Eric Sepanek
SBC Founder
Eric Sepanek is the founder of Scottsdale Bullion & Coin, established in 2011. With extensive experience in the precious metals industry, he is dedicated to educating Americans on the wealth preservation power of gold and silver.
Add SBC on Google as a preferred source to see more market related news like this when you search.
| Gold Britannia | Gold American Eagle | |
|---|---|---|
| Purity | .9167 gold (1987–2012) .9999 gold (2013–present) | .9167 gold |
| Sizes | 5 oz, 1 oz, 1/2 oz, 1/4 oz, 1/10 oz, 1/20 oz & 1/40 oz | 1 oz, 1/2 oz, 1/4 oz & 1/10 oz |
| Mint Years | 1987–present | 1986–present |
| Mintage Numbers | Tens of millions (estimated) | Tens of millions of ounces |
| Versions | Bullion, Proof & Special Editions | Bullion, Burnished (Uncirculated) & Proof |
| IRA Eligibility | Yes (2013 and later) | Yes |
Gold Britannias and American Eagles are often brought up together in conversations about owning bullion coins. Both represent official gold coinage from respected, stable, and reputable government mints. However, these broad similarities can obscure important differences investors should consider before investing. Exploring the key distinctions between Gold Britannias and Gold Eagles can give you the insights to make the best decision given your unique circumstances. And if you’re comparing gold coins more broadly, our Gold Britannia vs Gold Maple Leaf breakdown is a useful companion read.
Historical Significance
Gold Britannia
In response to the international popularity and demand of the Canadian Maple Leaf and South African Krugerrand, the United Kingdom decided to develop its own gold bullion coin. The resulting Gold Britannia slid onto the investment scene in 1987 and has boasted high mintage numbers ever since. It’s become a highly respected precious metal coin owing to its high purity, government backing, and overall quality.
Gold American Eagle
The United States began minting the Gold Eagle in 1986 following the Gold Bullion Coin Act of 1985, which called for the production of official gold bullion coins. By law, all gold for American Eagles must come from domestic mines. These coins have risen to become one of the most widely traded bullion coins domestically and abroad due to their recognizable design, widespread recognition, high quality, and US backing.
Purity Rating
Bullion coins are primarily valued for their precious metal contents. In the case of Gold Britannias and American Gold Eagles, investors are attracted to their high gold purity, meaning the overwhelming weight of the coinage is gold. However, the fineness of these coins varies, and there are even discrepancies within each series.
Gold Britannia
Gold Britannias launched in 1987 as 22-karat coins containing 91.67% gold. However, the British bullion coin received a major overhaul in 2013, bumping the fineness to .9999 (24-karat) gold. Between 1987 and 1989, copper comprised the rest of the coin’s alloy before being swapped for silver.
Gold American Eagle
Despite being America’s flagship gold bullion coin, American Eagles contain 91.67% gold (22-karat). The rest of the coin’s composition is about 5.33% copper and 3% silver. Even with a lower fineness rating than similar options, American Eagles remain a favorite among domestic and foreign investors.
Sizes & Nominal Values
A single Troy ounce is widely regarded as the standard size for bullion coins, but the popularity of both Gold Britannias and Gold Eagles has given rise to various sizes and values. The British bullion coinage comes in nearly twice as many variants as its American counterpart. Larger coins are convenient when allocating sizable chunks of wealth to precious metals, while fractional sizes are practical for incremental investments or budgeting.
Here are the different sizes available for each coin along with their face values. Note that these coins are worth considerably more than their denominations due to their precious metal contents.
Gold Britannia
| Size | Face Value |
|---|---|
| 5 oz | £500 |
| 1 oz | £100 |
| 1/2 oz | £50 |
| 1/4 oz | £25 |
| 1/10 oz | £10 |
| 1/20 oz | £1 |
| 1/40 oz | 50p |
Gold American Eagle
Design
Gold Britannias and Gold Eagles feature iconic designs emblematic of each country’s unique culture, identity, and heritage.
Gold Britannia
As the name suggests, the reverse of Gold Britannias is adorned with Britannia, the guardian and personification of Britain, holding a shield and trident. The obverse features an image of the reigning monarch. Coins minted between 1987 and 2022 depict Queen Elizabeth II, while King Charles III can be found on coins minted in 2023 and after.
Gold American Eagle
The American Gold Eagle’s obverse side depicts a proud Lady Liberty with a torch in her right hand and an olive branch in her left. Her hair and dress are flowing in the wind as her left foot rests on a rock. Fifty stars surround the image with LIBERTY at the top. From 1986 until mid-2021, the reverse featured a bald eagle landing in a nest with awaiting chicks. UNITED STATES OF AMERICA rests above with 1 OZ. FINE GOLD~50 DOLLARS beneath. E PLURIBUS UNUM is on the right-hand side and IN GOD WE TRUST graces the left. In 2021, the reverse side was updated with a detailed close-up of an eagle’s head.
Mintage & Versions
Gold Britannias and Gold Eagle coins have experienced continued and impressive production numbers since their releases. Although the Royal Mint of the UK doesn’t publish comprehensive bullion mintage figures, tens of millions of Gold Britannias are estimated to have been struck. On the other hand, the minting of Gold Eagles is closely tracked and publicly available, with the US Mint selling tens of millions of ounces since 1986. Due to exceptional demand, these coins have been released in various versions beyond the standard bullion form, including proof and special editions.
Value
As bullion coins, Gold Britannias and Gold Eagles earn their value almost exclusively through their gold contents. High production rates, widespread availability, and common high-grade versions prevent these coins from obtaining significant numismatic value. Therefore, gold prices are the main determiner of their worth. 1 oz versions of each coin will closely track the spot price. For example, a 1 oz Gold Britannia or Gold Eagle will trade near the current spot price of one ounce of gold, plus a premium. Dealer premiums—add-on costs to cover transfer, storage, and handling—account for the price differential between the spot price and the listed value. Of course, the value of other sizes will be determined by their relative weight in gold.
IRA Eligibility
The Internal Revenue Service (IRS) sets strict requirements on eligible coins for inclusion in an Individual Retirement Account (IRA). Generally, a gold bullion coin must meet 99.5% purity to be approved. However, American Gold Eagles are an exception to this general rule due to their status as “approved coins” by the IRS. As legal US tender and official bullion coins, Gold Eagles enjoy special acceptance into gold IRAs. On the other hand, Gold Britannias don’t receive such treatment. Therefore, all Gold Britannias minted before 2013 are ineligible. However, coins minted from 2013 onward with a 99.99% purity rating are good to go. For a broader look at holding gold coins in an IRA, see our breakdown of the pros and cons.
Is the Gold Britannia or American Eagle Better?
When it comes to investing in precious metals, there’s no “best” option. It all boils down to your specific investment goals. Given the broad overlap between Gold Britannias and Gold Eagles, investors often seek out these assets for similar reasons.
However, factors such as market conditions, demand fluctuations, dealer premiums, and personal investment goals can make one option a better fit for your portfolio than another. Making the “best” choice hinges on an accurate, thorough, and up-to-date analysis of your investment goals.
With decades of hands-on experience and top-tier knowledge, the precious metals advisors at Scottsdale Bullion & Coin can help you make that determination. Get personalized investment advice by calling toll-free at 1-888-812-9892 or using our live chat function today.