The purchase of California from Mexico in 1848 became a pivotal acquisition in ways the United States would have perhaps then never imagined possible. Not only did it add new territory that was eventually granted statehood in 1850 as the 31st state, but also the discovery of gold in California shifted the balance of wealth. Drawn to California were tens of thousands of migrants longing to manifest their destiny by rummaging their hands through Earth and claiming chunks of orange-yellow precious metal. Gold has been a game changer for many on an individual and national level. This can be seen countless times throughout history.
In the United States, gold took an alternative form in 1863 with something called Gold Certificates, a type of currency that ran for decades. Some issues were used exclusively within private banking systems, and others were intended for public circulation – the last of which being the small-size series of 1928. These bills reflected an individual’s ability to deposit and redeem gold at a bank via Gold Certificates, fostering confidence and stability within the economy. However, the 1934 Gold Reserve Act was passed into law (following an executive order the year prior) during the height of the Great Depression. This required all Gold Certificates – both large and small size – to be surrendered. Possession of these bills was now considered to be illegal until 1964, when restrictions on private ownership were softened.
In more recent years, one company has sought to restore the concept of gold-based monetary instruments by launching Goldback Inc. in 2019. Goldback bills, while not federally recognized legal tender, can be voluntarily accepted in certain designated states for which they were created. This was possible due to state legislatures that passed laws recognizing gold and silver as voluntary legal tender. As of late 2025, Goldbacks are accepted within the following eight states, with each state’s inaugural year provided in parentheses: Utah (2019), Nevada (2020), New Hampshire (2020), Wyoming (2022), South Dakota (2023), Florida (2025), Oklahoma (2025), and Arizona (2025).
The denominations that are commonly available in Goldback form across all states are 1, 5, 10, 25, and 50, each representing an increasing quantity of gold (more on this later). However, for the new states and their 2025 releases, they will see a few additional denominations, such as ½, 2, 3, and 100, as well as something else that they call Alpha edition. These are the first Goldbacks produced in a new series and are distinguishable by the Greek alpha character (á) next to the mintage year on a Goldback. These are special bills printed for those that like to collect early edition notes. Even more recently, Goldback, Inc. unleashed its Limited Early Release (LER) program; an example from Arizona graded Supreme Gem Uncirculated 70 PPQ by PCGS Banknote serves as this issue’s Notable Note.
The manufacturer of Goldbacks is an Oregon-based company named Valaurum, which was founded in 2012 with the hope to make gold easily accessible in a wide variety of denominations with trusted security features. These notes are created with patented technology that atomizes 24-karat gold between two polymer sheets. These paper-like pieces are known as Aurum, and it’s the smallest unit of verifiable gold on the market today.
Gold has very unique properties; it is malleable and ductile while resisting corrosion and tarnishment. The way Valaurum verifies the amount of gold in each Aurum is by utilizing electrical measurements. Gold is an excellent conductor of electricity, and this allows precise measurements to be taken by testing each Aurum with exact voltages to guarantee the precise amount of gold. This gold content is measured in troy ounces, a unit of measurement heavier than the standard ounce and used to weigh precious metals like gold and silver. One troy ounce weighs 31.104 grams, whereas a standard (or avoirdupois) ounce weighs 28.35 grams. Each denomination will contain a different fractional measurement of a troy ounce, making affordability possible for collectors and investors of all budgets. The quantities of gold by denomination range from 1/2000 of a troy ounce for the ½ Goldback to 1/10 of a troy ounce for the 100 Goldbacks.
Goldbacks carry several key security features, such as micro-printing within the artwork that is specific to the state it represents. This ensures that it cannot be reproduced by any scanner, photocopier, or laser printer. On the reverse is dimensional gold. This occurs by spreading gold atom by atom onto a printed polyester substrate. The unprinted sections have a high sheen where the gold resides; on the printed sections is a matte finish. Goldbacks also have UV-reactive ink and their own unique serial numbers.
Unlike those who headed for the hills of California in the late 1840s and early 1850s, people today don’t necessarily need to uproot their lives and travel thousands of miles to find wealth in gold. Many collectors and investors believe there is a new future provided by companies that set out to empower financial stability and fight inflation using an alternative form of currency. Gold could once again be returning into the hands of the public for use as a legal form of payment in everyday transactions. With Goldbacks, some people believe that future is already here.