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<p>[QUOTE=&quot;scottishmoney, post: 712904, member: 12789&quot;]Actually it is somewhat complicated, but easier in a sense to just have trade coins - much like some countries in the Mideast and Asia, and some Latin American countries do for gold and silver coins - they trade in value at the market price of the metal in them.&nbsp; You cannot issue a PM coin with a set face value and predictably determine what it&#039;s value will be if you cannot reign in inflation, public insecurity etc.&nbsp; Countries like Mexico have done that with their coins up to and including the 100 Pesos coins in the late 1970s only to see the melt value of the coins exceed the face value and the coins disappear into melting pots.&nbsp; Mexico even tried this again in the 1990s with the Nuevo Peso, issuing $10 peso coins that had a silver center.&nbsp; They did not last long before a rise in silver made them worth more than face.</p><p><br /></p><p>But Mexico continues to do Onza coins in gold and silver with no value other than the value of the metal in them.&nbsp; They are lovely, but the Mexican government taxes the bejeebers out of them so they are prohibitive for most purposes other than collecting.</p><p><br /></p><p>Frankly, premiums above the melt value of gold are a phenomenon primarily in western countries.&nbsp; I can tell you that gold, even commemoratives in China traded at the value of the metal.&nbsp; I know that for a fact, I bought gold in China from reputable government stores and they sold it based on the value of the gold and not some markup.[/QUOTE]</p><p><br /></p>

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