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The 1963 $1 STAR Federal Reserve Note graded 65PPQ by PCGS is a premium-quality example of a transitional-era U.S. banknote that combines historical context, production rarity, and exceptional preservation. This note was part of the first series to feature the designation "Federal Reserve Note" as a distinct category under the redesigned small-size currency format introduced in the 1960s. It also marked the inaugural appearance of Treasury Secretary C. Douglas Dillon's signature alongside that of Treasurer Kathryn O’Hay Granahan. The presence of a replacement "star" in the serial number and its Superb Gem New 65PPQ grade from PCGS further enhance the note’s desirability among collectors of modern U.S. paper currency.
Issued in the early years of the Federal Reserve’s modernization efforts, the 1963 $1 note introduced the now-familiar legal phrase “This note is legal tender for all debts, public and private” to the face of the bill, replacing earlier versions that included references to silver redemption. This change reflected the ongoing devaluation of silver backing and the eventual transition to a fully fiat currency system. As such, 1963 notes serve as a bridge between silver certificates and modern Federal Reserve Notes. They were printed in high volumes, but star notes—printed as replacements for misprinted or damaged sheets—were produced in significantly smaller quantities and are considered scarcer within the series.
The obverse of the 1963 $1 Federal Reserve Note retains the classic layout introduced in the 1920s, featuring a portrait of George Washington at the center, adapted from the famous Gilbert Stuart painting. To the left of Washington is the Federal Reserve District seal, while the right features the Treasury Department’s seal printed in vivid green ink. The serial number, printed twice in green, begins or ends with a star symbol, denoting its status as a replacement note. In a Superb Gem New 65PPQ example, all printed elements are deeply struck with no signs of smudging, fading, or offset, and the alignment of margins is near-perfect, with broad even spacing on all sides—a key characteristic of high-grade notes.
The reverse design remains consistent with the traditional motifs used since the late 1920s, showcasing the ornate and complex “ONE” design with scrollwork, flourishes, and the Great Seal of the United States. The obverse seal with the unfinished pyramid and all-seeing eye is found on the left, while the eagle with the shield and olive branch appears on the right. The words “THE UNITED STATES OF AMERICA” and “ONE DOLLAR” dominate the reverse in large, bold lettering. In 65PPQ condition, these fine details are crisp and fully intact, with no handling marks, folds, or paper disturbances to interrupt the note’s original state.
PCGS’s grade of 65PPQ (Premium Paper Quality) represents a high-end Superb Gem Uncirculated note with full originality, strong embossing, and paper that has never been pressed, cleaned, or altered. A 65PPQ note must exhibit bold printing, no evidence of circulation, and exceptional centering. PPQ designation adds significant value to any Federal Reserve Note, and its presence here confirms that this note not only looks uncirculated but also retains all the integrity of its as-issued state. The paper will have a firm, bright appearance and may exhibit “punch-through” embossing visible under magnification or angled light.
Star notes like this one were printed in limited batches and used to replace defective sheets pulled during quality control. Their serial numbers were not produced in sequence with regular notes, and each Federal Reserve Bank (e.g., New York, Chicago, San Francisco) had its own separate star note allocations. As such, some districts are rarer than others, depending on their respective print runs. Collectors often seek complete sets of star notes by district, and notes in Gem or better condition from certain districts can command strong premiums due to low replacement print quantities or poor survival rates.
The 1963 series of $1 notes also coincides with important historical developments. It was the final series issued before the assassination of President John F. Kennedy and the last issued under President Dwight D. Eisenhower. Economically, the United States was transitioning away from silver coinage and adjusting to Cold War-era monetary demands, which would soon culminate in major changes in currency design, security features, and metal content. As such, the 1963 series—and especially its star note variants—occupy a unique space at the cusp of numismatic and historical interest.
Surviving examples of the 1963 $1 star notes in Superb Gem New 65PPQ condition are uncommon, especially when factoring in ideal centering and full originality. Most star notes circulated heavily or were handled carelessly, limiting the number of surviving high-grade specimens. Notes certified in 65PPQ condition offer collectors the opportunity to acquire a superior-quality example that is free from folds, corner bends, or paper flaws—traits highly sought after in the competitive market for small-size currency.
Collectors of modern U.S. paper money, star notes, and small-size type sets will find the 1963 $1 star note an essential piece. Its grade ensures long-term preservation and adds immediate aesthetic appeal to any display. Notes in this caliber often serve as centerpieces in portfolios focused on postwar Federal Reserve issues, representing both quality and rarity. The distinct “star” serial number combined with a Superb Gem designation positions this example among the best available from the series.
The Certified 1963 $1 STAR Federal Reserve Note graded Superb Gem New 65PPQ by PCGS offers the perfect blend of historical resonance, rarity, and pristine preservation. As a top-grade replacement note from the early Federal Reserve Note series, it is an ideal acquisition for discerning collectors who seek both technical perfection and meaningful monetary history. Its impeccable condition, classic design, and transitional context ensure it will remain a prized and enduring piece in any advanced U.S. currency collection.