Michael Hodder and Q. David Bowers
For a number of years before then, the designs of circulating American coins had been the object of much criticism, not only by numismatists, but by the general public. Particularly disliked were the dime, quarter, and half dollar designs created by Charles E. Barber and initially released in 1892, and George T. Morgan's silver dollar motif of 1878. In 1895 a national campaign was mounted to redesign the coinage, but after much discussion and study, nothing was done. Thus, Roosevelt's initiative, which saw partial fruition in 1907, was welcomed by collectors. In the January 1908 issue of The Numismatist the American Numismatic Association officially endorsed the Saint-Gaudens' new $10 and $20 designs, with the caveat that
While we recognize that there are both commercial and artistic defects, both of these will be remedied in due season. In fact, the commercial and economic faults, although simply those of convenience, have been already remedied, and that the artistic and numismatic will come in due time we have full faith. As numismatists we hail the innovation with much interest and satisfaction, even if it has begun with what we have always considered our best types of coinage; and we hope our worst types, the 25- and 50-cent pieces [reference to the Barber coinage], will next receive earnest consideration, the efforts at improvement and artistic realization will be continued until we have a series of coins worthy of the great nation they represent.
Saint-Gaudens' new $10 and $20 designs omitted the traditional motto IN GOD WE TRUST, which had been in general use since the mid 1860s. This was due to Theodore Roosevelt's personal feeling, as expressed by the president himself, "that to put such a motto on coins or to use it in any kindred manner, not only does no good but does positive harm, and is in effect irreverence which comes dangerously close to sacrilege. A beautiful and solemn sentence such as the one in question should be treated and uttered only with that fine reverence which necessarily implies a certain exaltation of spirit?
Members of Congress felt differently, and later in 1908 the motto was restored.
The advent of the new $10 and $20 pieces provided a forum for many to express their views. Farran Zerbe penned a detailed dissertation on the subject, analyzing carefully each aspect of the designs, and noting:
We must acknowledge the new gold coins as the greatest achievement in medallic art for their intended purpose. The $20 piece surpasses the $10 in its approach to perfection. Unfortunately, the $10 coin was issued first, anticipation had been too great, and momentary disappointment brought forth criticisms. It seems natural for man having anticipated the works of others, to criticize the product unless it exceeds expectation and surpasses applied tests and comparison. A decided departure from any known in our country's commercialism, the new coins found an exaggerated expectancy from the many, and numerous critical, satirical, and humorous expressions followed, but there were expressions of approval and they came from those most capable to judge and were explicit in pointing out the merits, causing those who had not given detailed consideration to look again, to find that their criticisms had been too severe.
The new coins are in higher relief than any modern coinage, the type standing up boldly from the free field that surrounds, the lettering concentrated in small space, the motto IN GOD WE TRUST' omitted, the long-used so-called "reeded edge" is supplanted with embossed stars and letters. These, in the main, are what make the new coins so very new.
In the meantime, the MCMVII double eagles provided the opportunity for profit, as noted in an article in the January issue of The Numismatist:
One of the features attending the issue of the new twenty-dollar gold pieces was the speculative interest the new pieces caused. It has been so many years since a new piece has been distributed to the public, that from the moment of its inception it was destined to be rare, both on account of the limited number issued and its novel pecularities. The index of the rise of the Stock Exchange, and especially of the Curb Market, is exemplified in the speculation of these pieces among the curb brokers and bankers and clerks.
A few thousand only of these "high relief" pieces were struck [actually, 11,250], and were distributed by the Phil-adelphia Mint to the different SubTreasuries the first week in December [1907]. Five hundred were allotted to Boston and only five pieces were allowed to each bank and individual that asked for the new coins. The allotment was exhausted in Boston in a single day. But a short time after this, word was received that no more of these pieces could be struck and the government was anxious to get back as many of these new pieces as possible. This was on account of the sharp wire edge on the majority of those coins, caused by the metal being forced up between the die and the collar. A false rumor gained currency that the government would pay a premium to get these pieces back, and the prices of double eagles consequently began to soar. The various SubTreasuries were besieged by a host of l lth-hour bargain hunters, and the tempers of the redemption clerks were sorely tried by the repeated inquiries for the new twenties. The crowd then turned their attention to the clerks in the banks and the attendants in the federal buildings.
On December 11, the following notice was published in the SubTreasury in Boston: "Clerks having a copy of the new $20 gold piece are forbidden to sell the same at a premium:' During the second week in December, active trading in the new twenties was carried on in the various Curb Markets in the country, and prices quoted ranged from $26 to $35. Telegraph and long distance tel-ephone orders were executed on the New York Curb for deliveries in other cities. Fifty changed hands in one day on the Boston Curb at prices ranging from $26 to $31. One broker sold five pieces "short" at $26 and later was obliged to pay $30 each to "cover in;' Up to date the activity seem to be among brokers rather than among collectors, the latter appearing to be indifferent whether they got hold of these coins or not. It is too early yet to tell just what the prices of these pieces will settle down to, but there is no doubt that the new twenty will command a substantial premium and that as time goes on the piece will gradually increase in rarity. Just at present the bulk of the pieces are in non-collectors' hands, such as individuals that are holding onto a single piece for its novelty and beautiful appearance, others that are intending to make use of them for Christmas presents, and still others who are hoarding several of them for an ultimate rise in price. Many collectors and semi-collectors in the larger cities are doing this.
Many episodes in this recent flurry in double eagles have come to light. One coin dealer got hold of about a dozen pieces the first day and sold them at $20.50 each, he had not got through patting himself on the back when he realized that for each he could have obtained several dollars more. He later bought back a few with a several dollars advance and is now debating whether to sell them again at a few dollars profit or to hold onto them.
It is related of another dealer from one of the larger cities the other day who stepped into a specie broker's office and in the course of the conversation remarked that he had heard that the new twenties were out, and that he thought he would get a few, and if the broker could get him some he would expect to pay him a little something for his trouble. The broker said that he thought that he could accommodate him, but that he would have to get about $10 profit on each piece for his trouble.