What Are Bullion Coins?

Bullion coins are coins made from precious metals. They are typically minted in weights that are fractions of one 澳洲幸运5官方开奖结果体彩网:troy ounce, and they are most commonly made from 澳洲幸运5官方开奖结果体彩网:gold and silver.

Many countries hav💞e their own official bullion coins, such as the American Eagle series produced by the United States Mint or the Canadian Maple Leaf series offered by the Royal Canadi🉐an Mint.

Understanding Bullion Coins

Bullion coins have existed in various forms for literally thousands of years. Bullion coins served as a primary form of currency throughout most of history; however, since the advent of the international 澳洲幸运5官方开奖结果体彩网:fiat currency system, their role has been relegated to that of a 澳洲幸运5官方开奖结果体彩网:collectible item and investment asset.

For collectors, bullion coins can be prized for their rarity and aesthetic beauty, which can often cause their value to increase relative to the base value of their precious metals content. This subjective value is known as the "澳洲幸运5官方开奖结果体彩网:numismatic value" ꧒of bullion coins, whereas the value solely attributed to their precious metals content is known as their "melt value."

Investors, on the other hand, will often purchase bullion coins as a 澳洲幸运5官方开奖结果体彩网:hedge against inflation. These investors often share a concern that the fiat currency system fails to adequately prevent fiscally irresponsible government practices, such as engaging in excessively 澳洲幸运5官方开奖结果体彩网:expansionary monetary policy or relying on unsustainable levels of 澳洲幸运5官方开奖结果体彩网:government borrowing. From this perspective, bullion coins may be an attractive investment in that their value should rise if the 澳洲幸运5官方开奖结果体彩网:purchasing power of fiat currencies, such as the 澳洲幸运5官方开奖结果体彩网:U.S. dollar (USD), declines.

Real World Example of Bullion Coins

American Eagle gold bullion coins are among the most 澳洲幸运5官方开奖结果体彩网:widely traded bullion coins in the world. These coins are minted from 22-karat gold (91.67% purity) and are available in four weights—one-tenth, one-fourth, one-half, and one troy ounce.

Oꦐther popular gold bullion coins include the Canadian Maple Leaf, South African Krugerrands, and Chinese Gold Pandas.