King George the Third Gold Sovereign and Indian Princess Head

I have two coins, one a King George the Third 1817 Gold Sovereign and the other, an Indian Head Princess (year and type unknown). I am guessing that both were transformed into pins for military purposes possibly during the Civil War. Obviously, the coins have been altered and are not in pristine condition. Any insight into the value of these coins and why they were altered will be greatly appreciated. Both coins have the same star design pictured above on the other side. 

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