What are Silver Rounds?
Simply put, silver rounds are silver coins that aren’t made by a government or sovereign mint. Because of this, they are worth nothing at face value, not even a penny. No country uses them as real money. Most of the time, they look like coins, but they aren’t. To be very clear about the difference between official coins and unofficial silver pieces in the shape of coins, we use the term “silver rounds” in the industry to talk about private and government mintages.
What’s the difference between coins, rounds, and numismatic pieces made of silver? Most people have never heard of the word “rounds.” If you asked a random person on the street, “What is a silver round?” they wouldn’t know. It’s easy to see why someone who wants to buy silver bullion for the first time would be confused.
Silver rounds are a very popular way to buy silver in the United States. The designs can be based on common coins, but they must be different enough to avoid confusion. Private firms can make silver rounds. They can also be given out as “medals” or “medallions” by the government.
What Makes Silver Rounds Better Than Silver Coins?
Rounds often sell for just a bit more than the spot price of silver and are a very cheap way to invest in silver. They are a great piece of property, and if you buy them from the same mint, you can often stack them. It’s easier to picture making a deal with a few silver rounds than with, say, a 100-ounce silver bar. (When things are like that, it’s hard to “make a change.”)
Coins Compared To Silver Rounds
Pros and Cons: Silver Rounds vs Silver Coins
The ability to tell the difference between rounds and coins is useful. Even though these two forms of silver bullion are similar, there are enough differences to make them not the same.
- Most of the time, the round premium is less than the premium on coins of the same weight and purity.
- Any design or theme can be used in a round.
- Most of the time, rounds are easier to find for sale.
- Frequently rounds are made to a lower quality than coins.
- Rounds are not backed by any government’s full faith and credit.
- Most rounds are not collectible.
Both coins and rounds have pros and cons, which is why it’s important to have a variety of physical forms of precious metals depending on your needs and reasons for investing. Most rounds cost less and let you get more metal for the same price. When it’s time to sell them, you might have a harder time finding a buyer at a fair price than you would with sovereign coins, which are known worldwide and always in demand. Make the best decision on where to invest your money.
- Will silver rounds tarnish?
Silver tends to degrade faster in places with high humidity and pollution, so the best way to keep silver from tarnishing is to keep it away from air and water. Putting silver in plastic bags with zip-tops can keep out moisture and air.
- Should I keep old silver coins?
The average silver dollar is worth about $20 in silver. But some silver coins are worth more than just the amount of silver they contain. These are coins that collectors will pay more for because they are rare or old. They are called collectable or numismatic coins. It would be a waste of money to melt them down.
Don’t wait long. Visit bullionbox.com for a more in-depth explanation of investing in silver rounds or coins.