Numismatics
You might have come across the word “Numismatics” or the first time seeing this uncommon word. In this article, we will explain what is “Numismatics”, “Numismatists” and their relation to coin collecting.
“Numismatics” or its short form “Numis” is defined as the study or collection of currency that includes coins, bank notes and related objects. The people that engage in this broad discipline are known as “Numismatists”.
Currency
Currency is any form of money that acts as a medium of exchange. Back in history, people used to engage in the barter trade system where objects such as cowry shells are exchanged for food and other necessities in its equivalent value. People soon start to realize that there was an infinite number of sea shells and these objects are losing value.
The world soon turns to precious metals as a store of value. The first being silver where all value was pegged to it. Silver is a finite resource that could not be created out of thin air and act as an excellent store of value.
The collectible coins today are majority made in silver as it is not just a precious resource that hold its value but also its importance as money.
“The world soon turns to precious metals as a store of value. The first being silver where all value was pegged to it”
Numismatists and Coin Collecting
Numismatist involves both studying and collecting of coins. Numis Bullion is a numismatist as we do not just collect coins. There are infinite library of coins in the market now and they could be categorised by “Historical Coins”, “Graded Coins” and “Modern Collectible Coins”.
Historical Coins could be found in auction such as the extremely rare “Double Eagle 1933 Coin” produced by the United States Mint. This gold coin back in 1933 was ordered to be melted down by US president Roosevelt as part of his strategy to confiscate gold among citizens and to remove America from the “Gold Standard”. It is believed that only 13 such coins remain. Both the rarity and historical significance of this coin fetched a record $7.6 million in an auction.
The Sheldon coin grading scales from 1 to 70. With 60 to 70 considered “Mint State” and 70 considered the perfect coin with no traces of wear. Both the Numismatic Guaranty Corporation (NGC) and the Professional Coin Grading Service (PCGS) represents the industry standard in coin grading certification. Coins that are housed in the NGC and PCGS holders are usually sold for a premium relative to the content and grading.
Modern Collectible Coins got their roots from history. They are made of precious metal such as gold, silver and even copper. As technology advances, unique features such as proof, high relief, hologram and special coin shapes became possible. They are also themed after history, occasions or popular brands such as Disney, Marvel and Warner Bros. The modern coins made today set the tone for the future.
There are much more to explore and learn when it comes to coin collecting. But through the journey, we will continue to collect and have fun :).
