gold coins

Understanding the Value of Gold Amidst Various Economic Conditions

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There is no doubt that during the latter parts of 2008, the United States’ economic condition went down from its former glory. Many investors became worried about the U.S. debt burdens and their possible impact on the currency, stocks, and real estate markets. This lack of confidence made many investors increase their stores of gold. Gold, among all the precious metals, is considered one of the most stable assets even during tough economic times. So, is gold investment good when the economy is down? What about when the economy is doing well? Let’s find out.

SilverSaver.com1.) Gold is a stable asset.

Gold would have not been money for hundreds of years if it weren’t for its stable value. The economic issues of “demand and supply” that affect other commodities are not as relevant to gold because this highly-valued metal is inflation-proof. Say you have a ten-dollar “bill” in one hand and a ten-dollar “gold” coin in your other hand. Which of these two has more value? The gold coin has more value, of course. Sure they were of equal value six decades ago. However, due to inflation, the ten-dollar bill has dropped dramatically in terms of buying power while the ten-dollar gold coin has tremendously increased in purchasing power. Is gold investment good? Definitely yes, because the value of gold appreciates over time.

2.) Gold is a highly-valued metal by many countries.

Gold, being one of the most important metals in history, is prized by nearly all nations of the world. Most countries, if not all, continue to trade in gold, making it one of the most liquid financial assets in any investment portfolio. Because of its universal value, investors will not have a hard time using gold in their transactions.

3.) There are several ways to invest in gold.

While buying bullion gold bars has been one of the most traditional ways to invest in gold, this treasured metal offers a variety of other investment opportunities to interested individuals. Some investors prefer gold exchange-traded products such as ETFs, ETNs, and CEFs to avoid the hassle of storing gold bars. Others invest in gold coins for their “safe haven” status. Some prefer gold certificates to avoid the pitfalls and large costs of transferring and storing physical bullion. Is gold investment good? Certainly, because one will definitely not run out of options when it comes to gold investing.

4.) Gold is considered a “safe haven” when the economy is underwater.

This “safe haven” status was again supercharged when Switzerland’s central bank established a limit on how much the Swiss Franc can gain. Severe recession results in weak currency. Interest rates are kept low and people get virtually nothing for their money in bank accounts. So, is gold investment good when the economy is weak? Absolutely. Because gold price increases when currencies weaken.

5.) The demand for gold is expected to surge in emerging-market countries.

The world’s love for gold shows no sign of weakening. Around 2,000 to 3,000 tons of gold are mined every year to meet the world’s demand for the said metal. A lot of developing countries, especially China, Brazil, India, and Russia are having an increased appetite for gold jewelries, watches, and other gold-based products. This growing interest in gold can be a very good advantage to those investors who want to make big profits from this demand.

These are just some of the reasons why this glittering yellow metal is so valuable to many investors around the world. Gold has long been considered a good investment because no matter what the condition of the economy is, gold always remains a highly priced asset.

Design Types of US Coins and Coin Collecting

Gold coin

Coin collecting is a fun hobby that anyone who has the time can do. A coin’s history and its development can be learned by collecting them.

At one point in time, between 1838 and 1933, the United States issued gold coins for circulation. The Liberty Head bust was used as the design until 1907. The design was then changed to the Indian Head and Saint Gaudens motifs until 1933 when the “Great Depression” started. This prompted the recall of the coins which makes it very rare to find any of them today.

The most valuable coin in the world is the 1933 Double Eagle. This was a $20 gold coin that was made in the 1800’s after the California gold rush. This coin was not allowed to be used in the 1930’s and when this coin was auctioned in 2002, it sold for nearly eight million dollars.

Since gold coins are hard to find, most collectors select other coins.

One type of collection you might consider is the one made up of coins that are flawed when the coin was minted. If you can find a coin with a misspelled word, a wrong date, off-center characteristics, or double-punched marks, these coins are valuable. Such mistakes can increase a coin’s value from $50 to a $1000.

Coins that were only issued or circulated for short period of time also make good collectibles.

Photo credit: rclatter / Foter / CC BY-NC-SA

A coin collection is at its best if it is focused on a certain coin. A collector can choose from pennies, nickels, dimes, quarters and dollars.

Another way of collecting is disregarding the types of coins but concentrating on a certain time period. Coins have different mint marks and collecting those that were struck in the same location can also be interesting. The important thing for hobbyists is to stick to the collection until it has been completed.

For a good start subscribe to a coin publication such as Coin World or Coinage Magazine for information on the types of coins that you might want to collect. The internet or a local coin shop can also help expand the search for those coins that can’t be found in your locale or out of state.

Building a coin collection will take a long time – months or even years. The United States has produced so many coins that it is hard to keep track of them. By deciding on the coin(s) you want to collect, the challenge to complete that collection begins.

Collecting Gold Coins

Coin collecting is something that dates back to when coins were first issued for trade. It was only in the Middle Ages that people turned this into a hobby because of the art work and the historical value.

Coin collecting today is still a hobby that many people enjoy. One of the most precious and most expensive collections that anyone can ever have are gold coins. The most expensive gold coin ever bought was worth around eight million dollars. This was the American 1933 Gold Eagle. This is why the collecting of gold coins deserves to be called the hobby of kings.

Liberty Gold CoinGold coins were one of the oldest forms of money, later followed by silver coins. Gold coins were in circulation in the United States from 1838 to 1933. The design was the Liberty Head bust made until 1907. The design was then changed to the Indian Head and Saint Gaudens motifs and was used until 1933 when the Great Depression began. This prompted the recall of gold coins which makes them very difficult to find today.

Since these coins are no longer in circulation, the price for one of them can reach quite high. Gold is also now used for other things such as jewelry or bars that people retain as an investment.

South Africa minted its first gold coin called the Krugerrand in 1967. This coin has no face value but merely stands as a symbol. It is made of 1 ounce of gold and can be purchased for investment purposes.

Since then other countries also minted bullion coins. Canada made the Gold Maple Leaf in 1979 and Australia made the Nugget in 1981. These two are much more popular than the South African coin because of its 24 carat purity.
gold-eagle

The American Eagle gold bullion series debuted in 1986. The obverse was originally designed by Augustus Saint Gaudens for the 1907-1933 $20.00 U.S. Double Eagle. The reverse features a nest of American Eagles, signifying the strength and security of American families. Its stately appearance and proud symbolism make the Gold American Eagle one of the world’s most popular gold coins.

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A lot of people retain gold today as an investment because they speculate that the demand will cause its market value to increase. Others hold it as a form of insurance should the financial situation become worse. As more paper money is printed by the FED, each of those Federal Reserve Notes looses more of its value and the value of gold and silver soars. Since the U.S. closed its gold window in 1971, the FED has produced more and more paper currency without regard to the value of gold.

Learning How to Buy Gold Investment for Beginners

People make investments because they want to keep their money stashed somewhere it can earn more. Successful investing is about keeping it safe too against macroeconomic and geopolitical risks. It is a known fact that gold and gold related investments are stable investment options. It can stand global geopolitical debacles as well as economic recessions/depressions. If security is what is wanted, there can no safer asset than making an investment in gold. With this and the potential for profit because of the strong market for gold, more and more people are becoming interested to learn how to buy gold investment these days.

gold-insurance

If you have more than enough wealth and you wish to make an investment in gold, you must be wondering how you are going to do it or what cardinal rules that one must remember or follow. Generally, one’s motivation influences the buying of gold and the form preferred. Buyers, based on motivation can be described either as a speculator, investor or saver. Anyone of these can further have other finer motivations such as: Is the investment for the short, medium, or long-term? These are important because can define the different forms they would prefer to buy the gold.

The Value Of The Physical Gold

SilverSaver.comFrom a beginner’s point of view, the easiest to understand and do is concerned with the original form of investing which is the physical gold. It is an ideal part of a properly diversified investment portfolio. This can be bought in the forms of gold jewelry, numismatic coins and gold bullion. Gold jewelry is the most common and familiar form of gold investment among ordinary folks. This takes a very significant form in India where gold is a status symbol of family wealth and which is traditionally used in worshiping and holding of ceremonies. Numismatic coins hold special value not solely for the gold content but for their rarity, historical and aesthetic worth. Gold bullion is available either as gold bullion bars or gold bullion coins. These are highly preferred insofar as investment is concerned being lower in cost but can be easily sold at fair market price than any other physical gold.

Securities: Gold-backed, Stocks And Options

Investing in gold does not always entail owning of physical gold. One way on how to buy gold investment is by buying securities- Gold-backed Securities. A security is a financial instrument that represents a worth. These are actually indirect investments in the Gold ETF (Exchange Traded Funds), which, by the way are still backed by physical gold. This means that a holder of an ETC security only owns a claim against the issuer of gold ETC and cannot demand a physical delivery of the gold. Thus, investors must remember that gold-backed securities carry risks. Another form of securities that allow another gold-related investment is the gold mining stocks and gold mining funds. These are investments made in the companies engaged in gold mining.

Another way to buy gold investment is by using securities with values that are derived from the gold but which are not backed by physical gold such as structured production and options. These are contracts between two parties that will expire at an agreed time. These allow a lot of leverage because the trader can manipulate a large position with a small outlay but carry significant risks.

Other Forms of Gold Investment

Other forms of gold investment may be presented as gold certificates. A gold certificate is like a bank note that entitles the holder certain specified worth of gold. It is a proof of gold ownership in a paper because gold bullion is hard to store and transfer. This used to function like money from 1882 to 1933. The technology of the Internet has already bred the so called Digital Gold Currency. This is an electronic currency that is backed by gold bullion. People with these accounts allow ownership of gold and online transactions (buying and paying online) using their own gold. This also offers the same security as gold bars and certificates only easier to store and convenient to transact with.

With the global economy that is both bleak and uncertain, investing in gold is not only sensible, it is also a necessity. The best form is and always will be physical gold. Yet, with its weight in gold, maybe electronic accounts and certificates, which are backed by gold bullion and as secured as well, will do. So, are you enthusiastic to learn how to buy gold investment?

Gold and Silver Maple Leaf Packaging

Gold Maple Leaf
Photo credit: tombothetominator / Foter / CC BY-NC-SA

Gold Maple Leafs debuted in 1979, Silver Maple Leafs in 1988. Since inception, 1-oz Gold Maple Leafs have been packaged ten to a tube. Because Maple Leafs are 24-karat, pure gold, they are “soft,” relative to alloyed gold coins, such as American Gold Eagles and Krugerrands. Further, because of the design of the coins and the tight-fitting tubes, it was difficult to remove, inspect, and reinsert 1-oz Gold Maple Leafs in their tubes without scratching the coins.

Actually, reinserting Gold Maple Leafs without at least some scratching is nearly impossible. Further, if the persons inspecting the coins do not know how easily the Gold Maple Leafs are damaged, needless damage often occurs while the coins are out their tubes.

Gold Maple Leafs carry the image of Queen Elizabeth II on the front, with a flat, clear field alongside the image. The backs have the outline of a maple leaf, hence the coins’ names. The problem arises from the coins’ really sharp milled (reeded) edges. When the coins are reinserted in their tubes, the milled edges often scratch the fields.

Then there is the problem with investors who like to “heft” their coins “to get a feel of them.” If they put four or five Gold Maple Leafs in the palms of their hands and “clang” them, the damage can be quite severe. Should a Gold Maple Leaf be dropped, rim damage is almost guaranteed.

As Gold Maple Leafs have been sold into the secondary market, damaged coins have become such a problem that Gold Maple Leafs have lost popularity with investors. The problem has become so widespread that many wholesalers bid only “melt” for Gold Maple Leafs, regardless of their condition. By paying only “melt,” wholesalers can profitably resell the coins for industrial or jewelry purposes if no buyers are found for the coins.

Gold Maple Leafs, like the Gold Eagles and the Krugerrands, are bullion coins, which trade for the value of their gold content, plus small premiums. Damaged Gold Maple Leafs do not mean a loss of gold; they contain an ounce of gold regardless of the scratching or rim nicks. Still, buyers do not like to receive damaged coins. This means that Gold Maple Leafs sold into the secondary market have to be evaluated for the degree of damage.

Some wholesalers refuse to take the time to individually inspect Gold Maple Leafs and separate them according to their condition. These are the wholesalers who generally will pay only “melt” for 1-oz Gold Maple Leafs, regardless of condition. Fortunately, the free market being what it is, there are still some wholesalers who will buy according to condition.

Yet the handwriting is on the wall: 1-oz Gold Maple Leafs in tubes will continue to lose popularity and probably will join Krugerrands, Mexican 50 Pesos, and Austrian 100 Coronas as basic bullion coins, which carry the smallest premiums in the bullion coin market.

With the new packaging, each 1-oz Gold Maple Leaf will be encapsulated in plastic and suspended in the middle of a plastic card, somewhat as 1-oz gold bars are packaged. However, the plastic protecting the Gold Maple Leafs will be heavier and more durable than the plastic used with 1-oz gold bars. The new packaging should keep the coins from being easily damaged.

With the new packaging, the Royal Canadian Mint made another big change: 1-oz Gold Maple Leafs will now come 25 to a box, whereas the old packaging is ten to a tube. This change could further increase sales as 20 coins are common ordering units for gold bullion coins, because the world’s most popular gold bullion coins—American Gold Eagles—come 20 to a tube. As a result of the change, investors wanting “complete original packaging” will move up to 25 ounces.

However, orders for small quantities mean the coins will have to be removed from their mint boxes—but still individually encapsulated—and put in other containers. The new packaging also will require more storage space for Gold Maple Leafs than for 1-oz gold coins that come in tubes.

Although 1-oz Gold Maple Leafs will be a little more cumbersome to handle, a large segment of the gold coin bullion market prefers pure gold coins. Gold Maple Leafs have long been the most popular 1-oz pure (.9999 fine or 24-karat) gold bullion coins on the market, and the new packaging should keep Gold Maple Leafs as the preferred 24-karat gold bullion coins. (The market for pure gold bullion coins is estimated to be $2.4 billion annually.)

New packaging for 1-oz Silver Maple Leafs has also been introduced. However, Silver Maple Leafs in their old packaging are still available. Since Silver Maple Leafs were introduced in 1988, they have been packaged twenty coins to a sheet, 200 coins in a box. Each coin was individually enclosed in plastic. The new packaging will be similar to the U.S. Mint’s Silver Eagles packaging.

Silver Maple Leafs will now come 20 to a tube, 25 tubes to a container, and 500 coins to a “mint box.” The new box will be made of durable heavy plastic, whereas the boxes of 200 are cardboard. The new packaging should make Silver Maple Leafs more competitive with American Silver Eagles, presently the most popular 1-oz modern silver bullion coins being sold.

Finding the Money in Gold Coin Collecting

Starting and maintaining a gold coin collection takes a lot of money and it is only reasonable to expect such a collection to increase in value as years go by. If you are seriously thinking of venturing into gold coin collecting it is important to know everything you can about it. This way you can make sure you will find money and not lose it in gold coins.

There are Gold Coins and there are Gold Coins

A gold coin is exactly that – a coin that is made wholly or at least mostly out of gold. There are slight variations in the standard for being able to say that a coin is made mostly of gold. Starting from those for circulation in the year 1526, English gold coins have been 22 karats or 91.7 per cent gold while American gold coins for circulation in 1837 and following were minted at 90 per cent gold or 21.6 karats.

If you are thinking of investing in gold coins, there are two types of coins you may want to purchase. The first type is the bullion whose value rests simply on the weight of its metal content and not on rarity, quality or historical worth. Basically, gold bullion coins are used not as legal tender, but as a hedge against inflation. Gold bullion coins can weigh from a tenth of a Troy ounce to a quarter of an ounce to half an ounce or a full Troy ounce.

The second type of gold coin you can invest in is the coin which has been minted for legal tender. While the gold bullion coin derives its value from its gold content, this second type of coin can be worth much more than its weight in gold. There are other factors such as rarity and coin condition that influence the price of gold coins minted as legal tender.

The safer type to invest in would be the gold bullion coin because its price simply follows the price of gold which has steadily risen through the years. There is more risk, but at the same time more room for speculation when investing in gold coins that are used as currency.

How to Begin Gold Coin Collecting

The first step in collecting gold coins would be deciding what kind of coins you want to collect and what your budget is. There is a wide range of gold coins from you to choose from. Austria, Australia, the United States, member nations of the European Union and many other countries have minted their own gold coins in the past and some continue to do so now.

Assuming that you want to collect gold coins that have been used as legal tender, you might want to test the waters by looking into the availability of Liberty Head or Coronet Head Gold Eagle coins. These were minted from1838 to 1907. They come in three styles and are characterized by the face of Liberty looking to the left with a coronet that bears the word liberty.

These coins are one of the most affordable US gold coins and this has made them a big favorite among collectors.

Or, you might want to invest in British Gold Sovereigns, in Australian Kangaroos, South African Krugerrands or Chinese Gold Pandas. Whichever type of coin you want to start investing in, just remember to do your homework first. Track their prices in the last twenty years and figure out if their increment will allow you a good enough profit for the amount you will be spending when you buy.

The world wide figure for coin collecting is about ten billion dollars a year so. It is a big market so there is room for making money from gold coin collecting. Be aware though that this is not a get-rich-quick business and it may take years for a substantial appreciation in value to take place. Still, in a world where stocks of giant corporations have crashed and investment houses have come face to face with the possibility of collapse, gold coins can offer a form of security that is hard to come by.

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How Important is the Gold Trading Price

Everybody knows that Gold is valuable. A lot of people recognize gold as a form of jewellery. However, gold can also take other forms. Gold can come in the form of bars or in the form of coins. Regardless of the country or region where you are, gold is treated as a commodity on its own. It is used as a trading tool at the international stock markets. This makes gold trading prices comparable to other good traded in the market globally. Gold trading price is measured in ounces, so a gold’s price can be measured by ounce.

Gold’s price is not a set price. It fluctuates all the time depending on the market trends. Gold trading prices can be found in news channels, newspapers, and even on business and trading websites. However, you should not expect to see an exact and same price that you through these mediums when you are dealing with a seller. Gold trading prices varies depending on what form it takes. Gold jewellery and gold coins require unique production so expect that these are more expensive than standard gold bars. Antique items made of gold can also have higher prices since they have inherent antique and gold value.

It is easy to find gold trading price per ounce today if you want to buy or sell some of the prized metal. But why is gold trading price and the gold itself important to investors? The answer to that is because the amount of gold globally is limited. Plus the fact that this precious metal cannot be reproduced and can only be discovered. This gives gold its stable value that is most of the time high.

The gold trading price per ounce is high as I write this. This can be attributed to one simple fact. All other financial investments that you invest in are very unstable; they reduce value at any given time. The more people who seek to have possession of gold, the higher the demand. So will the price of gold increase.

What are Your Options for Trading Gold?

A lot of investors are looking for different options for trading gold. Here are some gold options that you can use for buying gold.

A gold coin is perhaps the most popular way to purchase gold and buyers can actually take ownership of the gold coins. Gold coins are valued according to their weight, rarity, and type. If you choose this option you need to consider the security of these items since you will have the physical gold in your possession.

Gold bars are the traditional way to trade gold and can be purchased through banks, commodity brokers, and gold bullion dealers. These gold bars come in a variety of weight. The largest gold bars are the one preferred by traders and large companies who investment in large gold quantities.

Numerous options for buying gold online have appeared in recent years. For example, you can purchase gold on a regular basis depending on your budget. Opening a SilverSaver® account takes just 10 minutes. There is no paperwork to send, and as soon as your account is verified, you can schedule purchases to begin immediately.

Exchange traded funds (ETF’s) were developed back in 2003 as a way of trading and investing on gold without the hassle of storing the actual physical product. Gold exchange trade funds are traded on the major stock exchanges globally and provide traders an easy way of gaining exposure to the precious metal. I don’t recommend buying ETF’s or gold certificates, but prefer holding the physical metal.

Of course, you can also purchase stocks of mining companies. As the gold price raises the mining company’s profits also increase and the gains are passed on to the shareholder. Unless you are an experienced trader, I also don’t recommend this method for investing in gold since there are a lot of factors to consider when choosing a good mining company to invest in to.

It is important to consult with a qualified and highly trustworthy broker to determine the best gold trade option for you.

Protect Your Wealth with Gold

The popularity of owning physical gold and silver is on the rise and people are now becoming more aware of how important it is to possess these time tested precious metals.

Because of the current status of the global economy investing in anything other than paper money makes sense. Gold has long been a great long term strategy for the simple reason that it never loses its value. During the last few years the gold market has grow to more than triple in value. This can be attributed to the stability of the metal in the face of economic recession. When the global economy started to go down, traders and investors turned to gold; causing gold prices to increase.

I believe it’s smart to only buy physical gold and silver as opposed to stocks, ETF’s, and other paper assets. The value of gold is based on it purity and weight. Besides gold bullion, many gold coins have a collector’s value attached to it, which can add to the gold’s value.

The American Eagle Gold Coin

The American Eagle gold coin series debuted in 1986. The obverse of the Gold American Eagle was originally designed by Augustus Saint Gaudens for the 1907-1933 $20.00 U.S. Double Eagle gold coin. The reverse of the American Gold Eagle coin features a nest of American eagles, signifying the strength and security of American families. Its stately appearance and proud symbolism make the Gold American Eagle one of the world’s most popular gold coins. Gold prices fluctuate, but the popularity of the U.S. Gold Eagle coins only increases.

How You can Start Accumulating Silver and Gold

Silver Saver was designed to provide an easy and safe way for people to save in silver and gold, insured and stored at a highly secured, independent non-bank depository located in Delaware. Once you have saved enough for a minimum delivery, you can have your silver and gold delivered to you.

When you set up an automatic saving schedule (e.g weekly, monthly, etc.) with Silver Saver, each time you save, our Instant Rebate program automatically deposits 20% of the premium to your account in silver. SilverSaver provides you with your own Silver Rewards link or Share-Code that you can give others when they sign-up to save. Once they do, an amount equivalent to 50% of the premium for their transactions is added to your account in silver or gold each time they save.

Could this be the solution for your future?

Do you have any of your income saved right now? What if you lost your job tomorrow? Would you be able to provide for your family for one month, three months how about six months? Wouldn’t you feel a whole lot better if you had a good reserve built up?

SilverSaver.comI believe there is a solution!

Take a quick look at the world around you. The gold and silver phenomenon is hard to miss. You see it on billboards, TV and you hear it on the radio. Have you ever wondered why?

Do they know something we don’t?

Consider this, an ounce of silver today, will buy the same amount of goods that an ounce of silver could buy 100 years ago. Try that with a paper dollar! In 1964 a quarter would buy roughly one gallon of gas. This is because the quarters made in 1964 and earlier where made of 90% silver. At the current price of silver today, that same 1964 quarter is worth about $7, so you can still buy a gallon of gas today with the value of a 1964 quarter.

Why continue to save all of our money in paper that can be devalued at any moment when you can convert it into real money, silver and gold “lawful money”? What if you could purchase silver and gold coins at a good price and get paid to help other families save these assets as well? Would you want to be a part of that?

We are united with one common purpose and that is to get families back on the right track of financial well being. Silver Saver can help you prepare for an uncertain future with your own precious metals reserve.

Choosing the Coin Fit for Your Collection

A collector would choose certain specifications when it comes to his coin collections. If a coin collector is new in the business, it is perhaps best to start at the very beginning.  You will probably start your collection based on your preference. Are you the silver, bronze, or gold type of person? How old do you like your coin to be? In what period?

Best advice: start with what interests you. Then collect it by the following:

Date or Period of Time

ancient gold coinCoin collectors who see their collection as an investment would probably prefer coins that are older than their grandfathers. The more ancient the coin, the better. Aside from being centuries old, there are also Revolutionary coins and those that came from another time in history. Some people would start by building up decades of coin that are in Mint condition.

Country

If you have decided to collect any kind of coin for as long as it came from different countries worldwide, that would be tiring but exciting. And it can cost you a lot. So things wouldn’t be exhausting, you could start off by collecting coins of your own country. After that, if you have enough funds, you could drop by a coin shop and ask if there are any coins from outside the country.

Metal

If you’re a beginner, you might not want to start collecting silver or gold coins for these are the kinds of coins that can be quite expensive. Better settle with the lower metal levels first. Not unless money is not a problem. Usually, the concern on what kind of metal to choose belongs to the more professional collector.

By this time you may already have an idea on where to start. As time passes, you will become more interested and selective of the types of coins that fits your album. You will develop areas that you may not find in other collectors.

You still need to know some specifications about the kinds of coins that you will collect.

Details

You have seen an ordinary coin, its features wouldn’t be different from the old one because typically, new coins are just patterned from old coins. You have to inspect if the writing on the coin is still clear. A coin wherein the smallest details, like feathers or robe folds, are completely worn away is of little value.

Toning

Means discoloration or tarnishing, toning can increase the coin’s value. Believe it or not, if a blue tone is present on a silver coin, it can be very desirable. Toning has an effect on a coin’s details for it can accent its faded features. For as long as the tone of the coin wouldn’t turn out uneven, there’s no reason to reject it.

Wear n’ tear

If you have been in coin shops that are offering bargain coins, it might be because it has seen a lot of circulation and the market has already rejected it. You will notice certain kinds of scratches an even scarring that is caused by chemicals. Scratches can be acceptable but scarring is a no-no. Chemical scarring can be related to corrosion, pits, etc. As much as possible, make your coin collections spotless.

Gold Sellers in Houston Must Submit to Fingerprints and Mugshots

Last week the Houston City Council passed an ordinance requiring people who sell precious metals to be fingerprinted and photographed.

According to KTRK-TV, the ordinance is “meant to help track down criminals who try to resell stolen valuables. Gold-buying businesses will now be required to photograph and fingerprint sellers as well as photograph the items that are being sold to the dealer.” In other words, citizens who sell gold will be considered criminals until they demonstrate otherwise.

“It’s going to allow us the tools necessary to combat a lot of the high-end jewelry thefts that’s going on in the city, whether it’s robberies or burglaries,” Houston Police Officer Rick Barajas told the news station last Wednesday.

Audi S8s, Shelby Mustangs, BMW M5s, Dodge Chargers and Honda S2000 roadsters are stolen thousands of times a year and yet people who own them are not required by government to be fingerprinted and photographed in order to sell their cars. Ditto folks who sell expensive items at pawn shops or on eBay. Can you imagine the chaos in commerce that would occur if every item over say $1,000 required the seller to surrender fingerprints and photographs – more accurately, mugshots – which the buyer would be obliged under penalty of law to submit to the state within 48 hours?

“No precious metals thief is going to agree to a mug-shot and thumbprint,” said Houston City Council Member Helena Brown in response to the law. “That’s like declaring that the thieves are going to be turning themselves in. It’s ludicrous. I don’t know who told HPD that this is going to help them. It’s not going to help anyone, but rather it will be damaging to an industry and to our self-respect and liberty.”

Instead of reducing crime, the new law will instead put a damper on the sale of gold, silver and other precious metals. Jim Guidry notes that despite a claim made by Houston police, the precious metals industry will be hard pressed to comply with the turnaround demanded by the city, will balk at the prospect of alienating customers by demanding their fingerprints and mugshots, and the industry will ultimately suffer through loss of its customer base and through fines and criminal charges.

Finally, it is hardly a secret that government hates the idea of citizens trading in gold and other precious metals. In 2009, the U.S. Mint made it more difficult to purchase gold and rationed the sale of American Gold Eagle coins and the previous year suspended the sale of American Buffalo 24-karat gold coins. Bernard von Nothaus of Liberty Dollar was prosecuted for daring to challenge the fiat money monopoly held by the Federal Reserve and the banks (and daring to have a political agenda, namely getting rid of a parasitical Federal Reserve).

“The modern and oppressive State is against freedom. The argument regarding gold versus fiat money has been settled both theoretically and empirically,” writes Monty Pelerin. “The good fight fought against fiat currency is a long and lonely one. This fight will not be won by intellectual persuasion, but will be determined by the brute forces of the markets the State believes it can control. A currency collapse is likely inevitable. That will expose the fraud and corruption of the current fiat currency regime. Even when that occurs, the elites will do whatever they can to avoid an honest money system.”

“The defamation of gold wrought by central banks and governments is because gold exposes the devaluation of fiat currencies and the flawed policies of government.  Governments hate gold because the people cannot be fooled by it,” writes Ron Paul. “If the government persists in debasing the Dollar – as money monopolists have always done – then the people would be able to protect themselves by using alternatives such as gold that are both sound and stable.”

The City of Houston and its police, however, are not colluding with the Federal Reserve in an effort to control the sale of precious metals. The police are reacting as police always do – as gold and precious metals rise in value, it is quite natural that there is an increase in theft and fraud, a situation police react to quite naturally by demanding authoritarian laws that inevitably create a new class of criminals requiring more police and more prisons.

Article written by Kurt Nimmo
Infowars.com
February 11, 2013

Gold and Silver Coin History

The major commercial center linking the Asian kingdoms of the east with the coastal Greek cities of Ionia was Sardis, the capital city of ancient Lydia. So it was only natural that the first coins ever made would start here. Around 650 BC, give or take 10 years either way, coins with the head of a Lion first appeared and was used as the first system of bimetallic currency. These first coins were made of a metal called electrum, an uneven mixture of gold and silver, and sometimes had small traces of copper and or other metals in it.

In Lydia, the most used coins was minted into the weight 4.76 grams, These were called the trites and valued at 1/3rd a stater. Three of these coins weighted about 14.1 grams, and equaled one stater. A stater being about one month’s pay for a soldier. One stater size coins as well as smaller fractions were minted also: the trite 1/3rd, the afore mentioned coin, the hekte 1/6th, 1/12th, 1/24th, 1/48th and down to 1/96th of a stater.

It didn’t take long for the Greek cities of Ionia to start using electrum to start making their own coins. Widespread trading of electrum made coins was somewhat hampered however. Because of the uneven mixture of gold and silver, it was rather difficult to determine the exact worth of each coin. For this reason a foreign merchant would offer very low undervalued rates on local electrum coins. In 570 BC pure silver coins were introduced in parts of Greece making these difficulties less and less a problem.

By 560 BC, the Lydians came up with a process to separate the gold from silver, bringing about the minting of the first gold coins. Now gold coins were being produced along with silver coins. Electrum coins did remain a fairly popular form of currency until around 350 BC. Gold and silver coins however quickly became the world standard for currency used in trade. What helped to bring this about so quickly was in 547 BC, when after 13 days of the siege the Persians scaled a lightly defended part of the wall and captured the city of Sardis. Cyrus being amazed with the gold coins found in the Lydian kingdom, decided he wanted to make these gold coins for himself. The Persians learned to mint gold coins and began to use them for trade.

The Greek’s liked the use of silver coins as currency and helped to make silver coins excepted as a world standard for currency. Unlike the Greeks, the Persians preferred gold coins over silver, and helped to make gold coins excepted as a world standard for currency. Between the two, gold and silver coins become the money excepted throughout the known world. From that time gold and silver coins has been the only true form of money to this very day.

At this point you may be saying what about the paper dollars, or yens, or euros I have in my pocket? Around 100 AD the Chinese were the first to invent paper. Sometime in the early 7th century they also become the first to invent paper money. This paper money was called flying money. These first bank notes carried a guarantee that it could be traded at any time for coinage. The paper was not the real money, it was the coinage that it could be traded for that was the real money. The paper was just a form of a promissory note, a promise to trade for real money.

In 1292 when Marco Polo came back from his travels in China telling people about this paper money they used there the people in Europe didn’t believe it. It seemed as a joke that the Chinese used paper for money. Paper money in Europe wouldn’t come about until the 1600s. In the mid 1600s paper money began to appear throughout Europe, some accepted, some not. The Goldsmithnotes printed by the Bank of England founded in 1694, were again a type of promissory note. These notes were printed as a promise from English gold smiths for account deposits. The clause “(I) promise to pay the bearer on demand the sum of — pounds” in gold. Again the paper was not the money, the gold it could be traded in for was the money.

Article 1 section 8 paragraph 5 of The United States Constitution states that Congress has the power “To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;”

Article 1 section 10 paragraph 1 of The United States Constitution states that “No State shall … make any Thing but gold and silver Coin a Tender in Payment of Debts;”

From these 2 sections of The United States Constitution it is clear that our founders did not want paper money as a form of tender in this country, and for good reason. They knew that gold and silver coins have and keep value, and paper always comes to problems. Many of our founders seeing the problems Europe had with their tries at using paper money, plus the early tries of the colonies to use paper money.

In 1836 the first bank notes were printed, with over 30,000 designs and colors, they were easily counterfeited, along with bank failures, became almost as poison to most people. In 1861 Congress authorized the United States Treasury to issue paper money for the first time in the form of non-interest bearing Treasury Notes called Demand Notes. In 1862 these notes were replaced with United States Notes. Commonly called Greenbacks. In 1865 Gold Certificates were issued. In 1868 National Bank Notes, backed by U.S. government securities were printed. In 1878 Silver Certificates in exchange for silver dollars were printed. In 1913 the Federal Reserve Act was passed, then everything changed.

Until this point the paper money printed could be traded in for gold or silver coins – real money. For a while federal reserve notes could be also. From 1913 to 1963 the federal reserve note went from a note that could be traded in for real money to nothing but a piece of paper that is not backed by anything, a debt instrument. Federal reserve notes no longer says it is redeemable for gold or silver, it only says “This Note Is Legal Tender For All Debts Public And Private.” In fact the words lawful money is nowhere on the note at all anymore.

Today’s federal reserve note is what is called fiat currency. Fiat currency does not have any intrinsic value or any guarantee that it can be converted into gold or another currency. Fiat currency is nothing but a government’s order (fiat) that it must be accepted as a means of payment, back by nothing at all. The founders of the United States knew that is what would happen if paper money became accepted. That is why they made gold and silver coins the only form of lawful money in our Constitution.

Paper money never has been and never will be real money. Gold and silver coins has been and still is the only true real money. You hear that gold and silver is going up in value, when in reality it is the paper money going down in value, meaning it takes more paper to buy the same amount of gold. Back when quarters were still made of silver you could buy a loaf of bread with one of them. Today that same quarter made of silver would still buy you a loaf of bread.


Earn Silver

Gold and silver coins is the safest place to invest your paper dollars. It is the one thing you can invest in that will never go broke. Stocks and bonds may crash, paper money may become worthless, banks may fail, but all through history gold and silver retains value. It is well known that Gold coins are the safest and most risk free place to invest ones savings. As the news informs us of the failing economy, and we see prices of everything go through the roof we need to find a safe place to put our hard earned federal reserve notes. At the decay rate of the dollar, if you can survive on $20.000.00 a year today, in about 10 years it will take you over $50,000.00 a year to live the same life style. That same $20,000.00 in gold coins in 10 years will last longer than a year.

Paper currencies offer you no protection in your investments, it only loses more and more value with each passing year. There is nothing that offsets the shrinking value of currencies like gold coins. When you save gold and silver bullion coins, such as the American Eagles, you build yourself a fortress of investment security.

Article written by Bernie Wheater
Bernie Wheater lives in Rochester, New York. He is a marketing and business consultant. He helps show people the benefits of owning a home business.

Visit his website at: [http://www.freemoneytree.tk]

If you would like to learn how you can obtain Gold and Silver Eagle Coins for 40 cents on the dollar go to: [http://www.silverandgoldcoins.tk]

Article Source: http://EzineArticles.com/?expert=Bernie_Wheater

Why Buy Gold Online?

Gold is the perhaps the most valuable and investor friendly metal ever. It is accepted all over the world regardless of country and currency. Gold is a universally accepted trading product. Gold is a powerful demand growing by the day. Buying gold online has become a wonderful stage for investing with the goal to increase your wealth. There are a lot of reliable websites that provide assistance when it comes to buying gold online.

Buying gold online gives you the chance to invest in a wider market. The gold market changes regularly and the prices are almost constantly fluctuating. When buying gold online you can be updated on the real time gold prices. Buying gold online does not demand your constant attention and time, unlike any other businesses where it requires your constant attention. Gold trading is relatively safer for both short-term and long-term investments. Because of these reasons, many people have shifted to buying gold online.

Gold can be seen in two ways, it can be an additional investment that adds color and authority to your market and investment portfolio along with your other investments. You can also view gold as a stable commodity in the trading and investing market.

I don’t recommend gold exchange trade funds (ETF’s) which are funds designed to track the price of gold. While these can be traded easily like stocks, you should instead insist on only buying physical gold.

Once you have made a decision buy gold, it is essential that you find a trustworthy and knowledgeable source to buy from. ISN Modern Coins is one of the largest modern coin dealers headquartered in Indianapolis, Indiana. ISN Modern Coins is known for exceptional talent, world-class service, extremely competitive pricing and the ability to provide our clients with a wide range of numismatic choices.

All coins at ISN are certified and graded by either NGC “Numismatic Guarantee Corporation” or PCGS “Professional Coin Grading Service” as these are the only two trusted third party certification companies industry wide with decades of numismatic and coin grading experience.

Guide for Rare Coin Collectors

Coin collecting is one hobby that is both fun and challenging. To help those who are looking for those rare coins, here is a list of hard to find ones that are worth moving “heaven and earth” for.

Gold coins are something of a rare commodity. They were circulated only until 1933, which makes them expensive when they are auctioned. The nice thing about gold is that its value probably will never go down – making it a good investment.

Another rare coin sought by collectors is the Liberty Seated Dollar. These were last produced some time in the 19th century and are considered to be a rare find.

From 1875 to 1878, twenty cent coins were minted. This coin looks very much like a quarter and since its value is very low today, it is a coin worth looking for.

The Barber half dollars are rare coins that were minted from 1892 until 1915 and are collected by people depending on date or type. One of the challenges that occurs when searching for this coin is finding one in good condition.

The 1917 type One Standing Liberty Quarter is another coin worth owning. It was only minted for 2 years and shows the exposed breast of Ms. Liberty. This design created such an uproar that it had to be replaced and was only circulated for a year.

Mercury dimes were produced periodically during the 20th century. The market value of some of them is $50 a piece.

The Walking Liberty Half Dollar is a beautiful coin for collectors. They were only circulated for 4 years and are considered to be one of the all time rare coins to ever exist.

The Texas Commemorative Half Dollar is another rare coin. Only 150,000 of these were minted over a 4 year period and just 60% to 80% of these are still available today making it one of the hardest coins to find today…

The most expensive coin is the $20 Saint Gaudens. This was sold in an auction for nearly $8 million. The design is truly superb and the value of it has never dropped even during the 1980-82 bear market.

Rare coins are truly a challenge for anyone who seeks to make this a mission in life. Not only are they hard to find but it they are expensive to acquire. Should a person have the funds available to purchase them then this adventure is truly something worth finishing.

ISN Modern Coins is a trusted premier Modern coins dealer specializing in the sale of high grade modern day graded and certified government struck coins from around the world. Their wide variety of coins include but is not limited to “Mint State” and “Proof” American Silver Eagles, Australian Koala’s, Chinese Pandas, Lunar Series Coins and much more. No matter your coin need ISN Modern Coins more than likely can fill it.

Making An Investment In Gold

No matter what the current gold bullion price is, it is never to late to invest. If you buy gold online, the number one thing to keep in mind is dollar cost averaging, or putting a set amount of money towards purchasing gold each month no matter what the cost is. This plan of action allows speculators to spread the risk of investment out over a period of time. Making an investment in gold is insurance, or protection, against worldwide doubt, currency debasement and inflation.

If you intend to purchase gold coins or gold bullion, ensure that you avoid the big premiums. Making an investment in gold successfully requires that you purchase it as near to its spot price, with a maximum premium being 10 p.c. If you buy a higher premium, the cost of gold will have to be higher up in range if you want to earn a profit.

Working out how much the premium is for a gold product, figure out the spot price and subject it from the amount the owner is referencing you. Divide your difference by the spot price and then multiply the quotient by 100. For example, if you purchased a gold bar that weighed an ounce for $1,225.90, and the spot price was $1,200, the bar would have a markup of 2.1 percent. To paraphrase, the cost of gold would only really have to increase another 2.1 % from the prevailing levels of spot price for you to come out quits on the purchase. But premiums are known to elevate as high as 75 percent — or perhaps considerably higher — depending on the item the premium is for.

If you’d like to avoid getting ripped off, it is important to keep in mind why you would like to invest in gold bullion. Keep close to the spot price if you are fascinated by a long term investment. To possess it for the usage of money, it is better to ditch the bullion and work with smaller coins — such as a tenth of an ounce — but you will have to pay the premium in that case.

If you are going to work with coins, it is also necessary to bear in mind that rare coin collecting should get left with the rare coin collectors; this is not as certain as investing in gold, and uncertainty must be evaded.

For over 29 years, Jake Mitchell has been an investment expert. Mr. Mitchell is always on top of the prevailing gold bullion price when he wants to buy gold online . Coupled with his experience, he features a B.A. Degree from Yale University as well as an M.B.A. From the Varsity of Virginia.

Why is a Coin Grading Service Important?

As coin collecting has increased in popularity and more people are looking to add silver and gold coins to their portfolios, many have discovered market prices of coins has varied immensely.

When the coin market was limited to a small number of collectors and dealers, coins were priced in pretty simple terms. Since the market has expanded and dealers became more inconsistent with the prices they set for the coins, the need for a standard scale arose. That is where the coin grading service entered the scene.

More on Why is a Coin Grading Service Important?

What You Need to Know About Spot Gold Trading

Spot gold is the standard for the value of an ounce of gold for trading purposes. Among gold traders it is the most important information that they can have their hand on. Even though purchases from, large gold traders will often range from five percent above to five percent below the spot gold standard, most traders still use the current spot gold price as the point of reference for the value of gold.

Spot gold trading is like trading other commodities on the market. You are basically placing a wager on what direction is the gold market going to take and placing a trade based on what you believe the price will be in the future, most often four to six months in the future. Here are some of the things that you need to know about spot gold trading if you plan on investing in gold.

More on What You Need to Know About Spot Gold Trading

Gold Coins May Not Be As Pure As Gold Bars, But They Have A Few Advantages

Buying gold coins is superior to buying gold in the form of bars and even jewelry. This is a simple option and can be very inexpensive as you can purchase gold coins for as low a price as forty dollars. Storing them is also no big deal as they can easily be kept out of sight in a home vault, or even in the vault of a bank. You can buy gold coins in a number of different ways: American Eagles, Australian Sovereigns, South African Krugerrands and even UK Sovereigns, to name a few options.

Make A Great Collection
Gold CoinIt is also possible to make your very own gold coins’ collection with the choice of American Eagles and also Gold sovereigns being very good options which are the most common choices for most people. Also, when buying these items remember that they do not have a fixed weight or size, and they are measured on their value as well as weight that can differ according to the size of the coins. The unit of measurement is grams though earlier they were measured as troy ounces which were a part of an ounce. Nevertheless, one cannot deny that gold bars are the most pure form of gold being measured as nine hundred and ninety-nine parts out of a possible thousand, while coins are only nine hundred and seventeen parts per thousand.

You will find that buying of gold coins is easy when you shop from the Internet and even from a gold shop. However, you must be well aware of the particulars of gold including its name, type as well as make which should be well displayed. Also, when shopping online you should ask for and get pictures of the coins to satisfy you that everything is in order. No doubt, one cannot pinpoint any single gold coin as being ideal, and it can be rated according to one’s own taste which means that some people prefer the Eagles while others may evaluate the Sovereigns to be the best because it is all a matter of individual preferences.

You can also derive much pleasure from collecting gold coins and many people make it their hobby, and if you happen to be lucky enough to have purchased some of the very valuable rare coins, your collection would fetch you a very good price too. So, if you want to collect gold coins make sure that you start off on a small footing and not get overexcited and make sure that you invest money wisely and deal only with reputable persons who also subscribe to PNG which is the Professional Numismatists Guild.

Gold Trading History

To understand more about gold trading one must look back to and understand gold trading history. This will help us realize why gold is so important in today’s unstable market and why it continues to be a commodity that can stand on its own.

The history of gold trading dates back to the London market in 1919. This has set the price for gold daily globally and was the standard or basis for gold contracts. The World War II interrupted all the gold trading industries in place of military industries. However gold was used by governments that participated in the war to fund their military operations. In 1954, the London gold market reopened and gold trading resumed for Europe.

During the early months of the 1960s, the U.S. government did not allow any form of ownership of gold. This made it impossible for Americans to participate in gold trading. During that time, the U.S was working together with Europe’s main banks to boost the American dollar through a stable price of gold worldwide.

At the end of the decade, the market suffered more downturns as the London gold market shut down to alleviate prices. The shut down caused a sudden demand spike, this caused a run on the price of gold and caused chaos on spot pricing and futures. The market shut down for two weeks so that market order would return, and when the market reopened private investors were shut out.

Today the London gold market continues to be the standard for gold contracts and prices. Beginning at 10:30 a.m. and 3 p.m. every day, gold prices are set and published. This is used by gold producers as official figures. The New York gold market also opens as the second London set occurs. After that gold is traded throughout the day.

From the early days of hand-crafted gold coins to today’s electronic trading system, gold has continued to attract strong investment relationships and interests. For as long as the perceived value of gold continues, gold will continue to stand on its own as an asset that can be traded. With today’s current financial downturns, it is not a surprise that gold will continue to be seen as a safer bet for worn out investment portfolios.