

 

When it comes to the newest addition to the coin collecting family, the 2021 Morgan and Peace dollars are really hyped up. If you are reading this post the odds are you already know the hype is real. But what about the price of these coins? Is it really worth it to buy them? If you glance at the date this was written, it's probably wise to think long and hard about it. This post is being written days after the last release of the 2021 Morgan (P) and the only release of the 2021 Peace (P). Initial offering of the various mint/privy marked Morgans as well as the only Peace dollar were released at $85 (USD) per coin. Considering that nothing is done these days to operate at a loss (or break even for that matter), then the cost of silver planchets plus the dies does not put the initial price offering of $85 USD as unreasonable. In the secondary market however, the price has exploded beyond comprehension.

Not only are these coins selling like hotcakes, they aren't even in the hands of the secondary sellers yet! The US mint called their offering a pre-sale of these coins which will be shipping out in October of 2021. So selling a coin that is already under pre-sale is considered a pre-pre-sale? Sounds absurd right? Either way, the various Morgans are selling anywhere from $150 (USD) for a Morgan minted in Philadelphia to $600 (USD) for a Morgan bearing the CC privy mark. There are some outliers both high and low. Don't even get me started on the sales of a complete set (Morgan CC privy, O privy, S mint, D mint, P mint & Peace dollar:  six coins in all). But for your own curiosity, they range from $1500-2500 (USD). So is it worth the money to grab any or all of these coins in the secondary market? That greatly depends on the buyer and his/her intentions. 

If you want to buy these coins to hold and treasure for a coin collection, then you may consider it. I myself am a lover of the Morgan dollar and assembled a modest year set (mixed mints and grades) for under the price of the complete set of 2021 Morgans/Peace dollar set. The one thing that would deter myself from spending the money in the secondary market has to do with an 'uncertainty' listed on the US Mint's website itself. Product limit for the five different Morgan dollars is 175,000 for each and 200,000 for the Peace dollar. However, the mintage limit for all six coins is not listed. Does this mean the US mint could produce more of these coins if demand for them was high enough? Maybe. If so, would that not flood the markets with all the necessary supply for those who want one, two, or all six coins? Maybe. Should this come to pass, prices in the secondary market could go down from where they are now. The risk goes both ways. Prices could come down if you buy the 'pre-pre-sale' in the secondary market, but prices could certainly go higher.

I consider the value of a coin to be more than just rarity. It's the beauty in the design, the history associated with it, and of course the feeling you get from seeing/holding it in your hands. Price can sometimes be no object, but even price itself needs to be justified somehow. My opinion (feel free to judge) is that a new release with a possible unconfirmed mintage is not worth more than the $85 (USD) that the US Mint has set for them. I justify this based on older Morgan dollars. Minted 1878-1904, & 1921: 175,000 would represent a low mintage of that time. Even less still would grade in the eye appealing MS63/64 or Gem grade MS65 or higher. The lack of high grade MS coins would justify such high prices on older Morgan dollars. I want to point out the obvious here, these 2021 Morgans and Peace dollar are all going to be some form of high quality MS68/69/70 because they will be uncirculated and unhandled. 

In closing, supply and demand solves price. High demand mixed with low supply will keep the prices of these coins high. If the US Mint were to increase the mintage limit beyond the stated product limit of 175,000 (Morgans) & 200,000 (Peace), then the prices could cool down as a rise in supply will meet the frenzy demand we have been seeing in the secondary market. Is it worth the risk? You decide for yourself. Each collector will think differently of the situation.

[SilverJacks]

With demand being so high for them, will supply still be short even with further additions to come like a full set as you mentioned? Or, will hype subside and market slow down with it?

The US market is huge compared to UK. I'm intrigued to see what they go for over here. With increased interest in Morgans recently and the hassle of importing them, will they command a premium or will UK interest not be strong enough?

I'm intrigued by the CC currently commanding so much more than the rest. I understand its historical importance but the mintage is the same as any other mint mark. I would've assumed the Peace dollar would command highest premium? 

[Junior]

I would agree with you @SilverJacks that I would have assumed the Peace dollar to command the highest premium in the secondary market since it's mintage is only 200,000 vs. 175,000 x 5 Morgans. And regarding the Morgan CC privy mark, it's commemorative to say the least. Both the Morgan CC privy and Morgan O privy are actually Philadelphia minted. So the allure is certainly the history tied with both those minting facilities and not because they were minted in Carson City or New Orleans. I think if one were lucky enough to get the Peace dollar and at least one of the Morgans, that would satisfy most collectors.

Regarding UK interest, it could play a marginal role in adding fuel to the fire, but time will tell. Still a few months to go before the US Mint even ships out the first of the coins. Longer still for PCGS or NGC to grade the First Strikes/Early Releases. 

[kena]

I don't understand what the mint has in mind when the product pages for them when a product limit listed but no mintage limit.

Compare this to what the American Eagle 2021 One Ounce Silver Reverse Proof Two-Coin Set Designer Edition says with the mintage and product limit being the same (125,000) - with a household limit of one, so I will need to try to order one of these with the crappy performance of the US Mint site when popular releases come out - lucky for me that my family don't collect so I use one of their addresses in the USA for the shipping address.

I was born and grew up in the USA until work brought me to the UK in the late 1990's.  The CC mint mark Morgan's always held a special appeal being of its perceived links to the wild west.  I personally was never a fan of the Peace Dollar series.

I am hoping that my USA coin source back in the states can obtain a full set of 2021 Morgan and Peace dollars - they were able to get orders in for all but the O privy marked Morgan dollars.  My dilemma is what happens if they don't obtain a full set.  Do I just settle for ones that he can get and have one missing?

What I do know is that I have friends in Australia and Germany who expressed interest in the 2021 Morgan and Peace dollars until they see what the secondary market prices are.  The Morgan ones seem to be the ones that they expressed more of an interest in.

The other factor is that the wording of the law that authorized the Morgan and Peace dollars seems to indicate that the US Mint could release these in the future years, so will we will see 2022 ones?

Some folks who have orders in have expressed a concern of what happens if their credit card gets replaced between order date and date of shipment (October+).

I don't think the hype about these coins will not die down anytime soon.