1938-D 5C Jefferson (Regular Strike)

The 1938-D Jefferson Nickel

The Jefferson Nickel’s 1938 debut marked the end of the 25-year production run of the Buffalo Nickel. James Earl Fraser’s Buffalo design, a classic piece of coin art and Americana, had long given the Mint fits. It was difficult to strike, caused heavy die wear, and lost its date rapidly in circulation. As a result, replacing the design became a top priority as soon as it reached the 25-year statutory limit.

Given that the 1909 Lincoln Cent (VDB BN #2423) marked the centennial of Abraham Lincoln's birth and the 1932 Washington Quarter marked George Washington's bicentennial, one might assume Jefferson was chosen in 1938 for a similar birth anniversary. However, Jefferson was born in 1743, making 1938 an unremarkable year chronologically.

Instead, Jefferson was selected for his overall historical stature. As a premier Founding Father, he authored the Declaration of Independence, helped establish the nation's decimal monetary system, served as the third U.S. president, and even spent some of the first coinage struck by the U.S. Mint - coincidentally a five-cent piece known as the 1792 Half Disme (#11020).

The Design Competition

On January 25, 1938, the Mint announced an open competition to design the new Jefferson Nickel. In April, while the final Buffalo nickels were rolling off the presses at the Denver Mint, judges chose the submission by sculptor Felix Schlag. Schlag's obverse featured the familiar profile of Jefferson, adapted from Jean-Antoine Houdon’s 1789 bust. His reverse offered an innovative three-quarters view of Monticello. However, the Treasury Department rejected this perspective, ordering Schlag to make several key revisions.

The most significant changes involved Monticello. The Mint required a straight-on, symmetrical view of the building, as most Americans then were unfamiliar with its architecture. In fact, Monticello had fallen into deep disrepair in the decades following Jefferson's death; without the preservation efforts of businessman Uriah Phillips Levy and caretaker Joel Wheeler, the structure might not have survived long enough to serve as Schlag's model.

Schlag submitted his revised design by mid-July, after which Mint Chief Engraver John R. Sinnock began preparing working hubs and dies. Trial strikes took place in September, and full production began at all three Mints on October 3. By the end of October, Denver had struck 1.7 million pieces, ultimately reaching a total mintage of 5,376,000 for the year. The Treasury officially authorized the new coins for circulation on November 15.

Collecting the 1938-D Jefferson Nickel

Although 5,376,000 Jefferson nickels were struck at the Denver Mint in 1938, they did not enter circulation until late in the year. In fact, most residents in the Denver Mint's service area likely did not encounter the new design until early 1939. Despite initial excitement from collectors and the general public, the issue circulated normally and remained easily found in pocket change through the 1960s, even as 35% silver "war nickels" were gradually hoarded and pulled from commerce.

Despite holding the fourth-lowest mintage in the entire series, the 1938-D (#4001) remains easily accessible in all circulated grades and in Mint State up through PCGS MS65. Strike quality for the date was fairly inconsistent; as a result, the Mint's engraving department executed a series of small revisions to the reverse dies in 1939 to produce a sharper design. Such minor modifications are common following the release of a new coin series and did not mean Felix Schlag’s design was causing the same level of production trouble as James Earl Fraser's Buffalo Nickel.

While specimens featuring the Full Steps (FS) designation are not particularly rare for this date, fully struck examples remain the exception rather than the rule. However, because these 1938 coins were struck from brand-new hubs, finding strong overall detail is far easier than with the worn, overused master dies of the 1950s and 1960s.

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