Good morning everyone! Today I was looking through JMB because I wanted to pick up some more silver and I noticed something very fascinating. The 1 kilo silver Queen’s Beast coin has a face value of £500! If you’re American £500 face value is about ~$700 USD. Does anyone else notice something odd about that? 1 kilo of silver is 32.15 oz. $695/32.15 = $21.61/oz. That means that if the silver spot price drops below $21.60/oz this Queen’s Beast will actually have a face value above melt value. If silver drops to $20/oz and this coin has 32.15 oz of silver that is a melt value of $643 or £462 which is below the actual face value. Compare that to other bullion coins like the ASE which only has a $1 USD face value despite having a metal value of 25x that. I think silver below $21.60/oz isn’t too unrealistic. This is the first time I’ve ever seen a bullion coin with a face value that could potentially exceed its metal value. For that uniqueness alone (and because I like the series) I bought one. xD
but noone will pay 500 Pounds for this coin - as this face value is only "fake" https://www.royalmint.com/aboutus/policies-and-guidelines/legal-tender-guidelines/
It’s not “fake”. The website you linked says they are legal tender. But it just says they aren’t intended to be circulation coins. Just because some places may choose not to accept them doesn’t mean anything either really. Many businesses in the US don’t accept $100 bills as a matter of policy. My local Taco Bell is one example. But it doesn’t mean $100 bills are fake legal tender.
..That’s not true either. The website says some banks MAY not accept them. That doesn’t mean anything. It even says: “Each issue is authorised by Royal Proclamation in accordance with the requirements laid down by the Coinage Act 1971. This means that in common with coins in general circulation these coins have legal tender status.” It does not say that they are not legal tender or anything like that. I’m sure most businesses would refuse to accept an American Silver Eagle as $1 face value too. That’s just lack of familiarity. As I said my local Taco Bell doesn’t accept $100 bills. Does that mean $100 bills are fake legal tender?
Not a store owner worth their weight in lead. You could spend a 500 dollar bill even today in the US. Doesn't make it a good idea. Go ahead and spend it. If you're willing to die on this hill (which you seem to do a lot, fight to the end) then at least go all the way and prove it. Take some ASEs and try to spend them. No backsies either. See how it goes for you. Lol
Mints usually make their coins at some value ridiculously LOWER than the PM value...like this $50 coin...
Yup exactly! That’s why I was shocked to see such a high face value on it. I was expecting it to have a face value of either £50 or £100 but £500 is just crazy!
the queens beast series both gold and silver enjoy ridiculous premiums had a 1 oz Dragon but the premiums when you buy not so much when you sale...LOL
Actually the premium to buy isn’t that bad at all. Compare to this generic 1 kilo bar which isn’t that much cheaper. $996 for Queens Beast $967 for 1 kilo generic bar Yeah it’s $29 (less than $1/oz) more than the generic bar but it’s more interesting and technically is a coin.
The question becomes then will someone else think its more interesting when you go to sell, I have many interesting bars and coins, unfortunately when its something you like you tend not see the extra price, I have been buying allot of generic 10 oz bars that way you dont have to worry about paying extra, spot price is spot price. its kind of the same formula where people pay a small fortune for a graded bullion coin, huge premiums that are almost impossible to get back
Eh I don’t mind that I paid a little bit extra premium for it since I like the design. Mostly because I don’t plan on selling it any time soon and I am expecting for the price of silver to go up if I sell it years and years from now. I’ve always wanted a 1 kilo silver coin just because I love how big and hefty they are. Even my 5 oz ATB is huge! One thing great about precious metals is that no matter how ugly or damaged or whatever they still have value as silver. Especially .999 fine silver since it can be used for industry and doesn’t need further refining.
I like a variety, have a few tubes of the ASE,s , now have some Krugers would like ti get some type 2,s but the price is a bit higher just because there so new can remember when the Krugers were nearly double of the type 1, since they have come down substantially since then
