Racketeer Nickels

            1883 is the year, and it was an interesting year indeed.  It was the last year of the Shield Nickel, as well as  the first year of the Liberty Head or “V” Nickel, which in itself has two varieties. 

1883 Liberty Nickel, Reverses of both "Cents" and "No Cents"

Photo Courtesy of DJ, Kanga, and Leadfoot

The first Liberty nickels produced had Lady Liberty on the obverse and the year, and “United States of  America” and “E Pluribus Unum” on the reverse, along with the big “V” – and that’s it.  During this time the Liberty  Head five dollar gold coin was also being minted (1839-1908 (motto and no motto)) which bore a rather familiar  resemblance to the obverse of the nickel. 
            Both have Lady Liberty with her hair seemingly tied back behind her  head, wearing a “Liberty” tiara with  the year below the bust, as well as 13 stars around the portrait.  The biggest  difference was the reverse, along  with the fact that the five dollar gold had a reeded edge.  The nickel had a “V”  in the middle, while the five dollar  gold had an eagle holding the olive branches, arrows, and the shield. 
            Lastly,  the diameter of both coins was  very similar.  The nickel has a diameter of 21.2 millimeters, while  the five dollar gold has a diameter of 21.65  millimeters.

Obverse of $5 Gold

Photo Courtesy of Mark H.

So then, what is a Racketeer Nickel?  Well, as you may already know, or by now have assumed –after  those specifications-, it is a “no cents” Liberty Nickel that is modified to look like a Liberty Head five dollar gold  coin.  The edge of the nickel was altered so that it was reeded (not all of them though!), and it was then gold  plated so that it may pass off as five dollars instead of five cents.

In the early 1880’s the weekly wages of the average worker were anywhere from $10 to $16.  It’s not hard  to imagine a few people coming up with the idea of turning their five cents into five dollars (a cool 9,990% profit).   But then the question is, wouldn’t shopkeepers and other employees notice the difference?  They might, except  gold coins didn’t circulate very often, the most circulated gold coins are one dollar coins, followed by the two and  a half dollar gold, and even those didn’t see much action.  This is also most likely the reason why that some of the  Racketeer Nickels didn’t have a reeded edge, because not many people would notice!