Things to know about silver and gold coins
Following the interview, several people have asked me for information on how and what kind of currencies to buy as a survival insurance.
The first thing I have to say is that these currencies are not bought with the objective of making money with them, but of having a tangible value with which to be able to buy staple food in case of financial disasters. I always advise to have at least enough coins to be able to live a couple of years.
Coins or ingots?
The ingots do not interest in the case that concerns us for several reasons.
Gold ingots are too valuable to be used in transactions.
The silver ingots carry VAT, as well as being too big to buy potatoes. Except for great fortunes, the most advisable are the coins.
Gold or silver?
For habitual transactions The silver coins have the appropriate value. The gold coins would only serve to buy expensive things, which are not usually bought when the future is presented with clouds.
For people with a good heritage, you can put 3 parts in silver and 1 in gold as diversification.
We could classify the silver coins in 3 great types, with their different advantages and drawbacks:
1-The coins of 12 EUROS from the Bank of Spain
These coins were issued between the years 2002 and 2010. Here you can see all the emissions.
These currencies have the advantage that you can buy at a price close to 12 euros, and as the Bank of Spain pays you 12 euros when you want, if the silver low can lose very little money with them. Instead, if the silver rises, they can be sold at the price of the silver they contain (18 grams of silver of 925 thousandths of purity). That is, you can lose very little and win a lot, as well as cover the devaluation of the pieces of colors. Another advantage of these currencies is that they do not circulate counterfeits, other than that their sound is inimitable.
The downside is that its silver content is less than 12 euros, and if you invest the money in these currencies, you get less amount of silver than you could buy in other types of coins. Depending on the risk aversion of each, you should assess what kind of currencies suit you.
There are several forums on the Internet where you can order and offer silver coins. This is one of them.
2 – circulated silver coins
There is a very large variety of silver coins that in their day circulated. Each broadcast has a different purity and weight.
These coins can usually be bought for the price that is worth on the market the pure silver they contain, discounting the alloy.
We have a free use program that values in real time the most common silver and gold coins, saying the value of the pure metal that they contain in euros and dollars. This way you know if the price you ask for each type of currency is reasonable. You can add other currencies to the program by saying the weight and purity of each coin.
The program can be downloaded here. A bonus-profit calculator is included in the compressed file.
There is a pretty sure way to know if a gold coin is really gold. Each gold coin that has been issued has a weight, an alloy, a diameter and a thickness. All of that can be seen on the Internet.
As gold weighs much more than the rest of metals, if they make a coin with another metal, or add another metal to the alloy, it would no longer square the weight with the measures of the coin. If the coin carries a metal that is not gold, which weighs much less, or the coin will weigh less than it should weigh, or have a diameter or thickness greater than normal to weigh the same.
With a básculita that can weigh 100 grams with a precision of hundredths of a gram, and a foot of the king, 99% of the counterfeit gold coins can be avoided.
Tungsten has the same weight as gold, and it is used to forge gold ingots, but it cannot be put into small coins. If someone wants to buy some ingot, the only solution is to cut it into 20 pieces to see that there are no tungsten plates, after having verified that the weight and measurements correspond to the weight and volume of a gold ingot.