Counterfeit coins, find out how we can detect counterfeit coins, What is the difference of fake vs real coins

Counterfeiting and Deception of coins, well some will call this the “second oldest profession” in the world. It has been there since 600 B.C when the first coin was struck in Lydia. The most popular method was mixing base metals. The most used practice was called “shaving” and “clipping” of coins. Precious metals such as gold were collected this way by the shavings and then to be made as a new counterfeit coin. Today it is very rare to find counterfeit coins, however there are coins making their rounds.

When paper money was introduced in China in the 13th Century they used the wood of mulberry trees to make paper money. Guards were stationed at Mulberry Forests to control access of paper and counterfeiting.
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Counterfeiting is imitation currency produced without the legal sanction of the Government, usually a deliberate attempt to deceive the recipient. It is perfectly legal for Countries like China to make “replica” coins from another country and they are always achieving better counterfeiting techniques .To create a basic skill set would help to avoid costly mistakes. If you are going to spend big money make sure and understand the risks involved.

1.Build up a relationship with a knowledgeable Coin Dealer.
2.Be careful of the “bargain”.
3.Third party graded coins has been verified either by companies like
NGC, PCGS or SANGS.

In South Africa you do get forgeries, examples would be the “van Niekerk” forgery when it comes to Ponde from The Z.A.R. era, or even some French Paul Krugerrands making their way just by examining the Nose. Tungsten seems to be a popular way to fake gold. Think about it you can have a tungsten bar or coin plated with 24 ct gold, who would cut their gold bar in half?Here is a link to find out more about tungsten https://www.tungsten.com/materials/tungsten/.

However, these occasions are rare and we have ways to test if gold and silver is real or not so let’s jump into the methods.

Method 1: Fisch Scale test – This a detection kit that is available at authorised coin dealers, this test enables you to determine the diameter and weight of the coin.
Pros: Quick and effective way to test a coin size and weight.
Cons: Tungsten Gold Fakes can pass this test.

Method 2: Ring Test - Living in the modern world we can test by downloading the mobile Application “Coin Trust App “which picks up Gold Frequency by hitting it with another coin or your fingernail. http://www.cointrustapp.com/en/app.php
Pros: Has the ability to catch Tungsten Gold Fakes. Cheap and effective way to catch bullion coins.
Cons: It does not measure size or weight.

Method 3: Magnet test – Tilt your bar or coin at a 45-degree angle and let a magnet slide over it. A Fake one will slide fast whereas real silver and gold will take the magnet much slower to pass.
Pros: Incredibly easy and cheap method
Cons: Can only test larger bars and is less accurate.

Modern Minting processes have enabled it to make it hard for counterfeiting to succeed. Processes which use computers, hydraulic presses and automated processes ensures that it is virtually impossible to distinguish any coin from the next.

In the quest of detecting fakes and forgeries is a lifelong process and keeping up to date and familiarising yourself with news and knowledge is always advisable.

Coins 101, find out why people are collecting coins. Whether it is for an investment or for a hobby.

Imagine a hobby that takes you on an adventure throughout the history of  time, commemorates heroes and significant events, expands your  knowledge on the vast differences between cultures and politics,  enhances your appreciation of the finer detail in art and can even last a  lifetime!

The mystique of coin collecting dates back to ancient times, when coins  gained their uniqueness from imperfections and served as a hobby for  kings and queens. Surviving into the modern world of today, this hobby  has become increasingly popular under both younger and older people of  age.

While many consider starting this hobby purely for the sake of an  enjoyable investment, others have developed a true love and fascination  in owning these miniature works of art. Each reason is uniquely  individual as each collector himself, but they all share one common  trait. The love for the coins which they collect.

Here are 5 reasons why coin collecting can be considered a worthwhile pursuit:

It is in our nature that we always tend to seek things that cannot be  easily found. Some collectors find pleasure in the quest to track down  some of the rarest coins. When budget is no obstacle, coins of any value  can be purchased. But the real challenge exists in the hunt for the  hard to find coins. Whether it be due limited mintages, significant  years or even personal preference, each collector has his own reason for  being magnetized to the “thrill of the hunt”.

In today’s turbulent world, coins can be considered a safe haven. Due to  the gold and silver content, the value of coins grow increasingly over  time. Most collectors appreciate the long-term benefits of coin  collecting, acquiring rare coins of high quality and reselling them  after they grew in value.

One of the most popular reasons for coin collection, is to commemorate  significant events. Coin collecting not only allows you to travel back  into history, but also to create special memories for the future.  Whether coins are meant to serve as traveling mementos, or purely for  the desire to own a piece of history, collectors recognize that coins  are much more worth than just their face value.

For some collectors, coin collecting has become the perfect hobby to  escape their daily lives and venture into history. Looking for special  pieces, doing inventory and sorting coins into categories, coin  collecting can serve as an extremely relaxing hobby for releasing stress  and enjoying the “quiet time” with the collection. This hobby can also  promote social interaction through coin clubs and social gatherings.

Besides coin collecting being both exciting and challenging, some  collectors do it to pass something on to their children and even share  the hobby with them. Not only has coins been proven to be a worthwhile  investment, but also carries special memories of history on to the next  generation.

Whether you are a coin collector or not, it cannot be denied that this  hobby is absolutely worth it. The best part about collecting coins is  that anyone can start at any moment with any available budget. Each  individual has their own unique reason for enjoying satisfaction out of  this hobby, but whatever the reason, it’s definitely worth a shot

Reasons Why People Collect Coins: Coins 101

Origin of money, find out more details about what the origin of money is.

Have you ever wondered about the first day of exchange and barter?

 Maybe how money was born? I welcome you to jump onto my noble steed called Tornado and back in time we go!

As we arrive into the 10th Century we are witnessing the exchange between a man who is busy " braaing" as we would say in South Africa which is our unique way of taking meat, putting it onto a grill and turning it to avoid burning it. 

Specimen B gets a whiff of this "braai" and wants to trade his berries for this. The only problem is that the "braai master" values his meat much more than berries and thus a problem. The berries forester even outlines the health benefits of the berries but to no prevail. a Trade seems highly unlikely, however the forester takes out his "shiny rocks" and immediately the Specimen A is attracted to this. It was scarce something he has never seen before, something that does not rust or corrode. Some might call this an immortal metal, but we shall stick to gold. Everyone valued gold and as the saying says: "as good as gold" kept its pound of flesh.

All was good in the land of trade until a new profession came along. Yes the thief was observing from a far that everyone valued gold and if they valued gold so much he should just aim for that and this will satisfy his every want and need. a High risk job one might say!

While the tradesman was out sourcing stock he left his gold unprotected and our next person of importance pops in and offers a solution which was hard to refuse. He offered safe keeping for the tradesman gold, for a small fee naturally.

At last the Gold Smith was created and with his new found power and "trust" the people have in him he can print notes or I.O.U'S like confetti so that people dont have the burden of carrying big bags of gold around.Example: The i.o.u. would state that I owe the bearer of this note 10 Gold Coins( If you go back into our history our notes use to be backed by gold,but now it would only backed by the government, you can make your conclusions from here.)

The Gold Smith figured out that he could write I.O.U'S without the amount of gold in the vault and on top of it ask interest on it with gold he never even had. How could anyone possible catch him out as no one would ever ask all their gold at once, unless everyone do ask for their gold at once. Wouldn't you know but the gold smith got caught out after the discovery of no gold in the vaults......

There are 3 things that you shouldn't do with man

1. Never mess with another man's woman.
2. Never mess with another man's ego.
3. Most importantly never mess with another man's money.

Yes back then they hanged them and they hanged them high, but not so much of what he has done, but an evil invention was born. an Ideology that would have the impact bigger than an atomic bomb.

Keep your eyes focused on the next post but not too focused as you might miss what is right in front of you.;-)

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