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Has roll collecting (hoarding) ruined our hobby?
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<p>[QUOTE="mikenoodle, post: 444434, member: 307"]Since the 1950s the supply of coins from the US Mint has been relatively steady, consistent, and plentiful. Only in the case of Half Dollars made only for Mint Sets (1970-D, 1986 P and D) have coins been unavailable from the local bank and people have stashed them away by the roll. </p><p><br /></p><p>In the 1950s, people started collecting coins by the roll. No longer was it good enough to have one really nice example of a date or mintmark, now collectors were setting aside 40 or 50 of a coin, and to this date none of them are very valuable at all. </p><p><br /></p><p>The statehood quarter program has seen this method of collecting (hoarding) become even more pronounced. Advertisements in magazines like CoinWorld and Numismatic News feature entire rolls of the new quarters as they become available, and it seems that many collectors are setting them aside in this manner again.</p><p><br /></p><p>IMHO most of these collectors are setting them aside with the thought that one day, they will sell entire sets to the public from these rolls and realize a profit, thereby paying for their coins and giving them the "pick of the litter" from those rolls in the process for their own collections. In 1999, this was my plan, but by 2004, I realized that I would make more profit at 3% in the bank and dumped the entire stock back into circulation.</p><p><br /></p><p>As most of us realize, the value of coins is not tied as much to their rarity, but to how much they are collected, and how scarce they are to come by. Millions of people collect the Statehood Quarters, yet the supply so outweighs the demand that these coins will always be available in quantity, and therefore never sell for very much above their face value. </p><p><br /></p><p>The problem with roll collecting is that because the supply is so plentiful, the coins have never become hard to come by, and their value stays constant at or near face value.</p><p><br /></p><p>In watching coin values over my time in the hobby I have never seen circulation coins of any real value after the 1940s beyond their melted value. If roll collecting started in the 1950s, is this consistent with this decrease in value? Can the demand for rolls of coins push the mintage numbers up so far that these coins will never be unavailable to the average collector? Or is it just a product of the modern US Mint, that they have out-supplied (yes, I made up that word) the hobby? </p><p><br /></p><p>Should collectors looking to store value in their collections look for things other than the "flavor of the month" coins and buy items that are seemingly unpopular (i.e.- the Jackie Robinson $5 gold coin) in order to have something that is in short supply at some point in the future? I welcome your opinions.[/QUOTE]</p><p><br /></p>
[QUOTE="mikenoodle, post: 444434, member: 307"]Since the 1950s the supply of coins from the US Mint has been relatively steady, consistent, and plentiful. Only in the case of Half Dollars made only for Mint Sets (1970-D, 1986 P and D) have coins been unavailable from the local bank and people have stashed them away by the roll. In the 1950s, people started collecting coins by the roll. No longer was it good enough to have one really nice example of a date or mintmark, now collectors were setting aside 40 or 50 of a coin, and to this date none of them are very valuable at all. The statehood quarter program has seen this method of collecting (hoarding) become even more pronounced. Advertisements in magazines like CoinWorld and Numismatic News feature entire rolls of the new quarters as they become available, and it seems that many collectors are setting them aside in this manner again. IMHO most of these collectors are setting them aside with the thought that one day, they will sell entire sets to the public from these rolls and realize a profit, thereby paying for their coins and giving them the "pick of the litter" from those rolls in the process for their own collections. In 1999, this was my plan, but by 2004, I realized that I would make more profit at 3% in the bank and dumped the entire stock back into circulation. As most of us realize, the value of coins is not tied as much to their rarity, but to how much they are collected, and how scarce they are to come by. Millions of people collect the Statehood Quarters, yet the supply so outweighs the demand that these coins will always be available in quantity, and therefore never sell for very much above their face value. The problem with roll collecting is that because the supply is so plentiful, the coins have never become hard to come by, and their value stays constant at or near face value. In watching coin values over my time in the hobby I have never seen circulation coins of any real value after the 1940s beyond their melted value. If roll collecting started in the 1950s, is this consistent with this decrease in value? Can the demand for rolls of coins push the mintage numbers up so far that these coins will never be unavailable to the average collector? Or is it just a product of the modern US Mint, that they have out-supplied (yes, I made up that word) the hobby? Should collectors looking to store value in their collections look for things other than the "flavor of the month" coins and buy items that are seemingly unpopular (i.e.- the Jackie Robinson $5 gold coin) in order to have something that is in short supply at some point in the future? I welcome your opinions.[/QUOTE]
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Has roll collecting (hoarding) ruined our hobby?
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