Investing in gold coins and collecting coins are both valuable ventures. However, collectors tend to purchase valuable coins as a hobby due to their rarity, while investors invest in gold coins as a hedge against a dwindling economy. Either way, both collectors and investors have one thing in common: a strong appreciation for gold coins.
If anyone could pick a day for the explosive beginning of coin collecting in America, then May 25, 1857, would be a likely candidate. According to David Thomason Alexander, the author of “10 Great Moments That Shaped American Coin Collecting,” copper was used in the Flying Eagle cent as the base material for the penny. It was unpopular, but news that the large cent would soon be no more caused people to want to find and save the coin.
Coins can be collected for many different reasons, including rarity, design, metal type, denomination, and mintmark. More than 400 coin clubs are part of the American Numismatic Association (ANA) and are located all over the country. Coin clubs are a fun way for people to discuss the history of coins and money and their critical role in our society.
Collecting vs. Investing Gold Coins
Collector and bullion coins are not meant to be used as payment for things. Collector coins are valued for their rarity and condition, while gold coins are valued because of the value of their precious metal content.
Compared to a stock’s value, investing in gold coins is cheaper than buying a house. For first-time investors, investing in gold coins is good. When you decide to buy some gold coins, make sure to purchase them from a reputable dealer. You can choose from thousands of different gold coins from mints all around the world.
Bullion coins are available in a range of sizes, from 1/10 ounce to 1 ounce. You can decide how much or how little gold you want to own. First, decide if you’re a coin collector or a coin investor. If you love the look of coins and how it feels to hold them, and the unmatched satisfaction of collecting sets of coins, then collect coins for their aesthetics and the enjoyment they bring. You can still sell some of the coins you collect for a profit someday. In fact, many collectors have this in the back of their minds.
And if your primary goal is to protect your gold and silver coins from the eventual doomsday scenario, or if you simply hope that gold will continue to appreciate and that you can sell them at a profit someday, then buy some bullion bars. Try to avoid paying the high commissions that many collector coins have to pay.
The Bottom Line
Whether you decide to purchase gold coins for collection or investment, make sure that you take the necessary steps to get them delivered to you! Never let companies store your precious metals for you – they might become bankrupt in a matter of weeks or months! If these companies go bankrupt or become victims of a scam, you’ll be stuck with nothing but a paper note worth nothing. If you received some gold, store it somewhere you can control, preferably in a safe at your home or with a trusted family member.
Do you have some coins that you don’t know the value of? Or do you have a fantastic collection that you’ve invested in and are ready to sell? Gold and silver traders from Doylestown, Pennsylvania, can evaluate any gold or silver coin and make an offer that is hard to beat. We buy US, Mexican, and Canadian coins and check coins from other countries to see if they have any value.
We take a wide range of coins, such as:
- Canadian Currency
- American Currency
- Mexican Currency
- Gold and Silver Bullion
Whichever coin you own, we can determine its value and offer you the best price for that day. Contact Gold-Silver Coins in Bucks County to find out more about what we buy.