Editor’s Note
This article offers a rare glimpse into the growing global market for vintage coins, detailing a preview event for a high-value auction in Japan. It explores what defines these collectibles and the exclusive world of coin auctions.
At the venue for Heritage Auctions’ “Coin & Luxury Department Auction Preview,” coins and jewelry scheduled for auction were densely displayed.
The so-called “collectibles” market, including art, antiques, coins, and pop culture items, reached approximately $360 billion (about ¥56 trillion) in 2020 and is projected to expand to $778 billion (about ¥120 trillion) by 2032. This represents an astonishing average annual growth rate of 5.4%.
Amid this trend, Heritage Auctions, the world’s largest collectibles auction company founded in the United States in 1976, held an auction preview and free appraisal event in Japan. Having started as a coin auction company, the venue was adorned with various precious coins and jewelry.
In everyday life, opportunities to encounter vintage coins are rare. What exactly are they?
Even within the term “coin,” there is a diverse range of types based on region, era, purpose (circulating currency, trial/prototype, collection/gift), and material. Furthermore, it is said that a coin’s value and appeal change based on various factors such as historical/artistic value, intrinsic metal value, and whether it has been professionally graded.
What prompts people to become coin collectors and enter the world of vintage coins? According to a representative from Heritage Auctions, the motivations for collecting coins can be broadly divided into two categories.
Even if the initial motivation for starting a collection differs, what ultimately happens?
At the auction preview, various coins were exhibited. Let’s introduce an example of a coin to be auctioned.
A crowd gathered around three coins expected to fetch particularly high bids.
The “Charles I Triple Unite MS63,” minted in England in 1643, was displayed as the main attraction of the venue. The historical background is that Charles I was in conflict with Parliament and used coins bearing his portrait as propaganda to demonstrate his power as king. It remains a valuable piece as a coin used for political purposes.
Its value lies partly in its large size of about 45mm. Despite being 382 years old, it is in excellent condition with no cracks or chips. The fact that its luster remains undiminished also contributes to its high value. It is said to be a coveted item for coin collectors worldwide, with an estimated hammer price of ¥45 million.
It is said that the value of vintage coins can be guaranteed and maintained by having them graded by a reliable, specialized coin grading service and then packaged in a dedicated, vacuum-sealed case.
After grading, they are sealed in a vacuum within a dedicated case. Because opening it could lead to deterioration, the winning collector is said to enjoy it in this sealed state.
Furthermore, renowned coin collectors commission grading services to create unique labels, and the presence of such a label increases the coin’s value. When a coin once owned by a famous collector comes up for auction, other collectors from around the world compete, driving up the final price. According to the representative:
The presence or absence of the barcoded label on the top of the case changes the value. The label’s design is apparently commissioned by the collector from the grading service.
It is said that if a vintage coin is polished even once, it may receive evaluations like “polished” or “cleaned,” potentially halving its value. A coin worth ¥10 million could drop to below ¥1 million.
Also, once a coin enters circulation, its surface can discolor due to temperature changes or skin oils. Coins that have never been polished since minting hold higher value, and it is important that they remain in a state close to when they left the mint.
Considering this, one can understand how precious it is for a coin over 300 years old to retain its original luster. It’s astonishing to learn that ancient coins, some over 2,400 years old, still exist.
A very rare pink diamond ring was also displayed at the venue, with an estimated maximum hammer price of ¥265 million.
With gold prices hitting record highs, more people are buying gold bullion. However, a friend was looking for something else, thinking it boring to make the same investment as everyone else. For such people, coin collecting might be the destination.
Learning about vintage coins is also learning about history. If one can gain knowledge in both investment and history, perhaps there’s no reason not to start.