Hobbies And Interests
Trading with the Enemy Act of 1963
In 1963, a year after the missile crisis that further froze relations between the U.S. and Cuba, Congress allowed an embargo of goods on the island nation under the Trading with the Enemy Act. The embargo prohibited the export or import of Cuban products, including all forms of currency. Any coins bought or traded after the act's passing could be confiscated, while the coin dealers involved could face heavy fines. Because this law is still in effect, collectors must be careful how they obtain their coins. Enthusiasts usually avoid legal problems by dividing the currency into two groups: pre-revolution and post-Castro, named after longtime Cuban leader Fidel Castro. The pre-revolution coins were minted before the act passed and are safe to trade; the post-Castro set were minted by the current government and are illegal, making them the hardest coins to obtain.
Cuban Democracy Act of 1992
Though relations with Cuba briefly improved in the '70s during the Carter administration, stronger laws restricting trade were eventually passed in the '80s and early '90s during the collapse of Cuba's closest ally, the Soviet Union. The hardest sanction against the country was levied in 1992 under the Cuban Democracy Act. This law sought to further isolate Cuba by penalizing countries and companies that traded with the nation. American citizens who violated the embargo by buying or trading goods could also face fines of up to $50,000.
Legal Loopholes
Most Cuban coins found in American collections are pre-revolution, though the banned post-Castro currency has still found its way into U.S. markets. These coins cannot be legally obtained because the embargo laws forbid American citizens from dealing directly with the Cuban Mint, which has been producing coins since the '70s. American collectors sometimes buy these coins from foreign dealers, whose countries freely trade with Cuba.