Rare Gold Coins
Holding a heavy gold coin in your hand always provides a weighty sense of satisfaction but knowing that you have something scarce in your possession emphasises the feeling even further. But opting to invest and collect in rare gold coins is not without its risks.
It is possible to make money from investing in both new and old gold coins but deciding to track down the most rare editions offers a special sense of achievement for every success. However, it is essential that you are certain you are purchasing the real thing before paying out for your prize.
It's called what?
Collectable and old coins are called numismatics and it usually means that the article is worth far more than the face value it was originally traded for. These types of coins are greatly sought after by collectors not just because of their value, but also because of their history and exclusivity.
It is possible to buy rare coins from a number of places but recommended dealers and bullion specialists are the best place to trade. Some coins come with a grading, which acts as a kind of safeguard to provide the buyer with some form of reassurance that the money being spent is not being wasted on a counterfeit copy.
If you have rare gold coins to sell, it will also be more difficult to trade them for what they are worth without some kind of authentication. Using a dealer is the typical way to sell a rare coin but the ones that are the rarest of all will usually be sold to the top bidder at a high-end auction house such as Sotheby's. Dealers normally have the coins checked for authenticity and then simply pay out market value.
In the past, a number of unscrupulous investors have attempted to recreate rare gold coins and there have been examples where the fakes were good enough to fool dealers into accepting them. It is for this reason that extreme caution needs to be exercised when purchasing rare coins. Do not buy them from untrustworthy sources and be wary of any deal that seems too good to be true.
How to spot a fake
Experts say that many people examine coins too closely when trying to ascertain whether it is genuine or not and whilst some counterfeit coins do have visible mistakes, frequently the overall tell-tale signs are far more subtle. Having too little or too much depth on the image is a common problem for fraudsters as well as having too slippery a feel or too grainy a surface. Striking two coins together can also be a give-away for experts trying to validate a genuine gold coin, as it is impossible to replicate the right sound.
The valuable counterfeit
Rather ironically, there was a series of fake gold coins produced in the 19th century that were manufactured using platinum, which at the time was worth less than gold. The rising cost of platinum eventually put a halt to this practice and should any of these so-called 'gold' coins be found, they would be worth more in value than a genuine gold version!
Face to face buying is best
Purchasing rare coins is one transaction, which is always better off being conducted in person rather than on the internet, unless you are absolutely certain that the vendor is genuine and the item has been verified independently.
It is possible to find a plethora of 'rare coins' for sale, especially on auction sites such as eBay but many scams are also run this way. In most cases the coins simply do not turn up as promised. It is sometimes possible to spot those hoping to get away with this kind of con, as the photographs provided will be from a library. Any genuine seller should be willing to send you an ad-hoc photo to meet any specifications you ask for.
Older does not necessarily mean better
Not all coins, which are rare, are old. Some modern collections have a very limited mintage and rarely exchange hands on the market. Those that fit a certain theme are particularly popular, such as the 1984 $100 Western Samoa Olympic coin. Just 500 of this coin were ever released and for those who like to collect Olympic memorabilia, this rare coin has proven to be very elusive.
Collecting and trading rare gold coins is a far more in-depth pursuit than simple gold coin trading. It is necessary to have a trusted dealer and be prepared to undertake considerable research before going ahead with a purchase if there is any doubt over the authenticity. However, unearthing a rare treasure brings a certain degree of pleasure that makes selling it on for profit a difficult decision to make.
