Should face value of american eagle be change to higher denomination?.

Aesthetics is a universal part of human nature and with large denominations they would be appreciated more.

 

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I'm sure they could make a beautiful design...but that wouldn't make it circulate. It would have to be a large coin and people don't like large coins.

 

You are both soooo right!

1. mrbrklyn: Large denomination coins would be nice.
2. CamaroDMD: No one wants to carry around big coins.

So, we need small sized, large denomination coins. We can't get enough silver into them to equal their denomination...and we wouldn't want to since we have a floating (fiat) currency.

If we made a $50 silver coin the size of a Kennedy half dollar, what would stop a Chinese conterfeiter from making a bundle?

I think the answer may be imbedded RFID tags. Miniturized, passive RFID tags imbedded in coins could be passively validated and foil counterfeiters.

http://en.wikipedia.org/wiki/Radio-frequency_identification#Miniaturization

There are RFID tags that attach to ants to study their movements. The technology is getting smaller and cheaper everyday. I don't know if anyone as thought of it in connection with coins before...but it may work. :hatch:

 

Any precious metal coin is 'doomed' to become bullion. Inflation and the volatility of the precious metals market means making circulating coinage made out of precious metal is impracticable.

As to the original question, the legal tender face value of a sovereign and a half sovereign in the UK is £1 and 50p respectively. Obviously, way below bullion value, but it doesn't matter. The coins are sold for their bullion value anyway, and there is no point in severing the connection with history by re-valuing their legal tender face value when they have not been worth that for a very long time anyway....

 

RFID chips in coins and notes

I like the idea but I wonder about how the government/treasury would handle a switch from old coinage to new coinage? Would there be a system and period of time when you would be able to turn in old coin for new RFID type tech-coin. Also wonder if the RFID technology wouldn't be outdated before the coins could even enter circulation due to the speed of new technologies being developed. With coins lasting decades in circulation compared to paper currency, it seems that the technology whether dated or the RFID tags becoming broken(?) from use during their life in a coin would also be susceptible to a new hacker type of coin counterfeiter.

Not sure of the 'validity' of these stories and it's a laugh to see the frist link calling such a plan 'super secret' since someone seems to have the idea that it's going on and shared the secret on the web:
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US Government to enable RFID chips into new One Dollar coins

RFID Banknotes

Defense Department Report Warns of RFID-Enabled Spy Coins

 

YES! with RFID tags the goverment would be able to track your money for the IRS!

 

More than likely marketers would find a way to track how much money you were carrying when you entered a store and 'customize' sales offers to you.