The Discovery of the SS Central America and Gold Double Eagles
Both history and adventure are suggested by this Gem, Western branch mint, shipwrecked 1857-S
double eagle. The coin is a mixture of yellow and rose gold with outstanding mint luster. These combine to affirm its
originality. The surfaces are clean for the grade with no notable abrasion marks or other distractions. The strike is strong
with full details on the centers of the stars, Liberty's hair, and the design elements of the reverse, especially the eagle.
James Barton Longacre designed the pattern for the twenty dollar double eagle in 1849. It
was produced because of the huge amount of gold that came into the Mint from California. With the discovery of gold at
Sutter's Mill in January 1848, the California gold rush began. It led to an influx of miners and others into the area.
The vast quantity of gold produced led to a need for a standard form of exchange. The double eagle was the government's
response. They also felt that the new denomination would be useful for large commercial transactions and that it would
facilitate foreign trade.
Longacre's design for the double eagle shows a Liberty head facing left, wearing coronet
inscribed LIBERTY. Her hair is tightly tied in the back with two loose curls hanging down her neck to the end of the
truncation. She is surrounded by thirteen six-pointed stars with the date below. Dentils are near the edge on both sides
of the coin. The reverse shows a heraldic eagle with elaborate ribbons on both sides of the shield extending from the top
corner down to the eagle's tail feathers. The ribbons are inscribed, on the left E PLURIBUS and UNUM on the right. The
ribbons were added to the design to symbolize the denomination since this was the first twenty dollar coin. There is an
oval of thirteen stars above the eagle's head and an arc of rays from wing tip to wing tip behind the upper half of the
oval. UNITED STATES OF AMERICA is in an arc above the eagle, and the denomination TWENTY D. is below. The mintmark is
between the tail feathers and the N of TWENTY.
The SS Central America sank to a depth of 2.2km (1.3 miles) in 1857 during a
heavy storm while sailing from Panama to New York
Until the discovery of the SS Central America, 1850's double eagles in mint condition were
virtually unavailable. The ship, originally called the S.S. George Law, was a United States mail steamship. In 1857, it
sank off the coast of the Carolinas because of a huge hurricane. It was a three-mast, side-wheel steamship that traveled
between Panama and New York. The journey took approximately 21 days. In the five years prior to its sinking, it has been
estimated that the Central America carried about $150 million worth of gold or one-third of all of the gold mined in
California. The ship was 272 feet long and had 578 passengers and crew on board. It also had on board over 35,000 pieces
of mail, gold bars, nuggets, dust, and 5,200 newly minted San Francisco gold coins from the West, of which the present
coin is one. The loss of the Central America triggered the "Panic of 1857," which was caused by bank instability and
generally poor economic conditions.
The loss of the Central America triggered the "Panic of 1857," which was actually caused
by bank instability and generally poor economic conditions. On September 26, 1857, the Philadelphia Public Ledger made
the following announcement: "The distrust that has pervaded stock and financial circles for the last fortnight was
considerably heightened yesterday, by announcement early in the day that the Bank of Pennsylvania had suspended payment.
A meeting of the directors was immediately convened, and the business of the bank ceased... The effect of the stoppage by
the Bank... spread like wildfire, and almost immediately a run was made on all the other banks, which was continued up to
the hour of closing—three o'clock." Within a week, specie payments were suspended at New York City banks, and a nationwide
depression followed.
Longacre's double eagle design was a new concept that endured well past the turn of the
century. When Longacre first came to work at the Mint, he was opposed by Franklin Peale, the Chief Coiner. Peale was
probably responsible for some blundered dies that Longacre was criticized for making. Peal was involved in a private,
illegal medal manufacturing business using Mint facilities. He was concerned that this new political appointee would
interfere with his business, and he resisted Longacre's appointment as Chief Engraver. In the end, Peale was found out
and fired in 1854. Longacre flourished in his position and was responsible for creating many new designs including the
Indian Head cent, the two-cent piece, the Shield nickel, the Liberty Head gold dollar, the Indian Princess gold dollar,
the three-dollar gold piece, and the Liberty Head double eagle.
I hope you enjoyed the article.
1857-S $20 SSCA PCGS MS65 Liberty Gold Double Eagle
This is a really choice gem specimen!
$15,400 Details and Enlarge
Tom Pilitowski, US Rare Coin Investments
is a Rare Coin Dealer, Gold Coin Dealer specializing
in Rare Coins, Gold Coins and Silver Coins since 1979.
Tom Pilitowski has been involved in coin collecting
since childhood. There are virtually no areas of American
numismatics that Mr. Pilitowski has not explored,
or has had experience in and over the years, Mr. Pilitowski
has been successful in not only surrounding himself
in the most astute and influential circles of coin
traders, numismatists, collectors and investors but
became one, who is looked upon by some of the most
astute buyers as a source of knowledge, information
and inventory acquisitions.
