Silver Coin Investing: Is It Worth The Risk?

are 90 silver coins a good investment

90% silver coins, also known as junk silver, are a great way to invest in physical silver bullion. They are circulated coins that are bought and sold based on their silver bullion content. These coins are sought after by investors for their silver content and currency value. They are also a good hedge against an economic or currency collapse due to their smaller denominations, which can be used for barter or trade. However, there are some drawbacks to investing in 90% silver coins, such as the fact that they are bulkier and slowly losing their benchmark status to other forms of silver bullion.

shunadvice

Junk silver coins are circulated 90% US silver coins minted before 1965. They are referred to as "junk" because they have no collectible or numismatic value. Instead, junk silver coins are bought and sold purely for their silver content.

Junk silver coins enjoy a huge numismatic market, meaning there are more avenues for selling your junk silver coins. They are highly liquid, widely recognisable, and have a large, ready marketplace. They are also easy to identify and have real investment value. The value of a bag of junk silver coins closely tracks the spot price of silver.

Additionally, junk silver coins have a crossover market with coin collectors. Many collectors seek such silver coins, even common-date, low-grade pieces, to fill holes in albums, folders, and displays. There is also the possibility that a collector may spot a valuable error or variety on one of these junk silver coins, making it redeemable for far more than its intrinsic bullion value.

Finally, junk silver coins are a good investment because they are one of the most cost-effective ways of investing in silver. They are sold at a much lower premium than bullion coins. They are easy for large and small investments because they can be bought in small or large quantities, making them available to investors with large or small budgets.

shunadvice

They are a good hedge against fiat currency debasement

90% silver coins are a good investment for those looking to hedge against fiat currency debasement.

Firstly, it's important to note that 90% silver coins are still considered legal tender in the US. This means that, in addition to their silver content value, they can also be used as a means of payment.

Secondly, the fact that these coins are no longer minted makes them a finite resource. This is especially significant when considering that, historically, spikes in demand for silver have led to large quantities of 90% silver coins being melted down and turned into bullion. As a result, there is simply less and less of this constitutional silver stuff around as time goes by. This limited supply means that 90% silver coins have the potential to pick up big premiums, justifying their buying and holding as a hedge against fiat currency debasement.

Thirdly, 90% silver coins are a good investment for those who want to own physical silver but are unable to afford the high premiums often associated with .999+ silver bullion. During times of low to normal public bullion demand, circulated 90% silver coins typically carry lower premiums compared to other forms of modern bullion.

Finally, 90% silver coins are a good investment for those who want to own silver in smaller denominations. This is particularly useful for bartering and direct trade, especially during a financial crisis or survival situation.

shunadvice

They are a good investment during rising precious metals markets

90% silver coins, also known as "junk silver", are a good investment during rising precious metals markets.

Firstly, 90% silver coins are a good investment during rising precious metals markets because they are still considered legal tender. This means that they can be used as a means of payment, giving them an intrinsic value beyond their silver content.

Secondly, 90% silver coins are a good investment during rising precious metals markets because they are a cost-effective way to invest in silver. They are often sold in bulk at a lower premium than other forms of bullion, making them an affordable option for investors.

Thirdly, 90% silver coins are a good investment during rising precious metals markets because they are easily recognisable and trusted by the public. This makes them a good option for bartering and trading, especially in survival situations where they can be used to purchase everyday goods and services.

Additionally, 90% silver coins are a good investment during rising precious metals markets because they are a finite resource. As they are no longer in production, their supply is limited, and this can drive up their value over time.

Finally, 90% silver coins are a good investment during rising precious metals markets because they have historically performed well. During previous precious metals bull markets, 90% silver coins have achieved premiums of up to $2.50/oz over the spot price. This shows that they can be a profitable investment when precious metals markets are on the rise.

shunadvice

They are a good investment if you are looking for small amounts of silver

90% silver coins, often referred to as "junk silver", are a good investment if you are looking for small amounts of silver.

Firstly, they are a good investment because they are a cheap way to buy fractional silver bullion. They are the absolute cheapest way to buy silver, and are often sold in bulk, further reducing the price.

Secondly, they are a good investment because they are a substitute for bullion bars, the American Silver Eagle, or silver mining stocks. They are also a good investment because they are a hedge against inflation and an unstable dollar. Many investors fear that the dollar will be printed until it becomes worthless, and in this "worst-case scenario", 90% silver coins would be used as money, as they were originally intended.

Thirdly, they are a good investment because they are a good hedge against an economic or currency collapse. They are still legal tender and can be used as a means of payment. They are also a good investment because they are a good hedge against ongoing fiat currency debasement and purchasing power loss. Silver retains its value over the long term, allowing holders to keep a portion of their wealth in these private, tangible, legal tender, precious metal silver coins.

Finally, they are a good investment because they are a good hedge against rising precious metals markets. Circulated US silver coins pick up premiums much faster than other investments in silver. For example, during the Y2K scare in 2000, junk silver picked up a 50% premium.

However, there are some drawbacks to investing in 90% silver coins. Firstly, they are old and circulated, so there is a chance that they will be impaired in some way. Secondly, they are bulkier than .999 fine bullion – you have to stack an extra 11% gross weight of constitutional silver to achieve the same number of ounces as .999 fine silver. Thirdly, junk silver is slowly losing its benchmark status to the American Silver Eagle.

shunadvice

They are a good investment if you are looking for a substitute for bullion bars

90% silver coins, often referred to as "junk silver", are a good investment if you are looking for a substitute for bullion bars.

Firstly, junk silver is a great way to invest in physical silver bullion. These coins are legal tender and can be used as a means of payment. They are also a hedge against an economic or currency collapse, as they can be used for barter or trade.

Secondly, junk silver is a good investment because it is a substitute for bullion bars. Bullion bars can be produced at any time, so there is a limit to how high their premiums can climb. On the other hand, junk silver is only composed of 90% silver, so you need to buy more of it to achieve the same number of ounces as a pure silver bullion bar. This makes junk silver a good investment if you are looking for a substitute, as it often achieves higher premiums than bullion bars, especially during rising precious metals markets.

Thirdly, junk silver is a good investment if you are looking for a substitute for bullion bars because it is in limited supply. 90% silver coins have not been minted since 1964, so they are becoming harder to find. This limited supply means that junk silver has a better upside price potential than bullion bars.

Finally, junk silver is often preferred over bullion bars because of its history. Many investors buy junk silver for its nostalgic appeal, and because it is backed by the United States government.

Overall, 90% silver coins are a good investment if you are looking for a substitute for bullion bars because they are a good way to invest in physical silver, they often achieve higher premiums, they are in limited supply, and they have nostalgic appeal.

Frequently asked questions

Written by
Reviewed by
Share this post
Print
Did this article help you?

Leave a comment