While some people understand how coin collecting works, not everyone appreciates this hobby’s rules. Although it seems that no well-structured system determines how dealers benefit from coin collections, some studies prove otherwise. For example, a 2020 Numismatic research revealed that the market has grown to $17.59 billion. This shows that the rush for the most popular modern US coins has intensified once again. So, are you a coin collector? Hopefully, this article will provide you with some valuable insight.
Grading means knowing the condition of the coins you are collecting. Therefore, it is a critical determinant in deciding if the coins are valuable or not. Moreover, there are five set criteria through which a coin’s value can be evaluated. These are color, luster, strike, attractiveness, and most importantly, its preservation. These criteria are measured on a scale of one to seventy. Therefore, your coins’ scores will determine their quality; the closer you are to the seventy scores, the higher the quality.
However, you should keep in mind that some factors can negatively impact quality:
- Popular coins which were in circulation for long periods.
- Buried coins with blemishes.
- Chipped edges.
Networking is essential
This is important when collecting antique and scarce coins. Do you know the significance of networking as a coin collector? Its primary purpose is to locate and establish professional relationships with specialty dealers in your craft. It’s also an excellent opportunity to earn first-hand knowledge on the dynamics of trading antique coins via online discount sites. Unfortunately, the Numismatic market has been infiltrated by scammers who prey on unwary mint coin investors.
According to scambusters.org, some Texas companies defrauded coin investors of $13 million in recent times. Their enticing selling narrative was built on a lie that the coins would appreciate and triple their actual value. Instead, these customers discovered that the companies in question sold the coins more than double the actual value to worsen matters. Although the customers filed a lawsuit, it could have been avoided if they knew how the market works.
Specialize in a specific area or timeline.
Over the years, the numismatic market has been flooded with thousands of coins, as each one originates from various timelines and is valued differently. Although there is the temptation to be a Jack of all trades, you’ll find it logical to become a master of one instead. Coin specialization is key to success, as it helps you to set goals for your collection. In addition, it will influence what you search for and how you intend to invest.
Fortunately, it is not cast in stone that all coin collections must originate from the distant past. Therefore, you have the liberty to collect modern US coins that still hold incredible value. For example, the Gold Eagle Coin from 2020 is a 22-karat gold coin worth your attention. It also helps to exercise a tremendous deal of patience when collecting coins. Great patience can yield even more significant investment, so if you have a unique appetite then try a Crypto exchange to buy Bitcoin for future trade, it might just pay off.