1974 Aluminum Penny: A Coin That Was Meant to Exist

The history of American coinage knows a few quite intriguing experiments that (could) have changed the way coins are released, perceived, and collected. In 1973, the US Mint commenced an ambitious experiment to address rising production costs: the creation of a penny made of aluminum. What were the outcomes, and can we meet this coin in person? 

In this material, you are to learn how it might be possible to identify this coin, which features it bears, how many instances were released, and if this experiment was successful in the end. Treasures to hunt, yet are they worth it?.. 

Historical Background of the 1974 Aluminum Penny Test

By the early 1970s, the cost of producing pennies increased. The reason was obvious – the rising copper prices could not be stopped by that time. This is why the Mint was looking for alternative materials that would lower expenses without sacrificing the coin's functionality. Aluminum turned out to be a viable solution. In fact, it was far less expensive than copper, lightweight, and corrosion-resistant. 

Finally, in 1973, a few years before 1999 Wide AM pennies were minted, the Mint decided that they test an aluminum composition after profound consultations with Congress and industry experts. As a result, they managed to release about 1.5 million aluminum pennies. So as to assess the coins, these prototype pieces were distributed to the members of Congress, federal agencies, and industry leaders, including vending machine manufacturers and banking institutions. 

The goal was to switch to aluminum instances by 1974 in order to lower production costs and guarantee sustainability in the long run. Nevertheless, the project was not meant to last long, and the aluminum penny never went into circulation, despite initial hope.

What Does a 1974 Aluminum Penny Look Like?

Although the design of the aluminum penny 1974 is very similar to that of a typical Lincoln cent, its composition, i.e., 96% aluminum with trace metals, makes it physically and aesthetically different. The aluminum varieties are bright and silvery with a somewhat matte texture, in contrast to the reddish-brown color of traditional copper iterations.  

Besides, the 1974 aluminum penny weight had also been changed. Weighing only 0.93 grams, it is considerably lighter than the normal copper penny which weighs 3.11 grams. Just imagine how light it may feel to hold this coin in your hand. Nevertheless, other dimensions were the same: a diameter of 19.05 mm and a thickness of 1.55 mm.

As for the design, it was not unusual. The obverse depicted the profile of Abraham Lincoln along with the inscriptions "IN GOD WE TRUST", "LIBERTY", and "1974*". The reverse, on its part, demonstrated the Lincoln Memorial accompanied by the words "UNITED STATES OF AMERICA", "E PLURIBUS UNUM", and its denomination "ONE CENT" at the bottom.

*Although the coin features the year "1974", it was minted in advance, in 1973, so as to have enough time for the experiment.

Problems and Controversies

Despite efforts to introduce a new coin, the aluminum 1974 penny met strong opposition that finally resulted in its rejection. Its lightweight condition was one of the primary issues since it was easy to handle and lose. Moreover, most of the banks and vending machines could not accept this kind of pennies because of incompatibility issues. 

The medical community has also expressed concerns regarding potential health risks. As they asserted, aluminum would be difficult to detect on X-rays if inadvertently consumed, which may pose a danger to children and people in medical emergencies. 

Another problem consisted in potential financial losses that might the copper and zinc manufacturers, which provided the metals needed to produce coins. As a consequence, members of Congress became more and more doubtful about the shift as a result of pressure from these industries. 

The Decision to Stop Production

No matter how exciting this initiative might have been at first, Congress and the Mint formally canceled the experiment by the middle of 1974. To make sure no test coins got into circulation, the Mint ordered all of them to be returned and melted. A few examples, though, were never found, which led to legal issues and ongoing fascination in the numismatic community.

Is It Possible to Estimate the 1974 Aluminum Penny Value? 

The question of the aluminum Lincoln penny 1974 value intrigues many numismatists worldwide. Are there any 1974 aluminum penny for sale? The problem is quite disturbing, to be fair. Determining the exact value of this instance is almost impossible since it was never formally released. 

Is it illegal to own a 1974 aluminum penny? Yes, these coins are still government property legally, thus private possession is not allowed. However, surviving specimens are highly sought after by collectors, since they do exist. But how many? This is the question.

Over the years, only a few examples have come to light. Here is an illustrative example. Originally, the 1974 D aluminum penny was predicted to sell for as much as $250,000 in 2014, but the US government stepped in and took the coin back before the transaction could even take place. Experts state that, depending on condition, the value of aluminum pennies could easily reach $200,000 to $500,000, even though none have lawfully sold at public auctions.  

Quick Summary

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Learn about coins with a universal numismatic assistant by your side.

Sources: 

1. https://en.wikipedia.org/wiki/1974_aluminum_cent 

2. https://www.pcgs.com/coinfacts/coin/1974-d-1c-aluminum/522941