A hoard or treasure trove is defined as a collection of valuable objects that have been either intentionally sequestered for safekeeping or lost long ago. Hoards have been with us for as long as humanity has found delight in precious items. And a large number of ancient hoards, perhaps a majority, are composed either partially or exclusively of coins.
Many ancient coins that are tremendously popular with modern collectors were actually struck in very large quantities in ancient times. For instance, it is believed that the iconic ancient Greek silver tetradrachm coins minted by the city-state of Athens during its golden age in the 5th century BC were created by the tens of millions. However, survival rates are abysmal for Athenian tetradrachms, as well as most other ancient coins, and it is thought that less than one percent of these specimens exist today. In addition, many of the coins that have survived are heavily worn, damaged or otherwise in poor condition.
In contrast, ancient coin hoards are of great interest to investment minded collectors because they often contain pristine or lightly circulated examples. A coin hoard may contain dozens, hundreds or even thousands of high quality ancient coins. This can be a godsend for ancient coin collectors, allowing them to acquire high quality pieces that otherwise would not have endured the ravages of time. These same beneficial dynamics apply to medieval coin hoards as well.
Just because an ancient coin has originated from a hoard, however, doesn’t automatically make it desirable. During the twilight years of the Roman Empire, in the 4th and 5th centuries AD, massive quantities of coins were buried by anxious Roman citizens, merchants and legionaries. Many of these people never returned to reclaim their treasure, which is why their hoards are often found by metal detecting enthusiasts today.
But the coin hoards they left behind usually contain large numbers of late Roman bronze pieces that are small, dumpy and crudely struck. They are nothing like the magnificent pure silver denarii of the Roman Republic or the stately gold aurei of 1st century AD Imperial Rome. In other words, coins from ancient hoards can be great for investors, but only if the coin series in question is investable to start with.
While ancient coin hoards are a boon to modern day collectors, there is a market phenomenon related to them that deserves some discussion. When an ancient coin hoard is found, the coins often find their way to the marketplace fairly quickly. This usually depresses prices, provided the hoard is large enough in size and dominated by only one or two coin types or denominations.
Some collectors find this disruption of normal market operation to be undesirable. If they already own that variety of ancient coin, a newfound hoard will temporarily lower the value of their existing specimens. The sudden price drop and plentiful supply of previously scarce, or even rare, ancient coins can also scare away connoisseurs who were considering buying that issue.
However, these objections are ultimately shortsighted. Instead, ancient coin hoards should be thought of as a gift from the heavens. They are wonderful, but temporary, opportunities to acquire rare and desirable ancient coins for far less money than they would normally cost.
A great example of this is ancient Koson gold staters. These attractive and historically important coins weigh in at an impressive 8 grams of almost pure gold. They feature three toga-clad Roman figures advancing in a row on the obverse and an eagle clutching a wreath on the reverse. They are also often struck in fine Roman style. Put simply, Koson gold staters are top notch, investment grade ancient coins.
Although no one knows for certain where these gold stater coins originated, the prevailing theory states that they were struck by Julius Caesar’s assassin, Brutus, with gold given to him by the grateful Roman senate around 43 or 42 BC. Brutus used the coins to hire Dacian mercenaries (from modern day Romania) to fight the army of the murdered Julius Caesar’s heir, Augustus Caesar. Unfortunately for Brutus, his army lost the battle of Philippi in 42 BC and he was forced to commit suicide.
In the early 2000s, a sizable hoard of these ancient Koson gold staters was unearthed somewhere in Romania. We have no record of exactly where or when the hoard was discovered because treasure hunters are notoriously secretive about their finds. But a large hoard was definitely unearthed around this time.
Predictably, significant numbers of these ancient coins began to make their way into the market. Koson gold staters, although usually scarce, were now everywhere. Being a fairly specialized coin series, there were few collectors of this type. Supply quickly overwhelmed demand. Prices plummeted. At the time, comparable ancient Greek gold staters in good condition might have cost between $1,000 and $1,500. But the glut of ancient Koson gold staters was so severe that examples in excellent condition were only selling for $500 to $800 per coin. There was effectively a 50% off sale on the coins.
And these depressed market conditions didn’t last for just a few months either. They persisted for years, a not unusual situation when very large ancient coin hoards are brought to market. As recently as 2008 or 2009, it was still possible to buy pristine ancient Koson gold staters for under $1000. In 2017 those same coins sell for at least $1,500, if not more.
The message is clear. Savvy ancient coin collectors and investors should take full advantage of hoard dispersals to increase their holdings. If a hoard is large enough, prices will invariably dip. Ancient coin series from hoards, even those that were previously rare or uncommon, will become readily available – at least temporarily.
But savvy connoisseurs are like a school of piranhas. They will keep nibbling and nibbling until the seemingly abundant supply inevitably dries up. Once that happens, the coins’ true scarcity will become apparent and prices will shoot skyward again. If given the opportunity, the astute collector should not hesitate to buy investment grade pieces from ancient coin hoards.
