1865 $1 (Regular Strike)

1865 Liberty Seated Dollar

Originally intended as the cornerstone of the U.S. monetary system, the silver dollar faced an uphill battle from its inception. By the mid-19th century, the denomination was plagued by three primary issues: it was physically cumbersome, frequently exported for its bullion value, and—after the Coinage Act of 1853—valued at a premium that made it too expensive for domestic use.

Following a lenghty production suspension that began in 1804, the silver dollar returned to full-scale production in 1840, though mintages remained modest. Leading up to the Civil War, gold remained the preferred medium for domestic banks and financial institutions, while the public relied on base-metal cents and fractional silver (dimes through half dollars) for daily commerce.

Domestic demand for the silver dollar was virtually non-existent; instead. Instead, it functioned almost exclusively as an export vehicle. Struck primarily on demand for bullion dealers and merchants, these heavy silver pieces were shipped overseas to satisfy international trade requirements—particularly in the Far East—where their intrinsic value far outweighed its domestic utility, though it struggled to unseat Mexican Silver 8 Reales as the preferred medium of exchange.

The Impact of the Civil War on Dollar Production

The Civil War pushed the United States Mint to its breaking point. The Confederacy seized the branch mints in Charlotte, Dahlonega, and New Orleans; while the first two never reopened, New Orleans did not resume federal coinage until 1879. This left only Philadelphia and San Francisco to carry the load for the fractured nation. In 1865, Philadelphia was the sole facility to strike silver dollars, producing a meager: 46,500 Business strikes (the majority produced over just three days in September) and 500 Proofs (#7008).

High Attrition and Market Reality

While the Liberty Seated Dollar was generally used as a vehicle for Eastern trade, the 1865 issue was struck primarily for export to Central and South America. These coins were seldom seen in domestic channels; consequently, the vast majority of surviving specimens are found in heavily circulated or impaired condition.

The PCGS Population Report paints a compelling picture, though it requires nuance to interpret accurately. PCGS has certified fewer than 300 total examples, with a heavy concentration in the Very Fine (VF) to About Uncirculated (AU) range. Interestingly, the population for low grade examples is significantly smaller. This suggests one of two things: either a perceived lack of market justification for submission, or—more likely, given that even low-grade examples command a $1,000 minimum—the inherent difficulty of securing a straight grade for coins at this level. Given the intense demand for Civil War-era coinage, the latter is the more likely culprit.

At the top of the grading scale, Mint State coins present the opposite problem: overreporting. In constructing a true condition census, I analyzed examples graded PCGS MS64 and above. I was only able to physically locate six unique examples that have either traded publicly at a major auction house since 2000 or are currently claimed in the PCGS Set Registry. To maintain the integrity of this census, I excluded several older MS64 listings—mostly coins graded before 2000 that lack a traceable public sales history. While the census is always a moving target, the astute collector will recognize a clear pattern: the 1865 Liberty Seated Dollar is significantly scarcer than the raw population figures suggest.

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