These Are the 4 Best Silver Coin Types To Buy in Order To Turn a Profit

Silver coins hold significant value for both dealers and collectors, primarily due to their silver content and their relative scarcity compared to coins made from copper, nickel, zinc, and other metals. While the most valuable silver coins can fetch millions of dollars, even those with lower valuations can still provide a profitable return.

Locating rare and valuable silver coins outside of dealers and auctions can be quite difficult, primarily due to their limited circulation. The Coinage Act of 1965, enacted by President Lyndon Johnson, removed 90% of silver coins from circulation, significantly impacting U.S. dimes and quarters. While half-dollar coins continued to be minted with 40% silver from 1965 until 1970, no circulating U.S. coins have contained silver since then.

Despite this, valuable silver coins can still be found on the collectibles market, making them a potentially worthwhile investment. Incorporating silver coins into your collection can diversify your portfolio and provide a safeguard against inflation and economic uncertainty. When the spot price of silver rises, having a low dollar cost average for your silver holdings allows you to sell them at a profit.

90% ‘Junk’ Silver Coins

90% silver coins minted before 1965 fall under the category of “junk silver.” According to the U.S. Government Bureau of Mint (USGB), this term refers to coins from that era that have little to no collectible or numismatic value, making them “worthless” to serious collectors. However, it’s important to note that not all 90% silver coins from this period are considered junk; only the more common, heavily circulated, or damaged examples typically fall into this classification.

Despite their designation, these coins can still be profitable due to their silver content. As highlighted by the USGB, you can acquire these coins at low prices and in bulk, allowing you to build a substantial collection with a significant amount of pure silver.

American Silver Eagle Coin

The American Silver Eagle (ASE) was first produced in 1986 as a way for the U.S. Defense National Stockpile to liquidate its surplus silver. One significant advantage of the ASE is its dual role as both a silver investment and an asset eligible for inclusion in an IRA.

There are three distinct variations of this 0.999 fine silver coin:

1. Bullion ASEs, which are the most affordable and primarily used for silver investing.
2. Burnished ASEs, recognized as the rarest of the three.
3. Proof ASEs, which are the most expensive due to their high-quality finish.

British Silver Britannia Coin

The British Silver Britannia is regarded by the U.S. Government Bureau of Mint (USGB) as “one of the most recognized rare silver coins on the planet.” The UK Royal Mint introduced these coins in 1997 following the success of their gold Britannia coins. The editions produced from 1998 to 2012 contained 0.958 pure silver, while those minted from 2013 onwards feature 0.999 pure silver. Most coins feature an image of Queen Elizabeth II, but from 2023 onward, the design includes the likeness of King Charles III.

Canadian Silver Maple Leaf Coins

The Canadian Silver Maple Leaf is another highly sought-after sovereign coin among collectors. It boasts an impressive purity of 0.9999 fine silver and is minted annually by the Royal Canadian Mint. Much like the British Silver Britannia, many Silver Maple Leaf (SML) coins feature the image of Queen Elizabeth II. Following her passing in 2022, the design has been updated to include the likeness of King Charles III in the newer releases, reflecting a significant change in this iconic coin’s history.

Conclusion

In summary, investing in silver coins can be a smart strategy for those looking to diversify their portfolios and capitalize on potential profit. The American Silver Eagle, British Silver Britannia, Canadian Silver Maple Leaf, and 90% “junk” silver coins each offer unique advantages and market opportunities. By carefully selecting these types of silver coins, you can build a collection that not only preserves wealth but also has the potential for appreciation over time. As you navigate the world of silver coin investing, keep these four options in mind to maximize your returns and enjoy the journey of collecting.

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