What does a country do when the intrinsic (bullion) value of their coinage exceeds the face value and people start amassing the coins to sell in quantitiy to scrappers for remelting? What do nations, large and small, do to counter the devaluation of its coinage relative to stable currencies such as the British Pound, Swiss Franc and USA Dollar? Some countries enact laws with heavy penalties including a death sentence. Some create laws forbidding the exportation of coins enmasse or exiting the country with pocket change. Quite a few Spanish-American countries, experiencing the problem in their pasts, had another way of coping with the problem; they increased the face value of the affected coins with a counterstamp. Costa Rica is one such country. Prior to 1920 Costa Rica issued silver coinage in denominations of 5 Centavos, 10 Centavos, 25 Centavos and 50 Centavos. In 1920 silver was replaced with Brass. In 1923 a decision was made to recall all past silver coins with face values of 25 Centavos and 50 Centavos and a decree was issued to double the two coins' previous denominations by counterstamping the obverses with 1923 within a circle or on an old shield design and the reverses with the increased values of 50 CENTIMOS and UN COLON within a circle. To keep this article in "trivia" parameters, I'm only going to share links to a few counterstamped coins (photos courtesy of Don's World Coin Gallery worldcoingallery.com): When you see the photos you will notice the counterstamps are not always in correct alignment with the , both obverse and reverse. The host coin's date is still visible but the original denomination is obliterated by the counter strike. Note Don's text say's Centavos, but the denomination counterstamp reads CENTIMOS: Counterstamped 50 CENTIMOS on 1892 25 CENTAVOS (1923 on old Shield): http://worldcoingallery.com/countri...erstamped 25 Centavos&query=Costa Rica km 157 Couinterstamped UN COLON over 1896 50 CENTAVOS (1923 within Circle): http://worldcoingallery.com/countri...3) counterstamped 124&query=Costa Rica km 163 Thought you should know... Clinker
Cool pieces, interesting topic, Clinker! See, usually I reply to your trivia only when I think I can contribute something. Here I cannot - but keep those tidbits coming. Christian
Interesting info. That's an interesting approach. I wonder why they didn't just collect and melt the silver and issue brass coins in their place.
To chrisild, Art and k9coper: chrisild: Still GREAT to see your comment! Art: Afraid of bankrupting country in those years. K9coper: Only if defit spending in USA continues... Clinker
This is not a new concept btw. Large bronze and brass coins in ancient Rome were revalued. Many times the original coin was simply a flat disc by this point, but was counterstamped with a new mark of value and continued to circulate. I have one that the original is completely gone, and the counterstamp is only VG, so imagine how long this poor coin circulated!
Lots of countries have devalued currency in modern times but not coins. If you put your money into coins and this happens you'll be rich. It's too expensive to melt and remint coins. If hyperinflation ever starts in this country I will withdraw all my money in coins.
Brazil, at two different times, increased the value of its coins, and once decreased their value using counterstamps. To keep the post in "trivia" parameters I chose only to discuss Costa Rica's doubling by counterstamping, but Istill value your input... Clinker
