Bullion is gold, silver, platinum or palladium in bars, rounds or coins whose price depends mainly on metal weight and purity, not on rarity or design.
What counts as bullion in the US
Bullion products are bought for metal content. Their price is the spot price times the weight, plus a premium for minting, distribution and dealer margin. US buyers usually meet four types:
- Government bullion coins. The US Mint issues the American Eagle in gold, silver and platinum and the American Buffalo in .9999 gold. Each carries a legal tender face value far below its metal value.
- Foreign sovereign coins. Canadian Maple Leaf, South African Krugerrand, Austrian Philharmonic and Australian Kangaroo are widely sold by US dealers.
- Bars. From 1 gram to 1 kilogram for gold and up to 100 oz or 1,000 oz for silver, made by private refiners and mints.
- Rounds. Coin-shaped silver pieces from private mints. They have no face value and usually the lowest premium in silver.
Junk silver as quasi-bullion
Circulated pre-1965 dimes, quarters and half dollars are 90% silver and trade close to their melt value, so many US dealers sell them as bullion rather than as collectibles. They are priced per dollar of face value. See numismatic coins for pieces where rarity adds to the price.
Bullion coins vs bars: a worked example
One troy ounce of gold can be bought as a 1 oz Gold Eagle, a 1 oz Buffalo or a 1 oz bar. All three hold the same metal, so the cheaper one is simply the one with the lowest delivered price per ounce. Bullion coins usually cost more than bars of the same weight, but they are easy to recognize and resell anywhere in the country. Larger bars lower the premium per ounce: a 10 oz bar often costs less per ounce than ten 1 oz coins, but you can only sell it as a whole.
| Product | Fine gold | Fineness | Issuer |
|---|---|---|---|
| American Gold Eagle 1 oz | 1 ozt | .9167 | US Mint |
| American Gold Buffalo 1 oz | 1 ozt | .9999 | US Mint |
| 1 oz gold bar | 1 ozt | .9999 | Private refiner |
| 1 kg gold bar | 32.15 ozt | .9999 | Private refiner |
How to buy bullion at a fair price
- Compare the total price including shipping and insurance, as our gold coin price ranking does.
- For silver, check the lowest delivered silver coin prices and compare rounds with coins.
- Bars are listed separately in the gold bar price comparison.
- Check your state's sales tax rules for bullion before ordering.
- Prefer bars from refiners on the LBMA Good Delivery list or with assay cards.
Related terms
Premium Over Spot Spot Price Numismatic Coins Fineness
FAQ
What is the difference between bullion and coins?
Bullion can be a coin, a bar or a round; what makes it bullion is that its price is based on metal content, not on rarity.
Are American Eagles bullion or collectibles?
Standard American Eagles are bullion coins, while proof and burnished versions sell at higher numismatic prices, and for tax purposes the IRS treats all of them as collectibles.
Is it better to buy gold bars or coins?
Bars usually have a lower premium per ounce, while widely recognized bullion coins such as the American Eagle, Maple Leaf or Krugerrand are easier to sell in small amounts.