Coin Collecting

Contents

  1. Art of Coin Collecting
  2. History of Coins
  3. Anatomy of Coins
  4. Error Coins
  5. Caring for Coins
  6. Coin Grading
  7. Links

  The Art of Coin Collecting

    Coin collecting is referred to as the "Hobby of Kings." This name came to be because kings have a vast amount of coins. The official term for a coin collector is a numismatist.

    History of Coins

    There are billions of coins that are and were made in the world. One of the oldest is 2,700 years old and is called the Lydian Lion. The Lydian Lion may not be the world's oldest coin. To make the Lydian Lion they used a metal piece with an imprint of the Lion and then used a hammer to punch the electrum (a natural alloy of gold and silver) around the design. The Lion is then made. Now there are more complicated processes to imprint coins. Coins were also made with silver and gold. There are still gold and silver coins made today. But back then, there were more resources to use for coins.

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    Anatomy of Coins

    In a coin there are many parts. The parts are the field, legend, mint mark, relief, edge, ridge, and the obverse and reverse side.

Part Description
Field The blank area on the coin
Legend The title on the top of the coin ex. UNITED STATES OF AMERICA
Mint Mark The single letter on the coin that represents where it was made ex. P, D, and S
Relief The part of the coin that sticks out ex. the face, clothes, or eagle
Edge The edge of the coin
Ridge The area right next to the edge, it sometimes sticks out
Obverse Side The front of the coin, has the mint mark on it
Reverse Side The back of the coin

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Mint Marks

A mint mark shows where the coin was made. P means that it was made in Philadelphia. D means that it was made in Delaware. P and D mint marks mean the coin is meant to be circulated (circulated means to be used as currency). S means that it was made in San Francisco. S also means that the coin is a proof coin. My opinion is that the best coins are proof coins. If you find a proof coin, than it should be stored as quickly as possible. If a quarter is found as a proof, than it probably has silver in it.

Edges

There are different edges too. One is a flat edge. A flat edge is on the nickel. There is also a milled edge. A milled edge is usually on a quarter. There are also very few decorative edges. Decorative edges on coins mean that the coin should probably be saved.

Error Coins

    There are five different types of error coins.

blank coin Coin Blank

The first example is the coin blank. There are two types: one which has been freshly cut in the blanking press (Type One), and one which has slightly raised rims after going through a softening process (Type Two). They simply slipped by the striking presses. These are the most common type of error, with blank pennies trading among dealers for around 10¢ apiece.
 

  
clipped coin Clipped Coins

 The clipped coin error occurs during the stamping process, where thin sheets of metal are fed into a stamping machine that punches out rows of coin blanks. If the sheet shifts during the process, blanks may have sections missing where previous blanks have been removed, creating a curved clip. A straight clip, on the other hand, comes from an incomplete stamping along the edge. This is another relatively common error.
 

 clipsheet
off center coin Off-Center Striking

One of the more dramatic errors, the off center strike happens, as the animation illustrates, when a coin blank is mis-fed into the coin press and only part of the coin is struck. Each error is different, and is categorized by two different measurements: The amount of the coin design that is visible (i.e., 25% off center), and where the off center design is located in reference to a clock (The coin pictured would be at 2:00). Some collectors make clocks with an appropriate off center coin at each hour on the dial face.
 

  
double striked coin Double Striking

The double or multiple striking error can be the result from several situations. As the illustration shows, a double strike can occur from one die. However, the Mint utilizes two to four dies in close proximity to increase production. A multiple strike could also happen when a coin is struck, then bounces from table vibration into the path of another die. At press speed of two strikes per second, this is a possibility, as are other scenarios. This error is the most popular among collectors and the biggest attention getter.
 

  
broadstrike coin Broad Strike

Not to be confused with marital abuse, this error type occurs when dirt or debris lodge between the plate collar and the lower die, inhibiting its movement. If the die is stuck in the up position as shown in the animation, the coin will spread into a bowl-like object when struck. If the entire design is visible on the error, it is considered a broad strike. If, however, any part of the design is missing due to the coin not being centered under the die, then it's considered to be an off center error. This mis-strike does not share the same level of popularity as other errors, but is still an important error type.
 

  

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How to Find Coins

Coins can be found all over. Coins can be found on the street, in a bank, at coin conventions, and on the internet. One of the most reliable places to buy coin is at this address www.usmint.gov/. I got 25 coins of my collection from a coin convention.

How to Care for Coins

The most important part  about caring for coins is that  you must NEVER WASH COINS.

How to ruin coins

  1. Touching Coins

    Just touching coins can ruin there value. Your fingers have oil and miniscule pieces of grit that will adhere to the coins and cause them to discolor or suffer microscopic scratching. When you handle your coins, wear cotton or latex gloves, and handle only the edges.

  1. Cleaning Coins

    Cleaning or polishing your coins will do more harm than good. Once metal has been exposed to the air, it is natural for it to oxidize, or tone. If you strip the coin of this toning, not only will you lose any remaining mint luster, the coin will appear harsh and unappealing, and suffer microscopic abrasions that lower its grade. Plus, toned coins are worth more than stripped coins.

  1. Spit on Coins

    Talking about your coins can do just as much damage as touching them or cleaning them, if you do so with the coins exposed while you chatter away. Little bits of saliva escape from your mouth when you talk, and these can cause spotting and discolorations that are difficult to remove. Many uncirculated and mint-state coins have been ruined this way.

  1. Expose Them to Acid

   Storing your coins in envelopes, wrapped in paper, with your notations beside the coins, or in cardboard boxes is a good way to damage them unless you are careful to use acid-free paper materials. Over time, the paper material breaks down, releasing acidic chemicals around your coins. This causes spotting, discoloration, and can promote oxidation (toning) of your bright, mint surfaces. Be sure to buy only acid-free paper and cardboard supplies for your coin collection.

  1. Coating Your Coins in Green Slime

    Another good way to cause spotting and degraded surfaces is to store your coins in PVC-based  plastic flips (PVC- Polyvinyl chloride, also called poison plastic), holders, and boxes. Similar to the way the acid in paper can harm your coins, the chemical by-product of certain plastics can damage your coins over time. If you store coins in those handy food-grade plastic containers, or in soft, pliable coin flips, your coins will eventually develop a slimy green coating on their surfaces which will damage them permanently.

  1. Expose Them to the Elements

    If you store your coins in the attic or basement, you are probably exposing them to extremes of temperature and humidity that will promote their oxidation. In addition, these conditions will more quickly break down the storage materials (such as flips, paper and cardboard, plastic containers, etc.) your coins are organized in. To protect your collection the best, store it in a dark, dry, temperature-controlled environment.

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Coin Grading

Grading shows how well the state of the coin is. There are three grading types. Letters, numbers, and a hybrid of both.

Letter Grades

I will go from lowest grade to highest grade. Basal State (also Poor (PO), then continuing Fair (Fr), About or Almost Good (AG), Good (G), Very Good (VG), Fine (F), Very Fine (VF), Extra Fine (EF or XF), Almost or About Uncirculated (AU), Uncirculated (Unc) and up to Brilliant or Beautiful Uncirculated (BU). Gem Uncirculated was roughly equal in usage to BU at that time.

Number Grades

William H. Sheldon is credited with coming up with the Sheldon Scale in the 1950s, a number system going from 1-70. It was intended to be a reflection of the relative value of a 1794 Large Cent, which was then worth $1 in Basal State and $70 in Uncirculated MS-70.This number system was usually used within the community of large copper coin collectors (a group of numismatics that often has its own ideas about quality and grading compared to the rest of the coin collecting community) until the mid 1980s.

Combined System

In 1986, PCGS (Professional Coin Grading Service) was incorporated. They made, graded and encapsulated coins in a protective hard plastic shell. They used a combination of the two older systems putting letters and numbers together so that the grades became BS-1 (or PO-1), FR-2, AG-3, G-4, G-6, VG-8, VG-10, F-12, F-15, VF-20, VF-25, VF-30, VF-35, XF-40, XF-45, AU-50, AU-53, AU-55, AU-58, MS-60, MS-61, MS-62, MS-63, MS-64, MS-65, MS-66, MS-67, MS-68, MS-69 and MS-70. They also issued limited guarantees for the value of coins they had grade.

Alongside this scale was a similar one for proof coins PR-01 or PF-01 through PR-70 or PF-70 that was roughly equal to the MS scale, except for proof coins. This is important as in some issues distinguishing between mint state and proof coins is very difficult and specialized and the price differences can be large in favor of either MS or PR/PF.

Links

| www.usmint.gov/ | MSS Home |  MSS Hobby Menu

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Page Sponsor: Mr. David Gardner-Principal
Page Author: Nick L. and Dhruv P.
Webmaster: Mr. A. Willer
Created: January 2009