Coins are more than just shiny objects we use to make purchases. They hold a wealth of history as well as monetary and sentimental value.
When collecting coins, a crucial factor impacting their investment value is whether they are circulated or uncirculated.
But what does that mean? And why does it matter?
This blog post will explore the difference between circulated and uncirculated coins. We’ll also look at why collectors place such importance on their condition.
Introduction to Circulated and Uncirculated Coins
There are two primary types of coins: circulated and uncirculated.
The main difference between these two types of coins is their condition.
- Circulated coins have been used in everyday transactions and thus have been subject to wear and tear. Circulated coins are made using a process called “minting,” which involves stamping the coin design onto a blank coin.
- Uncirculated coins have never been used in circulation and are thus in pristine condition. Uncirculated coins are made using a process called “plating,” which involves coating a blank coin with a thin layer of metal.
So why does all this matter?
Circulated coins are usually worth less than uncirculated ones because of their condition. This is especially true for older or rare coins.
So, if you’re investing in coins, you’ll want to focus on uncirculated coins.
However, it’s important to note that not all uncirculated coins are created equal.
There are different grades of uncirculated coins, from those that just barely meet the criteria to those that are absolutely perfect. The higher the grade, the more valuable the coin will be.
What Are The Different Grades Of Uncirculated Coins
There are two different grades of uncirculated coins: business strike and proof.
Business strike coins are struck for circulation, while proof coins are specially made for collectors.
Proof coins are more carefully struck, resulting in a higher-quality finish.
The Sheldon numerical system is also used for grading coins. Under this system, uncirculated coins can be graded from MS60 (barely uncirculated) to MS70 (perfect).
If you’re new to collecting or investing in coins, circulated coins may be an excellent place to start.
They’re usually more affordable than uncirculated coins and can still be quite collectible.
How Can You Spot the Difference between Circulated and Uncirculated Coins?
You can spot the difference between circulated and uncirculated coins in a few ways.
- Look at the coin’s surface. Circulated coins will have scratches and wear from handling, while uncirculated coins will be free of these marks.
- Look at the coin’s edge. Circulated coins often have nicks or gouges, while uncirculated coins have smooth edges.
- Look at the coin’s luster. Uncirculated coins will have a bright, shiny luster, while circulated coins will often have a duller luster.
So, which is better for investment purposes?
Which is Better for Investment: Circulated vs. Uncirculated Coins
When investing in coins, you may wonder if it’s better to choose circulated or uncirculated coins.
It depends on your goals and what you want in an investment.
It’s important to consider both the cost of a coin and its condition before making your final purchase decision.
Circulated coins are less expensive than uncirculated coins, so if you’re on a budget, circulated coins are a better option.
- Circulated coins may be cheaper, but they are likely not in mint condition and have lost some value over time.
- Uncirculated coins are more valuable since they retain their original condition. While they cost more, their condition means they will likely retain or increase in value.
- To provide an approximate value for a coin, it’s essential to consult reliable coin pricing guides, reference books, or consult with reputable coin dealers. The value of coins can be subjective, and prices can vary based on individual buyer preferences and market fluctuations. It’s always recommended to do thorough research and seek expert advice before making any investment decisions.
Ultimately, deciding which type of coin is best for your needs and goals is up to you. If you have questions about investing in coins, talk to an expert.
Trust the Experts: Discover the Benefits of Choosing Express Gold Refining
At Express Gold Refining, we understand that choosing a reputable dealer is crucial when expanding your investment portfolio. That’s why we strive to be the precious metal partner you can trust.
We are a well-established and reputable Canadian gold refinery with over four generations of family-operated business experience.
Our principles of honesty, simplicity of charges, fastest turn-around times in the industry, and continuous technological advancements are the foundation of our business.
So, why should you choose Express Gold Refining for all your precious metal and coin investment needs?
We offer many services, including
- Gold Refining
- Precious Metals Consulting
- Precious Metals Recycling
We have an excellent track record, having refined over one million ounces of gold since 2004.
Moreover, we pride ourselves on offering competitive pricing and lightning-fast turn-around time. Our facility is fully insured and highly secure, ensuring your investment is protected.
We take every precaution to ensure that each coin we buy is genuine, performing DNA analysis checks on every coin.
Choose Express Gold Refining for all your precious metal and coin investment needs and experience working with an honest, reliable, quick dealer and refiner.
