Fraser’s Acclaimed Buffalo Nickel

By Tom LaMarre, Coins Magazine January 05, 2011

This article was originally printed in Coins Magazine.
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The Buffalo nickel’s journey began on a drizzly day in February 1913. That’s when President William Howard Taft handed out samples from the first bag of Buffalo nickels. The passage ended when the Jefferson nickel arrived in late 1938. During the intervening quarter of a century, an almost continuous stream of newspaper articles served as mileposts along the Buffalo nickel trail.

The Buffalo nickel was designed for posterity. In 1911, Treasury Secretary Franklin MacVeagh received a letter from his son Eames. “A little matter that seems to have been overlooked by all of you,” he wrote, “is the opportunity to beautify the design of the nickel or five-cent piece during your administration and it seems to me it would be a permanent souvenir of the most attractive sort.”

Fraser offered his services. He was born in 1876 in Winona, Minn., and grew up in South Dakota, a background which he later credited for his interest in American Indian artistic themes.

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After studying in Chicago and Paris, Fraser opened his own studio in New York in 1902. His most famous sculpture is the “End of the Trail,” which he began working on in 1894. Millions of visitors admired it at the 1915 Panama-Pacific International Exposition in San Francisco, and countless copies and calendar images of the sculpture have been made. Fraser never copyrighted the sculpture, something he regretted as one of the biggest mistakes of his life.

In a January 1912 letter to the Mint director, MacVeagh wrote that Fraser was “a man who stands high in his profession,” adding that his sketches for the nickel were “in every way satisfactory.” He also expressed his pleasure that “we all have agreed to let him continue with the matter without looking further or incurring additional delay.”

A design competition had been considered, but Fraser lobbied against it, writing to the Mint director:

“In reference to a competition, I think the great trouble is that you may have numbers of sketches in the competition, one of which you may choose and, if I’m not mistaken, you will be forced to stick very closely to that design, even though it may not be quite up to what you want, whereas, working with a competent man, there would be no doubt that a great many designs would me made. In fact, you could go on working till something of real merit was produced. You may say, if you like, that I would be perfectly will to satisfy the Art Commission Mr. MacVeagh spoke of.”

Fraser was referring to the recently created Commission of Fine Arts, which served in an advisory capacity in the selection of new coinage designs. The Buffalo nickel was the first coin it was asked to appraise.

Like the “End of the Trail,” the Buffalo nickel reflected Fraser’s characteristic classical realism style. He used three Native Americans as models for the composite portrait on the nickel’s obverse, although many more claimed to be the model.

By using an American bison on the reverse of the coin, Fraser said he achieved perfect unity of theme and created an entirely American design. The model was Black Diamond, born in the Central Park Zoo of stock donated by Barnum and Bailey.

Mint Director George Roberts approved plaster models of the Buffalo nickel design in June 1912. Weeks later, a newspaper article said an executive order to change the nickel’s design would probably be issued “within a few weeks.” The December issue of The Numismatist said:

“According to recent newspaper reports, the new design for a nickel five-cent piece, the work of James Earle Fraser of New York City, has been approved by the Secretary of the Treasury and by the National Art Committee, and is said now to need but the approval of President Taft to become the official design for the coin of that denomination.

“As has been stated in previous issues of The Numismatist, the obverse design of the new piece is that of a buffalo, while on the reverse is the representation of an Indian head.

“There will be no ‘V’ [as on the reverse of the Liberty Head nickel], but the denomination is spelled in full, ‘Five Cents.’ The Numismatist hopes soon to be able to illustrate the new piece for its readers.”

The Mint struck pattern Buffalo nickels in January 1913. They had the same designs as the nickel approved for circulation but lacked Fraser’s “F” on the obverse.

Full-scale production of circulation-strike Buffalo nickels began Feb. 17, 1913, when a single press at the Philadelphia Mint began turning them out at the rate of 120 coins a minute.

President William Howard Taft handed out Buffalo nickels from the first bag during a ceremony at Fort Wadsworth, N.Y., on Feb. 22, 1913 (not March 4, 1913, the date cited by many sources). The occasion was the ground breaking for the National Memorial to the American Indian, which was never completed. Soon the coins were released across the country, although not everyone liked the design.

The March 11, 1913, issue of The Daily Times, published in Beaver, Pa., reprinted an article from the New York World calling the Buffalo nickel “Another Ridiculous Coin.” The writer went on to say:

“Is it not possible for Congress to curb the men in the Treasury Department who periodically play tricks with our money? A few years ago a sad attempt was made to beautify our gold coins. The celebrated Lincoln cent came next. Now we have the Buffalo nickel.

“Whatever may be said of the art expressed by these pieces they are more like medals, tokens, bangles, fobs or beer checks than money. Their inscriptions are indistinct and with a little wear will disappear.

“Our coinage ought not to be left wholly to the caprice of artists. Legibility should be the first consideration, with ornamentation second. There should be absolutely no uncertainty as to denominations.

“The Liberty Head used to be considered highly appropriate for our coins. If an act of Congress is necessary to restore it and keep it, that body should be heard from without delay.”

Writing in the March 1913 issue of The Numismatist, Edgar H. Adams noted that the new nickel had a concave surface, “the striking of which appears to have forced up the metal along the edge, thus making it so much thicker than that of the old type that it cannot be used in the [vending machines] now so common.”

The Treasury secretary received hundreds of complaints from manufacturers of coin-operated machines, particularly the Hobbs Manufacturing Co., which marketed a machine for detecting counterfeit coins. But after talks dragged on with no agreement, the companies were told they would just have to widen the slots in their machines to accommodate the new nickel.

The Spring 1957 issue of News from Home claimed, “Because of its thickness and shape, every machine in the country with a nickel slot had to be readjusted.”

The Numismatist predicted the Buffalo nickel’s “rough” surfaces would make it easy to counterfeit. Weeks after the first Buffalo nickels went into circulation, Secret Service agent John Henry arrested a trio of Buffalo nickel counterfeiters in a New York City tenement—Antonio di Giolano, Gennaro Biondi and Paolo Pontonieri. They were the first to make phony Buffalo nickels.

No change was made to the Buffalo nickel’s rough-hewn texture, but the Mint did address another problem. As they appeared on the first Buffalo nickel, the words “FIVE CENTS” on the reverse were especially subject to wear. The Mint changed the design to depict the bison standing on a plain instead of a mound, with “FIVE CENTS” more strongly engraved and better protected from friction.

Collectors classify the first Buffalo nickels as Variety 1, and the 1913 nickels with the bison standing on a plain as Variety 2.

Mint Director George Roberts gave his slant on the design change, in the April 4, 1914, issue of The Evening Argus:

“Mr. Roberts was surprised at the prominence that the newspapers of the country have given recently to the fact that a change has been made in the dies of the ‘Buffalo nickel.’

“‘The coin is slightly different now from what it was when it first appeared,’ said Director Roberts, taking two nickels that lay on his desk.

“‘This is the coin of the first issue that appeared last February [sic]. When it came out we saw that the outlines of the coin were not as distinct as they might be. Particularly the lettering in the words ‘Five Cents’ under the buffalo was a trifle hazy, and there were certain other places that were not clear cut.

“‘We were much pleased with the coin, and felt an indisposition to make any change, but at the same time we felt that some changes might be practical.

“‘So we set the die-cutters in the Mint to work making the lettering a little more distinct. You can see the difference if you look closely,’ he said, taking up the second of the coins. “‘All of the lettering is more clearly cut and even some of the lines in the buffalo and the background were brought out more distinctly.

“‘But this is not news, it is history, and I’m surprised that the papers should have taken it up at this time. The re-cutting of the dies was done in April, and the new coins have been coined ever since as you see them now.’”

Demand for Buffalo nickels was still heavy in 1914. The July 6, 1914, issue of The Milwaukee Journal reported, “Recently, to meet the emergency demanded by the issue of the ‘Buffalo’ nickel, the Mints turned the out at the rate of 1,444,000 a day.”

In March 1914, the scarcity of Buffalo nickels was blamed on a Los Angeles broker who was arrested for trying to corner the Buffalo nickel market.

At Joliet, inmates made counterfeit nickels in the prison machine shop.

Buffalo nickels were also attracting hobo artists. The July 17, 1914, issue of The Day, published in New London, Conn., reported:

“The owner of a Bank Street cash till got a Buffalo nickel between his thumb and forefinger which felt rough, and examined it closely to find that some artist had made an [ethnic caricature] of the Indian on one side of the coin. It did not take very much of an eye to find that a derby had been carved so that it poised on the back of the head and completely obliterated the Indian’s head feathers.

“An eyebrow of unmistakable proportions, full beard and a collar and necktie had been added by the artist, who defaced and at the same time refaced the coin.

“Whoever added the engraving to the coin violated the federal law, but it is said such infractions are common in New York, where Buffalo nickels are altered for a consideration, when the artist knows he is not doing business with a special agent of the Treasury Department.”

It was a good year for Buffalo nickel varieties, too. R.A. Medina of San Antonio, Texas, discovered the 1914/3 Buffalo nickel. It was verified in 1996. A 1914/3-S nickel turned up in 1997, and a 1914/3-D was found in 2000.

In October 1915, a counterfeit Buffalo nickel plant in New York City was raided.

Mint engraver Charles Barber made some minor changes to the Buffalo nickel design in 1916. The Philadelphia Mint struck an undetermined number of doubled-die nickels that year. Today there are an estimated 400-500 survivors. At a Bowers and Merena auction in April 2008, a Numismatic Guaranty Corp. certified Mint State-64 example realized $276,000.

The Buffalo nickel was still relatively new in 1916, but some young people were unfamiliar with its story. The Feb. 12, 1916, issue of the Eugene Register Guard suggested, “Read these questions at the family dinner table tonight, and see how they are answered. It is now exactly a school teacher’s list, but it was suggested by a school teacher’s list.” One of the questions was, “When did the Buffalo nickel come into use?”

However, some people hoarded Buffalo nickels from the beginning, even if it may have been on a small scale by today’s standards. The following item appeared in the Oct. 17, 1917, issue of The Deseret News:

“For years, Sam Reed, driver for the stage line, has been saving Buffalo nickels. He found that it was an easy way to get ahead, just to make it a rule to save every Buffalo nickel that came into his hands. Now he wishes he had chosen some other method.

“Last night a thief unscrewed the hinges on a store-room door in the basement of the Virginia Apartments, 416 East South Temple Street, and took the tobacco can which Reed had used as a savings bank. It contained $60 in nickels. Reed reported the loss to the police but so far the thief remains undiscovered.”

There was a severe shortage of Buffalo nickels in 1917. One factor in the shortage may have been the announcement of a planned monument to Buffalo Bill Cody, to be built with contributions of Buffalo nickels. In November 1917, however, Treasury officials proclaimed the nickel shortage at an end, thanks to overtime at the Mint.

The Mint was still a madhouse in the autumn of 1917 as workers made dies for 1917, and 1918-dated dies to be used in the coming year. The frantic pace may explain the striking of a small but undetermined quantity of 1918/7-D Buffalo nickels.

The discovery specimen made its first auction appearance in October 1931 at a sale held by Barney Bluestone of Syracuse, N.Y., although some collectors had known about it for years. The auction catalog described it as a “bold overdate, the only specimen known to exist at the present time.” It added:

“No collection is complete without this extreme rarity. This specimen is rarer than the 1913 Liberty Head nickel. It should realize a very high price as this piece is the rarest nickel known.”

Gradually, more examples came to light. Today probably several hundred 1918/7-D nickels are known. At the Bowers and Merena sale of the Richard Hennessy collection in August 2008, a 1918/7-D nickel realized $350,750.

It was also in 1918 that the New York Times reported a depiction of Kaiser Wilhelm of Germany was showing up on nickels. The police were said to be searching for distributors of the altered coins in Hoboken, N.J., where hobo nickels may have originated.

The same year, a Connecticut newspaper claimed the Buffalo nickel was becoming less popular and useful every day, and predicted it would be replaced by a six-cent coin.

More than 80 million nickels were struck in 1920, despite their declining purchasing power. Many of them were used in vending machines. An ad in The National Druggist said:

“Nickels! Nickels! Everywhere. Why not get your share? Mr. Storekeeper: Your patrons can’t buy very much for a nickel nowadays. The day of nickel cigars, nickel shows, etc., are a thing of the past. Yet your customers still have plenty of odd nickels, and they want to spend them. Why not give them the opportunity? The EZ-Ball Gum Machine is the champion nickel getter!

“Each ball of gum has a hole drilled through the center and a printed number inserted. Your patrons keep dropping in nickels until they get a reward number which gives them 10 cents to $2 in merchandise from your stock.”

The Ad-Lee Novelty Co., offered the machine, which was priced at $30.

Banks also found they could use nickels to make money. In 1920, a window display in the National City Bank of Chicago consisted of a cottage, with a path leading to it “paved” in nickels. The display inspired more than 300 people to open accounts at the bank. An article in The Bankers’ Magazine explained:

“That many a nickel makes a muckle was better illustrated by the nickels on the path leading to the cottage than by a half column of written argument. Everyone can save a nickel. The nickel idea had a further advantage in that it would not prove so costly to our bank as it would if paved with half dollars and sometime during the night an ‘enterprising burglar’ decided to clean up the path.”

Buffalo nickel production declined in the 1920s because of massive World War I mintages. No nickels were struck in 1922, the year the New Castle News reported the death of Black Diamond as a result of “wire in his hay.” It was also the year the Portsmouth Herald complained about the “hideous” Buffalo nickel, saying it was not an improvement over the old Liberty Head type.

Buffalo nickel production went on a roller coaster ride during the troubled 1930s. In 1931, nickels were struck only at the San Francisco Mint, which turned out a mere 1.2 million. The Numismatist reported the low mintage figure, and hoarding of 1931-S nickels was widespread.

Because of the Depression, no nickels were struck in 1932 or 1933, but production resumed in 1934 at the highest level since 1930.

At various locations in New York City from 1930 to 1936, a mysterious man who identified himself as “Mr. Glad” lifted spirits during the Depression. He handed out Buffalo nickels, food, coffee, sandwiches and gloves to anyone who needed them.

In 1935, authorities seized $250,000 in counterfeit nickels in a raid of an abandoned farmhouse in upstate New York. Five states had been flooded with the fake nickels.

The Denver Mint turned out nearly 18 million nickels in 1937. The 1937-D three-legged variety was created when a press operator used an emery stick too aggressively to remove clash marks from a reverse die. He wound up removing the bison’s right foreleg except for the stump and hoof.

C.F. “Cowboy” Franzen of Billings, Mont., reportedly discovered the three-legged nickel between 1937 and 1939.

In the final year of production, 1938, Buffalo nickels were struck only at the Denver Mint. Among the more than 7 million nickels struck that year were 1938-D/D and D/S varieties.

By the time the design gave way to the Jefferson nickel in late 1938, the Buffalo nickel had covered a lot of territory. Critics praised them or blasted them. Souvenir hunters hoarded them. Counterfeiters made fakes, and hobo artists transformed originals with imaginative engravings. At the U.S. Mint, engravers attempted a quick fix of the design, resulting in the first Buffalo nickel varieties.

When the dust cleared, one truth was still standing. The Buffalo nickel was, as the Chicago Tribune put it, an artistic coin—one that could never be mistaken for anything else.