Q. David Bowers
Numismatic Information
Circulated grades: The 1840 Liberty Seated dollar has always been available in circulated grades, with typical specimens grading VF or so. However, in 1859 Dr. Montroville W. Dickeson called the 1840 "scarce," and this was less than two decades after its mintage! The explanation is that while during the decade of their issue in the 1840s dollars of this date were plentiful enough, after the price rise of silver in the spring of 1853, dollars of all earlier dates were withdrawn from circulation, and, to a degree, all became "scarce."
As with all Liberty Seated dollars, the prominent relief of the shield causes the word LIBERTY to wear away much faster than on lower denominations in the Liberty Seated series, particularly the half dime and dime. These latter denominations can be worn considerably and still have LIBERTY showing, whereas on silver dollars the word begins to disappear after only slight wear.o
Silver dollars dated 1840 have always been in strong demand by collectors as the first year of the design type. Most dollars of this era have bold, broad rims, making them very attractive but, at the same time, susceptible to bruises.
Mint State grades: Although this was the first year of issue of the Liberty Seated obverse in combination with the perched eagle reverse, there seems to have been little or no public interest in saving them, perhaps because during the "Hard Times" era (1837-1844) most people could not afford to squirrel them away. This is a major exception to the "first year of issue" theme which induced collectors and the general public to hoard such diverse issues in other series as the 1909 V.D.B. Lincoln cents, 1883 no CENTS Liberty nickels, 1913 Buffalo nickels, 1916 "Mercury" dimes, 1932 Washington quarters, etc.
No record exists of any contemporary numismatic interest in Mint State specimens, although probably fewer than a dozen numismatists at the time (of the likes of William Sumner Appleton, Joseph]. Mickley, et al.) and the Mint Cabinet (begun at the Mint in 1838) acquired Proof strikings. These probably were purchased for face value.
In true Mint State the 1840 is exceedingly rare, and very few have a claim to MS-63 or higher grade. In 1982, Bruce Amspacher, an especially astute observer of the numismatic scene, stated that he knew of only three pieces that could be called MS-65, a grade that today would be equal to MS-63 or SO. (Article, "Liberty Seated Dollars," in the Monthly Summary, Coin Dealer Newsletter, July-August, 1982.) Chris Napolitano reported handling two MS-63 coins ("average for the grade") and one MS-62 piece ("white and frosty") over a long period of years. (Letter to the author, June 26,1992 )
Proofs: Perhaps the odd mintage figure of 61,005 represents 61,000 business strikes plus five Proof or presentation coins, but this is unknown. However, more than five Proofs were eventually struck.
Conventional wisdom, as published by Walter H. Breen, suggests that restrikes were made of certain Proof dollars bearing the 1840 dates, and of other dollars in the 1840s, but I have seen no evidence of this in my own studies. For purposes of the present book, I take the stand that all Proof dollars 1840-1850 are originals, struck in or about the dates indicated on the coins. I believe that a Proof reverse die was kept on hand and used each year during this period, in the same manner that the large-berries half cent reverse die was used annually to coin half cents during the same period. For a different view, see Walter H. Breen's Proof coin Encyclopedia.
Proofs sold in sets: Proof dollars of this date were issued in sets (containing all denominations from the half cent to the silver dollar) as well as, apparently, singly. The Proof 1840 dollar in the Richard B. Winsor Collection sale (S. Hudson and Henry Chapman, December 16-17, 1895) was said to have been obtained from an unspecified Mint employee in the year of issue; the coin realized an exceptional $100, multiples of its putative value in 1895. A complete 1840 Proof set is in the National Numismatic Collection in the Smithsonian Institution, and, like its brethren in the same holding, was cleaned with silver polish before the year 1900. Apropos of this situation, Farran Zerbe contributed this comment to The Numismatist, August 1903:
[During a recent visit to the Philadelphia Mint] I found many of the silver Proof coins of late years partially covered with a white coating. On inquiry I learned that an over zealous attendant during the last vacation months when the numismatic room was closed took it upon himself to clean the tarnished coins, purchased some metal polish at a department store, and proceeded with his cleaning operation. Later, a coating of white appeared on the coins, which was now slowly disappearing. I expressed my displeasure at this improper treatment of Proof coins, and the custodian explained, "That is nothing. I have been here eight years and they have been cleaned three or four times in my time."
Zerbe went on to protest that should such cleaning of Proof coins continue, in the future the Mint Collection would consist of nothing except plain planchets and badly worn coins!
Number of Proof dollars made: The number of Proof dollars struck was nowhere recorded (nor were Proof mintages recorded for most other dates of the next two decades), but it was probably on the order of 20 to 40 coins. Probably slightly more of this date were struck than of 1841 or 1842, both of which seem rarer today.
Many if not most "Proofs" offered on the coin market years ago were not Proofs but were prooflike business strikes, often really just AU or barely Mint State. Thus, the scholar seeking to use auction appearances of "Proofs" in old catalogues, especially those published before about 1950, will find much of the data useless, unless supported by surrounding evidence (such as specifics concerning purchase from the Mint, inclusion in a Proof set of a particular year, etc.).