Something happened in 2023 that many of our Members have had questions about: the United States Mint announced that they will be limiting the production of one of their most popular coins, the one-ounce silver bullion American Silver Eagle.
The first question we’ll help you to understand is the why, and then we’ll get on to the portion where we let you know how we’re going to help.
The limit is due to three things: the current global economic climate (how everything is getting more expensive because of fiat currency and the debt it has created), the rising costs of production (again, everything is just getting really expensive), and the high demand for precious metals (more people want to return to the stability of gold and silver – yay!)
But why our precious American Silver Eagles, you ask? Produced by the U.S. Mint annually since 1986, the American Silver Eagle is the most sought-after coin in the entire world. Thanks to its purity, weight, and government backing, it checks every box on both a collector’s list and an investor’s. In recent years especially, due to uncertainty in the stock market and a steep rise in inflation, the demand for these coins has skyrocketed, while the U.S. Mint’s ability to keep up with overall demand has plunged.
Although the Mint has a directive from the U.S. Government to keep up with public demand for this product, it is claiming that it’s inability to do so is because of a shortage of available blanks used to make the coinage.
So, in 2023, the U.S. Mint will limit its production of American Silver Eagles. They haven’t yet released the exact number of coins to be produced, but we can expect it to be lower than in previous years. And now the most important question: what does this mean for 7k Members? You might already know where this is going…7k Members will see the high premiums of the last couple of years continue.
We know, we know, not ideal, but we will continue to make every effort to acquire as many ASE’s as our members desire despite the anticipated lower production runs. As for the premiums that will likely continue–we wish we could wave a magic wand to make them go away but we’re not that good yet!
Now here’s the part where we offer you as much hope as we can muster. A limit on the production of ASEs is not unique to 2023. It happened in 2009 and 2010 due to a similar shortage in silver blanks, as well as at the end of last year, when the U.S. Mint had to begin retooling earlier in the year than years before. In all of these situations, the limited supply of coins led to increased demand for them and higher selling prices! It is possible that a similar scenario could play out for the ASEs produced during 2023. There is no guarantee here, we are just looking at history.
So despite the limit on ASEs, 7k Members shouldn’t be deterred from purchasing them if they fit into your Wealth Strategy.. They remain the reliable and trusted option on both the non-collectible (defensive) side and the collectible (offensive) side.. And who knows…the limited supply of coins may make them even more valuable in the long run, especially if demand continues to beat supply!
We know this may not ease all your concerns, so to combat the fall in production on the AutoSaver end, we have introduced an option to receive a different but just as cool, exclusive one ounce silver coin, called the Song of the Buffalo. Backed by the Cook Islands, designed by Joel Iskowitz, these coins would make amazing additions to your stack, and will help ease some of the demand for the American Silver Eagles, especially if you don’t feel like duking it out for the limited production. The best part about this new coin is that we control the supply and the premium will be much more stable!
We hope you all know that we have your best interests at heart when we receive news like this, and that we do everything in our power to preserve our peoples’ financial peace and hope. God bless you all, and if you have any further questions, you can always reach out to us with them via email at support[at]7kmetals.com.