Australian Coins

History

The history of Australian coins is rich and varied, reflecting the country's transition from a collection of British colonies to a federated nation with its own distinct identity. Here's an overview:

Early Currency

Before the establishment of a formal currency system, early settlers in Australia used various forms of currency, including British coins, Spanish dollars, and even rum. The shortage of official currency led to the use of alternative forms of trade.

Holey Dollar and Dump (1813): In 1813, Governor Lachlan Macquarie sought to address the shortage of currency by creating Australia's first official coins, the Holey Dollar and Dump. These were made by importing Spanish dollars, then punching out the centres. The outer ring became the Holey Dollar, and the centre piece became the Dump. Both were over stamped with the new denominations.

Adoption of British Currency (1825): In 1825, the British government declared that British currency was to be the official currency of the colonies. This resulted in the gradual standardization of currency, with British pounds, shillings, and pence becoming widely used.

Gold Rush Era (1850s)

The discovery of gold in the 1850s led to the minting of gold coins. Private mints produced gold tokens, and by 1855, the Sydney Mint began producing gold sovereigns and half-sovereigns, modelled on the British coins but with a distinctive Australian design.

Federation and the Australian Pound (1910)

After Australia federated in 1901, the Australian government introduced its own currency. The Australian pound, divided into 20 shillings, each of 12 pence, was introduced in 1910. The first Australian silver coins were minted in 1910, followed by bronze pennies and halfpennies in 1911.

Decimalisation (1966)

A major change came on February 14, 1966, when Australia decimalised its currency, transitioning from pounds, shillings, and pence to the Australian dollar, divided into 100 cents. The new coins featured distinctive Australian fauna:

• 1 cent: Feathertail glider
• 2 cents: Frill-necked lizard
• 5 cents: Echidna
• 10 cents: Lyrebird
• 20 cents: Platypus
• 50 cents: Coat of Arms

Recent Developments

In 1984, the $1 coin was introduced, followed by the $2 coin in 1988, replacing the paper notes of these denominations. The 1 and 2 cent coins were withdrawn from circulation in 1992 due to their declining value and rising production costs

Commemorative and Collectible Coins: Both the Royal Australian Mint and the Perth Mint have produced numerous commemorative coins celebrating significant events, cultural milestones, and iconic Australian symbols. These coins often feature unique designs and are popular among collectors. Modern minting techniques at these facilities include the use of colour printing, holograms, and intricate designs. The Royal Australian Mint has also introduced bi-metallic coins and coins with embedded features.

Legal Tender

In Australia, legal tender refers to the coins and banknotes that must be accepted if offered in payment of a debt. This is governed by the Currency Act 1965 and regulations set by the Reserve Bank of Australia and the Royal Australian Mint.

Legal Tender Coins

The following are the coins considered legal tender in Australia:

• Australia’s pre-decimal coins (1910 - 1965)
• All Australian decimal coins (1966 - Present)
• Non-Circulating Legal Tender Coins
  • These include commemorative and collector coins that are technically legal tender but are not intended for general circulation. They often have special designs and finishes, and while they can be used to pay debts, they are generally kept as collectibles.
  • Collector Coins: Special editions with unique features such as proof finishes or precious metals.
• Bullion Coins
  • Bullion coins produced by the Royal Australian Mint and the Perth Mint are also legal tender, although their primary value is derived from their metal content rather than their face value.
  • Gold, Silver, and Platinum Coins: Including the Australian Kangaroo, Koala, and Kookaburra series.

Non-Legal Tender Coins

The Holey Dollar and Dump are the only Australian coins which have had their ‘legal tender’ status removed or been ‘demonetised’.

Minting Locations

The Sydney Mint (1855-1926)

• Location: Sydney, New South Wales
• History: The Sydney Mint was the first official mint in Australia, established in 1855. Initially, it was a branch of the Royal Mint in London, created to mint gold sovereigns and half-sovereigns during the gold rush era. The Sydney Mint's coins featured a unique design to distinguish them from British coins, with the word "Australia" included.
• Closure: It ceased operations in 1926, but its historical building still stands and is now a museum.

The Melbourne Mint (1872-1968)

• Location: Melbourne, Victoria
• History: Opened in 1872, the Melbourne Mint also operated as a branch of the Royal Mint. It produced gold sovereigns and, later, other denominations. The mint played a crucial role in the Australian economy during its operational years.
• Closure: The mint ceased producing coins in 1968 and has since been repurposed, but it remains an important historical site.

The Perth Mint (1899-present)

• Location: Perth, Western Australia
• Website: www.perthmint.com.au
• History: Established in 1899, the Perth Mint was the last of the three colonial branches of the Royal Mint. It primarily focused on refining gold from Western Australia's goldfields and minting gold sovereigns.
• Current Role: Unlike the other colonial mints, the Perth Mint continues to operate today. It produces a wide range of bullion and commemorative coins and is known for its high-quality gold, silver, and platinum coins. The Perth Mint also produces legal tender coins for other countries and is a significant player in the global precious metals market.
• Public Engagement: The Perth Mint is open to the public, offering tours and educational programs. It’s free to visit The Perth Mint Shop and grounds. To fully experience all attractions and learn about the history of gold in Western Australia we the mint offers The Perth Mint Gold Tour.

The Royal Australian Mint (1965-Present)

• Location: Canberra, Australian Capital Territory
• Website: www.ramint.gov.au
• History: The Royal Australian Mint was established in 1965 and began operations in 1966, coinciding with the introduction of decimal currency. It was the first mint in Australia that was not a branch of the Royal Mint in London.
• Functions: The Royal Australian Mint is the primary producer of Australia's circulating coins. It also manufactures a wide range of commemorative and collector coins, medals, and tokens. The mint is known for its innovative designs and use of advanced technology in coin production.
• Public Engagement: The Royal Australian Mint in Canberra is open to the public, offering tours and educational programs. It features a museum that showcases the history of coinage in Australia and the minting process.