The word "Krugerrand" is derived from Paul Kruger's name and the monetary unit of South Africa, the rand, which is associated with the Witwatersrand "the ridge of white water" – the gold producing area discovered in 1886 in South Africa. The Springbok displayed on the coin's obverse is South Africa's national animal. The Springbok or Antidorcas marsupialis is characteristic for its jumping display. The Aloe Claviflora is one of the most well-known South African aloes. This plant is widespread in the dry interior of South Africa, an area in which the Springbok is also abundant. The design of the obverse is modelled by the renowned South African sculptor Coert Steynberg. The die-engraver Otto Schultz creates the portrait of the President.
Unlike golden Krugerrands, which bear no nominal value and are linked to its fine gold content, with the prevailing market price of gold, silver Krugerrands have the nominal value of 1 South African Rand. However, as bullion coins, they carry no monetary face values other than their weight in silver.
Krugerrand silver coins portray President Kruger.
The obverse of the Krugerrand silver coin depicts Stephanus Johannes Paulus Kruger, former President of the Transvaal Republic. Kruger would rise to international fame as the head of the Boer resistance against British forces in the late 19th century. The Boers, predominately Dutch-speaking settlers from Europe who lived in South Africa, tired of being ruled by the British Empire, decided to create their own independent country under the name Transvaal. Paulus Kruger, a descendant of the Boers, would become a leading figure in the Boer quest to become a self-governed nation inside the territories of British controlled South Africa.
Kruger came from a simple background; born on a farm in 1825 in South Africa, he lacked any formal education, although his proficiency in hunting and horse riding would prove to be useful during his military service in the Transvaal army. He advanced fairly quickly in the army ranks and by his early 40s was already promoted to Commandant-General of the Transvaal forces. However, Kruger's skills went beyond being a soldier since he was a fine diplomat as well. In 1877, when the Boers clashed for the first time against Britain, Kruger, through diplomatic means, secured a victory for the Boers. The victory boosted his popularity, and as a result, he was elected President of the Transvaal Republic in the general elections that followed three years later.
The South African gold-mining industry created the Krugerrand gold coin.
South Africa was the largest gold mining nation during the mid 20th century, contributing almost 50% to the annual global mine supply. To more easily sell this abundant supply of gold, the South African gold mining industry came up with the idea to develop a circulating gold bullion coin that would exclusively contain gold from the South African mines. The idea was approved by the South African Central Bank, which authorized the legal tender Krugerrand gold coin. The Krugerrand gold coin was struck for the first time in 1967 by the South African Mint. It would prove to be the most successful gold bullion coin ever issued by the Republic of South Africa. The South African mint has struck its first legal-tender silver and platinum Krugerrands as part of the 50th anniversary of the flagship gold bullion coin.
The South African Krugerrand contains gold from the richest deposit on earth.
Unfortunately, the peace between the Boers and the British did not last long, as large gold deposits were found inside the territories of the Transvaal Republic in an area called Witwatersrand. Even to this date, the Witwatersrand region is home to some of the richest gold deposits on earth. It is believed that almost 45% of all the gold ever mined on earth has come from this rich South African gold region. The British, determined to secure control over these vast riches, sent a huge force, by some estimates over 400,000 people strong, to combat the Boers. The Boers, greatly outnumbered by the British force, lost the war, and Transvaal was absorbed into the British Empire in 1902. President Kruger, who managed to escape to Europe, never set foot again in Africa. He died in exile in Switzerland on 14 July 1904.
The South African Mint
South Africa was the largest gold mining nation during the mid 20th century, contributing almost 50% to the annual global mine supply. To more easily sell this abundant supply of gold, the South African gold mining industry came up with the idea to develop a circulating gold bullion coin that would exclusively contain gold from the South African mines. The idea was approved by the South African Central Bank which authorized the creation of the legal tender Krugerrand gold coin. The Krugerrand gold coin was struck for the first time in the early 1970s by the South African Mint and would prove to be the most successful gold bullion coin ever to be issued by the Republic of South Africa.