Why Are Oscar Statuettes Worth Just USD 1? The Academy Awards’ Surprising Rule And History

The 98th Academy Awards ceremony is back with surprises, a brand-new category, a high-energy hosting style, powerful nominations, and the best stars in the league. The award show will take place on March 15, 2026 (ET) at the Dolby Theatre in Hollywood, Los Angeles. The main event will kick off at 7:00 p.m. (ET). 

Fans will be able to stream the award show on ABC and Hulu, ensuring an uninterrupted viewership nationwide. Hollywood’s top talents will be competing for the Oscars in 2026. As fans wait to see who will take home the 98th Academy Award statuette, nicknamed the ‘Little Gold Man’, let’s take a quick look at what you need to know about the upcoming show.

The history of the Oscars

Before we dive into the details of the statuette, let’s take a quick look at the history of the Oscars. The award, officially known as the Academy Award of Merit, was given the nickname the ‘Oscar’ in 1939. However, its history goes much further back than that. The Academy was founded by dozens of Hollywood leading lights in May 1927. The founders of the organisation included a spectrum of big names in the entertainment world, including movie mogul, Louis B Mayer and the leading star of Hollywood, Douglas Fairbanks. However, fans have often wondered what the objective behind these awards was.

Well, the idea behind organising this event was to recognise excellence in cinematic achievement. However, according to Louis B Mayer, the real reason might not be as soaring. According to Open Magazine, Louis created the award to prevent Hollywood actors from unionising. He was quoted as saying:

“I found that the best way to handle [show folk] was to hang medals all over them… if I got them cups and awards, they’d kill themselves to produce what I wanted.”

Inside the first Academy Awards

The first Academy Awards were held on May 16, 1929. According to reports, the first show took place at the Blossom Room of the Hollywood Roosevelt Hotel. It was Wings, a silent war epic released in 1927, that was awarded the first-ever Academy Award for Best Picture and Best Effects. Emil Jannings became the first actor to ever win an Oscar for performances in The Last Command and The Way of All Flesh. On the other hand, Janet Gaynor won the first Best Actress award with three films: 7th Heaven, Street Angel and Sunrise: A Song of Two Humans.

Additionally, two directors won Best Director: Frank Borzage for Drama for 7th Heaven and Lewis Milestone for Comedy for Two Arabian Knights. Unlike today, the first Academy Awards were filled with little to no surprise and suspense, as all the winners were announced three months prior to the award show. The ceremony, which comprised a banquet with around 270 guests, lasted just 15 minutes. Since 1929, the Oscars have been held every year.

How did the Academy Award statuette get the name ‘Oscar’?

The gold-plated bronze statuette stands 13.5 inches tall and weighs approximately 3.85 kg. It is designed to resemble a knight holding a crusader’s sword standing on a reel of film. However, fans have often wondered how the Academy Award’s statuette was named ‘Oscar’. Well, the story behind it remains unknown even years after the show began. However, one story chalks it up to the Academy librarian, Margaret Herrick, who claimed the statuette looked like her Uncle Oscar. The first media reference to the nickname was in 1934. At the time, Hollywood columnist, Sidney Skolsky, wrote about the 6th Academy Awards, noting that Katharine Hepburn won an ‘Oscar’ in the Best Actress category for her performance in Morning Glory.

How much are the Oscar statuettes worth?

Oscars are the most prestigious awards in the entertainment world. However, how much are they worth? Well, according to CBS News, an Oscar statuette costs around USD 400 to make. However, the statuette itself isn’t worth much. According to the rules of the Academy, winners of the Oscar cannot “sell or otherwise dispose of the Oscar statuette…without first offering to sell it to the Academy for the sum of USD 1.” This also applies to the heirs of the stars who won the award in the past. The rules were introduced by the Academy in 1951 in order to “preserve the integrity of the Oscar symbol.”

How is winning an Oscar more than just prestige?

While winning an Oscar is an honour in itself, the winners of a given year reap far more than just a trophy. Directors, actors, writers or cinematographers can usually raise their already considerable fees in what is known as an ‘Oscar bump’. This can be as high as 20-30 per cent of their salaries. However, if one hasn’t won an award, there’s nothing to worry about, as many great talents, including directors like Martin Scorsese, are never rewarded by the Academy when they are making their best work. Yes! The director won the Academy Award for a work that was on a different spectrum from his best. He was awarded the Best Director Oscar for The Departed rather than any of his towering cinematic masterpieces, such as Goodfellas and Raging Bull. 

What are your thoughts on the Academy Awards’ history? Let us know.

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