Krugerrand

The Krugerrand is the most famous and best-selling gold bullion coin in the world. Minted since 1967 by the South African Rand Refinery and the South African Mint, it was the first coin specifically designed for private gold ownership — and in doing so shaped the entire category of bullion coins.

Composition and fineness

The Krugerrand consists of a gold alloy with 22 karat, corresponding to a fineness of 916.7/1000. The added copper makes the coin more durable and gives it its characteristic reddish hue. Importantly, despite the alloy, the one-ounce coin contains exactly one troy ounce of pure gold — the total weight is approximately 33.93 grams due to the copper content.

The Krugerrand is available in four sizes: 1 oz, 1/2 oz, 1/4 oz, and 1/10 oz.

Design

The obverse shows Paul Kruger, the last president of the South African Republic, while the reverse features a springbok antelope — the national animal of South Africa. The name combines "Kruger" and the South African currency "Rand".

Krugerrand as an investment

Because it is globally recognised and extremely liquid, the Krugerrand can be bought and sold practically anywhere. It qualifies as tax-privileged investment gold and is therefore exempt from VAT at the point of purchase. The premium over the pure spot price is comparatively low thanks to the enormous quantities produced.

You can calculate the current value of a Krugerrand ounce using the Gold Calculator — simply apply one troy ounce at the current gold price. For second-hand purchases, an authenticity check is worthwhile: weight, diameter, and thickness are standardised and can be compared using the Coin Authenticity Check.

In brief

The Krugerrand is the classic among gold coins: robust thanks to the 22-karat alloy, tradeable worldwide, and containing exactly one troy ounce of fine gold in the large variant. For many investors it is the straightforward entry point into physical gold.