The problem with coin collecting nowadays.

[Ignorant]

Modern collectible coins, but even bullion nowadays are pampered and babied like never before. Handeling coins without gloves is a no no, not to mention cleaning them, and most are stored in their own separate containers I.e. capsules or slabs.

In the old days coins were handled and over time developed wear from circulating. But with most collectors pampering their coins to the extreme nowadays, gone are the days when coins would gradually get removed from circulation and recycled for other purposes.

Before, quantities would gradually diminish as coins would be melted for other purposes, adding to the rarity, scarcity and appeal of coins over time. But with everyone pampering their coins nowadays this is less likely to occur. Availability won’t diminish. And except for poorly minted coins straight from the mints, mintages, grades, rarity and scarcity will remain a constant, impacting appreciation and value retention negatively in the longrun. And the constant influx of new collectible coins will only exacerbate this problem. More choice equals less demand for a particular coin overall.

Basically the coins worth collecting and most likely to appreciate in value nowadays are those of which the general consensus is that they are of exceptional design and/ or have extremely low mintages. Plus they better be in pristine condition, or else they are just bullion, worth no more than their weight in gold and unlikely to appreciate in value unless the collector pool increases proportionally to supply. But I doubt that’s the case.

Am I wrong? Is my logic flawed? I’m interested to hear from the knowledgeable members on this forum. Please share your thoughts on the subject.

Edited August 10, 2023 by Ignorant

[DTL1982]

I think you have a point with certain collectible coins. However, I don’t wear gloves or baby the circulated coins in my collection unless they are rare. I keep a standard .500 silver 1939 Half Crown on my desk and play with it all day whilst working. Spin it around. Toss it in the air and catch it. Etc etc etc. I like the feel of a circulated silver coin in my hand and so I’m not afraid to touch it. Of course with increasing rarity comes increasing care. 

[BLOOMMAN101]

😀

30 minutes ago, DTL1982 said:

I think you have a point with certain collectible coins. However, I don’t wear gloves or baby the circulated coins in my collection unless they are rare. I keep a standard .500 silver 1939 Half Crown on my desk and play with it all day whilst working. Spin it around. Toss it in the air and catch it. Etc etc etc. I like the feel of a circulated silver coin in my hand and so I’m not afraid to touch it. Of course with increasing rarity comes increasing care. 

I  carry a 1928 half crown and a 1931 penny (the colour is glorious on the penny)  the touch of old silver is very therapeutic I find 😀   

[silvergaga]

999 silver is just so soft and marks too easily. .925 great for handling.

[Bigmarc]

I nearly got a clout round the ear for picking a coin up incorrectly at my last coin fair I went to. 

[Sc391]

@Ignorant unfortunately you are spot on with your comments.  I don’t like the obsession with graded coins for that reason.  I’ve had coins graded as PF69 which are suddenly unsalable because they are not perfect.

Part of the attraction with coins (for me) is holding a piece of history in your hand that maybe someone carried to the market or fought in a war with.  
 

I have my proof coins, sovereigns and some others, but proof is a far as I go - if someone wants it graded to perfection, it’s on them.

[Stuntman]

I'd say there's a big difference between coins that are intended for circulation, and coins that are not intended for circulation.

In the case of circulating currency coins, such as 50p, £1 or £2 coins that you'd get from a bank or receive in change - these coins do still get removed from circulation and can be found in various grades depending on how well-circulated they were, before someone decided to keep them.  Think of Kew Gardens 50p coins or the Commonwealth Games £2 coins as good examples of these. 

I wouldn't baby these coins at all, just pick them up by their edges and enjoy interacting with them.  Same with all my predecimal coins dating back to the 17th century, I just pick these up (taking care of them when doing so), and enjoy examining them.

For the non-circulating coins, they are aimed at the collector market from the start, even if some of these 'collectors' are bullion stackers.  They are intended to be alternative investments and/or collectable items, with a minimum intrinsic value linked to the spot price of the particular metal and a maximum value depending on how hot the market for the item is at the current time. 

The audience for these coins would prefer them to be as high quality as possible, but it doesn't mean that you can't or shouldn't just enjoy holding them and interacting them as 'just coins'.  They are yours to do as you see fit. 

Many people like playing with them, so to speak, and why not.  But if you want to maximise your chances of selling them for the best price, look after them.

Personally I keep these kind of coins in Quadrum capsules and enjoy them in that state.  I don't feel I'm missing out on any joy of interaction with them, but if I did, I'd perhaps just have one or two bog-standard sovereigns/Britannias to play with, and plan to sell them to a dealer as bullion when the time is right.  

In summary it's horses for courses and there's a coin for everyone out there!

[Petra]

Handling most coins… no issue, however, all those ‘impaired’ proof coins!🤔😮 why! Jemmy it out of its capsule and play with it! Why😮🤔!

[Stuntman]

3 minutes ago, Petra said:

Handling most coins… no issue, however, all those ‘impaired’ proof coins!🤔😮 why! Jemmy it out of its capsule and play with it! Why😮🤔!

Some people wouldn't know any better.  Their coin, their rules... but obviously to the detriment of resale 🙂

[Dobber]

I stack mainly sovereigns, many of the modern ones I have in capsules, however I get far more pleasure in handling the older sovereigns, the one's I describe as having character, can't beat a handful of sovereigns clinking about together 😁

[Aldebaran]

1 hour ago, Dobber said:

I stack mainly sovereigns, many of the modern ones I have in capsules, however I get far more pleasure in handling the older sovereigns, the one's I describe as having character, can't beat a handful of sovereigns clinking about together 😁

You are right, for some reason I don’t like touching the new coins, even though they are only bullion.

I think I am going to change that attitude, after all they aren’t proof 🌞

[SidS]

On 10/08/2023 at 15:11, Ignorant said:

Modern collectible coins, but even bullion nowadays are pampered and babied like never before. Handeling coins without gloves is a no no, not to mention cleaning them, and most are stored in their own separate containers I.e. capsules or slabs.

In the old days coins were handled and over time developed wear from circulating. But with most collectors pampering their coins to the extreme nowadays, gone are the days when coins would gradually get removed from circulation and recycled for other purposes.

Before, quantities would gradually diminish as coins would be melted for other purposes, adding to the rarity, scarcity and appeal of coins over time. But with everyone pampering their coins nowadays this is less likely to occur. Availability won’t diminish. And except for poorly minted coins straight from the mints, mintages, grades, rarity and scarcity will remain a constant, impacting appreciation and value retention negatively in the longrun. And the constant influx of new collectible coins will only exacerbate this problem. More choice equals less demand for a particular coin overall.

Basically the coins worth collecting and most likely to appreciate in value nowadays are those of which the general consensus is that they are of exceptional design and/ or have extremely low mintages. Plus they better be in pristine condition, or else they are just bullion, worth no more than their weight in gold and unlikely to appreciate in value unless the collector pool increases proportionally to supply. But I doubt that’s the case.

Am I wrong? Is my logic flawed? I’m interested to hear from the knowledgeable members on this forum. Please share your thoughts on the subject.

EXACTLY - You hit the nail on the head.

[SidS]

On 10/08/2023 at 21:18, Petra said:

Handling most coins… no issue, however, all those ‘impaired’ proof coins!🤔😮 why! Jemmy it out of its capsule and play with it! Why😮🤔!

If you already own an example of the coin then this is a good thing. The more of them that are impaired and ruined the better your pristine one will do.

[Petra]

1 hour ago, SidS said:

If you already own an example of the coin then this is a good thing. The more of them that are impaired and ruined the better your pristine one will do.

Steady income for @GoldDiggerDave!🤔

[GoldDiggerDave]

On 10/08/2023 at 15:11, Ignorant said:

Am I wrong? Is my logic flawed?

Yes. 

[Ignorant]

1 hour ago, GoldDiggerDave said:

Yes. 

How so? Care to elaborate and enlightening us with your wisdom?

[Petra]

The main trouble with coin collecting? Never having enough money!🤔😮

[GoodAsGold]

On 10/08/2023 at 15:11, Ignorant said:

Basically the coins worth collecting and most likely to appreciate in value nowadays are those of which the general consensus is that they are of exceptional design and/ or have extremely low mintages. Plus they better be in pristine condition, or else they are just bullion, worth no more than their weight in gold and unlikely to appreciate in value unless the collector pool increases proportionally to supply. But I doubt that’s the case.

Am I wrong? Is my logic flawed? I’m interested to hear from the knowledgeable members on this forum. Please share your thoughts on the subject.

Hi @Ignorant. Some of us collect, some of us stack and some of us do both, as we’re all aware. But when it comes to precious metal coins then we all invest. Some of us look to sell our investments on at a profit. Some of us like to hold onto our investments and ultimately gift them to sons, daughters or whoever.  So when you suggest  “some coins are just bullion, worth no more than their weight in gold and unlikely to appreciate in value”  I would add that the value of bullion fluctuates in line with its constantly changing price on the precious metal markets. 

Simply buy your bullion when market prices are down and sell when the market is up and there’s your profit. Personally I wouldn’t refer to it as “just bullion”. After all, it’s still precious.

[EdwardTeach]

On 12/08/2023 at 09:17, Petra said:

The main trouble with coin collecting? Never having enough money!🤔😮

You mean never having enough fiat currency to exchange for real money.

[EdwardTeach]

On 14/08/2023 at 00:55, GoodAsGold said:

Simply buy your bullion when market prices are down and sell when the market is up and there’s your profit.

Ahhh. Now why didn't I think of that.

[SidS]

8 minutes ago, EdwardTeach said:

Ahhh. Now why didn't I think of that.

Because it's not the Silver Forum way.

Buy High, Sell Low.

We should get that engraved on some silver rounds.

[AaaGee]

25 minutes ago, SidS said:

Because it's not the Silver Forum way.

Buy High, Sell Low.

We should get that engraved on some silver rounds.

Im going to have it engraved on my grave stone.

[KevinFlynn]

Nobody will ever know what I do to my coins when no one is looking... 😁

On topic: If you have ever seen how your local bullion dealer handles coins you will realize that pristine condition is an idea reserved for investors that put too much thought into it.

Will a collectors' value ever be realized? Isn't it like with a Rolex, that no one ever wants to be the person paying the theoretical collectors' value?