James Pollack, the director of the mint, proposed in June of 1865 that a coin be made in the denomination of five cents to replace the five cent fractional currency note.  Its composition was to be 75% copper and 25% nickel. James B. Longacre, the designer of the one dollar gold piece submitted the winning design for this country's first five cent coin.  His shield design was adopted which showed a shield crowned with a laurel wreath while the reverse depicted the numeral 5 surrounded by a circle of alternating stars and rays.

 

In 1867, it was discovered that the rays on the design were causing too many problems in the striking of the coin.  The result was the shield nickel without rays which is the way the design remained until production ended in 1883. 

 

One of the rarest and most popular dates in the series is the 1877.  With less than 1,000 pieces struck, all coins were proofs and distributed to collectors.  The following year, 1878, also saw a proof-only mintage of 2,350.

 

The hardness of the nickel alloy caused many striking problems.  As a result, many shield nickels are found to have dye breaks, ranging from minute to major.  A perfectly struck shield nickel, perfect and without dye breaks is a rare find and should be purchased whenever possible.