The Lowdown on Low Ball Coins

Full Steps for Jeff erson Nickels

Full Steps (FS) PCGS designates Full Steps for Jeff erson Nickels that grade MS60 or better and show a full fi ve or six steps in the portrait of Monticello (Th omas Jeff erson’s home) on the reverse. To qualify for this designation, a coin must also have nomajor disturbances, including cuts and marks, to the separation of the steps. Full Bands for Mercur y Dimes

Full Bands (FB) PCGS designates Full Bands for Mercury Dimes that grade MS60 or better and show full separation of the central crossbands on the crossbands on the reverse. To qualify for this designation, a coin must also have no major disturbances, including cuts and marks, of the separation of the crossbands. Full Bands for Roosevelt Dimes

Full Bands (FB) PCGS designates Full Bands for Roosevelt Dimes that grade MS60 or better and show full separation of the upper and lower horizontal bands of the torch on the reverse. To qualify for this designation, a coin must also show no signifi cant cuts or marks across the horizontal bands. Full Head for Standing Liberty Quarters

Full Head (FH) PCGS designates Full Head for Standing Liberty Quarters that grade AU50 or better and show full detail of Miss Liberty’s hair (on Type Ones) or helmet (on Type Twos); Type Ones (1916-1917) must show a distinct separation between the hair cords and the cap. Type Twos (1917-1930) must show three complete and distinct leaves to the helmet, a complete outline to the bottom of the helmet, and a distinct ear hole. Note that on the ultra-rare 1918/7-S, PCGS will designate Full Head on coins that grade XF40 or better and that meet the Full Head criteria. Full Bell Lines for Franklin Half Dollars

Full Bell Lines (FBL) PCGS designates Full Bell Lines for Franklin Half Dollars that grade MS60 or better and show full separation of the lines on the bottom of the Liberty Bell on the reverse. To qualify for this designation, a coin must also show no major disturbances, including cuts and marks, of the separation of the bell lines. Prooflike Surfaces

Prooflike (PL) PCGS designates Proofl ike for coins that grade MS60 or better and show clear refl ectivity, i.e. mirrored surfaces at a distance of two to four inches. If the cartwheel eff ect or striations cause an area to lose clarity, the designation will not apply.

Proofl ike Surfaces

Deep Mirror Proofl ike (DMPL) PCGS designates Deep Mirror Proofl ike for Morgan Dollars that grade MS60 or better and show deep refl ectivity, i.e. deeply mirrored surfaces. Th e diff erences between PL and DMPL is one of degree.

No Grade Coins PCGS does not grade coins that are counterfeit, have been artifi cially toned, have had their surfaces altered, have been environmentally damaged, have been abrasively cleaned, have extremely large scratches, or have been repaired. Some allowances are made for ultra-rarities, Colonials, and Territorial gold coins, in which there are some instances when “net grading” is used by PCGS as a service to the numismatic community. PCGS Holder

No Grade coins are returned to the submitter with encapsulation.

Code Reason

82 Filed Rims 91 Questionable Color 92 Cleaning 93 Planchet Flaw 94 Altered Surfaces 95 Scratches 97 Environmental Damage 98 Damage No PCGS Holder

No Grade coins are returned to the submitter without encapsulation.

Code Reason

83 Peeling Lamination 86 Authenticity Unverifi able 90 Counterfeit 96 No Service 99 PVC Residue

Would you like further information about the PCGS Grading Standards, Designations, and No Grade Standards? View high-resolution images and in-depth videos for each at www.PCGS.com/grades. For PCGS Banknote grading standards visit www.PCGS.com/banknote/grades. Cameo Proofs

Cameo (CA M) PCGS designates Cameo for brilliant proofs that show light to moderate frosting of the devices. Both sides of a coin must have frosted devices to earn the Cameo designation. Deep Cameo (DCA M) PCGS designates Deep Cameo for brilliant proofs that display deep, even frosting on the devices of both sides of the coin.

By Joshua McMorrow-Hernandez

Th Thi is s 19196 64 4 K Ke en nn ne ed dy y HaHal lf f D Dololl la ar r g gr ra ad de ed d P PO O0101 b by y P PC CG GS S i is s t th he e s st tu uff ff ofof d dr re ea am ms s f fo or r a a l lo ow w babal ll l c cololl le ec ct to or,r, someone who seeks the lowest-graded coins they can fi nd. Courtesy of PCGS TrueView.

Did Founding Fathers Paul Revere or John Adams hold any of these well-worn coins from the 1790s? Possibly… Th e portraits are public domain images sourced from Wikimedia Commons, and the coin images are courtesy of PCGS TrueView.

Many coin collectors spend years, even decades, building the perfect PCGS Registry Set. Most frequently, this would imply collectors who are chasing after coins in the highest grade achievable. However, there’s a small yet growing group of collectors who endeavor to complete sets of coins of the lowest-possible grade. For them, perfection isn’t enumerated by a “70” but rather by a “1,” and as is so often the case, landing a coin graded PO01 can be just as daunting a prospect as seeking a PCGS MS70. So, just who are these collectors and what drives them to aim… Low?

Low ball collecting has been an emerging area of numismatics over the past couple decades. By some accounts, a few collectors and dealers were already chasing low ball coins as a formal pursuit by the 1980s. However, longtime low ball collector Christopher Lane said the origins of collecting extremely worn coins may date back more than a century. “I would guess that there were collectors back in the 1800s who put coins away that were worn out and that they thought were cool. One of the pioneers in the low ball genre, PCGS Hall of Famer Michael Hoyman, started with low ball Morgan Dollars well over a decade ago. I think the popularity has grown substantially in the past fi ve years, with it really getting noticed in the past two years.” For low ball collectors, an extensively worn coin is a manysplendored thing. “A pristine, uncirculated coin with a great shine or patina is beautiful,” remarked collector Dave LeBlanc. “But, to me, a very worn coin that got to that condition because it’s gone through hundreds or thousands of hands

Collector and fourth-generation dealer Andrew Edelman has a significant collection of low ball coins. Among these here is a unique Peace Dollar graded by PCGS with a handwritten label declaring it a “0.” According to Edelman, the specimen holdered three decades ago is “ the only PCGS ‘Poor- 0’ coin!” Courtesy of Andrew Edelman. over its lifetime makes me want to wonder where it’s been and what it has been used for.” Said the owner of some “well-worn” coins from the 1790s, “Since I’m from the Boston area, I have to wonder if maybe any of these were ever used or carried by John Adams, Paul Revere, or their contemporaries.”

The historic potential of some low ball coins has fourthgeneration Philadelphia dealer Andrew Edelman, himself a collector of these well-worn coins, remarking, “I love knowing that these coins were used and held for decades, and the stories that they could tell.” He added, “I also like low ball collecting because it’s a field that’s immediately accessible to everyone, on any budget. No matter what field collectors are interested in, they can start a low ball set and enjoy another facet of numismatics!” What Defines a Low Ball Coin? Broadly, the ideal low ball coin is one that has been worn to the point that the design is worn nearly flat but is still identifiable as to type, date, and mintmark. Many low ball coins fall into the range of Poor-1 (PO01) to About Good-3 (AG03), with some leniency in the range more inclusive of better grades for modern coins or series that did not circulate as extensively. A survey of low ball collectors provides more color. “Looking at the PCGS Population Report, there are some coins out there which the lowest graded is Fine…” explains Lane, who adds that the threshold of “low ball” isn’t necessarily merely defined by an arbitrary grade level, such as G4. “Looking at a particular coin where the lowest graded is

Morgan Dollars (left) and Peace Dollars (right) like these Poor-1 specimens dated 1881 and 1922 are two of the most popular coins for low ball collectors. Courtesy of PCGS TrueView.

Fine, then that is the lowest coin available if you are putting together a set of that coin’s series!”

LeBlanc says, “When talking about Classic Commemoratives only the Columbian and the Pilgrim [Half Dollars] have ever had more than 50 coins in total that have been graded by PCGS in the PO01-AG03 range. Th e lowest-graded Wisconsin and York [halves] are VF20 and VF25, respectively. So, for most commemoratives an AG03 or other low grade is an extremely tough fi nd or one that hasn’t been found yet.” He further explains, “For Morgan Dollars or U.S. type coins, most [examples] in the certifi ed PO01 and FR02 can be hard to fi nd, some easier than others depending on mintage. Most coins with the ‘CC’ [Carson City] mintmark can be tougher and are at a premium.”

Adds Edelman, “Th ere are certain issues that are just hard, oftentimes because of the wear patterns and how you still need a readable date to get them graded. I own one of only two PCGS PO01 Th ree Cent Nickels ever graded, which might surprise people that there’s only two.” Th en there are contemporary series that have seen little or even no offi cial circulation but nevertheless yield extremely worn specimens. How does that even happen?

“Most of the modern low ball coins are pocket pieces, although I have personally gotten a Sacagawea Dollar from a SEPTA (Southeastern Pennsylvania Transportation Authority) subway vending machine that is probably a low Fine!” says Edelman. He explains that American Silver Eagles with organic wear must have been pocket pieces as they are truly non-circulating. “But I could absolutely see an Ike or golden [Sacagawea] dollar naturally getting extremely worn, they are just extremely hard to come by. Th ere are other ways coins can gain wear, such as being stuck under a frequently used chair or seat, but most of the PO1 examples of modern coins were pocket pieces for many years.”

Th e dealer warns that low ball collectors need to be careful discerning between truly worn coins and those that were altered to look like they saw heavy circulation. “As low ball collecting becomes more popular and low population PO01 coins start to bring thousands of dollars, the prevalence of ‘artifi cially worn’ coins has started to increase.” Collectors are reminded they should stick to buying low ball coins certifi ed by PCGS, whose experts can distinguish between a coin that has received genuine wear versus artifi cially accelerated wear.

And it’s the type of wear itself that can drive a low ball collector’s ambitions. Th ere is the question of whether to collect so-called “straight-grade” coins (the kind that are

How did this 1971 Eisenhower Dollar see enough circulation to garner a grade of Fair-2? It may have been a pocket piece or could ’ve been used for many years in the Nevada casino circuit, where many Eisenhower Dollars circulated in the 1970s and beyond. Courtesy of PCGS TrueView.

certifi ed with only a grade on the label and no notes, such as “scratched,” “holed,” etc.) or those that carry damage. “Initially, I had no-date and holed coins in my low ball set, but I now enjoy my PCGS Registry sets, which dictate that the coins must be straight graded,” says Edelman. “You can absolutely enjoy low ball coins if they are holed or damaged, but I choose to stick with only straight graded coins at this time.”

LeBlanc, who also prefers “problem-free” low ball coins, says, “Th ere are a number of collectors that just look for holed, culled, or error coins, and that’s great. It’s just wherever someone’s interest lies.” How Low Can They Go?

Th e PCGS Set Registry recognizes a slew of low ball categories, with more on the way to meet demand. However, the most popular areas are clustered around the major U.S. series from the late 19th and early 20th centuries, with specialty interest for modern low ball eff orts, including sets of Kennedy Half Dollars and Eisenhower Dollars.

“I saw an Iowa [State Quarter] graded VG08 in an online auction and I was able to get it at a reasonable price,” recalls LeBlanc of his early low ball collecting ventures. “Th at started me working at putting together a low ball commemorative set. While slowly trying to fi nd some of the last coins to fi nish that set, I started collecting low ball Morgan Dollars and U.S. type set coins.

Lane is also pursuing a low ball type set, a 97-piece copper, nickel, and silver assemblage that he has “worked on for decades” and considers a monumental endeavor.

Edelman enjoys type sets, too. “I have the second-highestrated PCGS Registry low ball set for a complete 133-coin U.S. type set.” He also has a nearly complete low ball Peace Dollar set. “My original classic commemorative set will always be a work in progress, although that set is extremely competitive with a number of very serious collectors participating.”

A collector who goes by his Set Registry handle “Lopezjohn” says he started collecting coins and stamps years ago as a teenager. Now he is a PCGS Set Registry member who pursues among many things low ball Barber Dimes, which off er a mixed bag of challenges for collectors like him. “Barber Dimes are harder to fi nd in lower grades since they were used and used,” he noted of the coins, which were often worn beyond the point of attributing their date and mintmark. “Th e later years are harder since people kept them for silver and collections.”

A rarity in any grade, this 1930-S Saint-Gaudens Double Eagle graded PCGS AG03 sold for $44,400. Courtesy of Heritage Auctions, www.HA.com.

High Hopes for Low Ball Coins

Th e marketplace dynamics for low ball coinage isn’t really unique – it comes down to the function of supply versus demand. What’s diff erent and perhaps even perplexing for those not attuned to this aspect of collecting is how a coin graded Poor or Fair could realize a signifi cantly higher value than one encapsulated Fine, Very Fine, or even better. “When you get right down to it, some of these really tough PO01 coins are much rarer than their high-grade counterparts,” asserts Lane. “Th e high-grade coins were pulled from the mint, banks, etc. and carefully put away. Imagine a coin like a Th ree Cent Silver – small, thin, easily damaged, and oftentimes used as a screwdriver in the day! After all these years, how many survived undamaged, unmelted, and ended up in perfectly worn low grades?”

Observes LeBlanc, “A few years ago, I did a presentation at a coin club and I showed an MS65 Huguenot Commemorative Half Dollar valued between $200 to $250. While this was a very nice and collectible coin it wasn’t really rare since there had been over 1,700 graded at that level or higher. I then explained that there were four graded MS68 and only one at MS68+. I asked if anyone would like to have one of these rare coins if money was no object since the current price guides listed their values between $25,000 to $32,000. Th e ‘yes’ votes were unanimous. I then showed them a Huguenot graded FR02. Back then there were only four of these and only one PO01. Th e cost of these would be much closer to the cost of the MS65 even though they were just as rare as the MS68.” He noted that he received three off ers on his FR02 Huguenot Half Dollar at that meeting following his presentation.

Edelman says that as a dealer his experience in transacting low ball coins has been quite successful. “I’ve found the low ball coins I do decide to part with have sold very well. I think there’s a much larger collector base than some might expect, which makes me optimistic for the growth of this niche market.” He says interest in low ball coins is absolutely growing. “I expect there to be more collectors who realize it’s a very fun, cost-eff ective way to collect the coins they love!”

Joshua McMorrow-Hernandez has won multiple awards from the NLG and ANA for his work as a numismatic journalist and editor. He has been a coin collector since 1992 and enjoys all areas of United States coinage and U.S. minting history.

M A R K E T M A T T E R S Just Add Three Zeros

By Vic Bozar th

Market fundamentals, regardless of the particular market itself, are pretty straightforward. Is there demand for a product or a service? Is someone (or a company) able to provide that product or service at an acceptable price to the market while still making a profi t?

Product and service types tweak this demand/supply curve. Rare coins fall into a limited-availability end of the spectrum versus a good or service that can be easily manufactured, produced, or provided. Like many natural resources that are or will be in short supply, rare coins aren’t being made anymore. Yes, there is the exception of modern mint products, but we’re talking about (mainly vintage) rare coins here.

Rare coins are limited in supply. Some coins while advertised as rare are not – they are merely scarce or unusual. Yet, even these scarce and unusual coins often bring exceptional prices depending, once again, on the demand and if there are any available at that particular moment in the market.

Who cares if the price guide for an item is $1,000 and you know it’s undervalued? If you can’t buy one, what’s the point? On the fl ip side, who cares if you can get $1,000 each for a supposed common item if none are available at that price? It’s a moot point – no business in either direction.

At some point, the demand pushes the price to a level acceptable to a seller. Most of the time, it’s a combination of the seller wanting to realize a profi t and the buyer willing to pay a premium over the supposed market rate. Rare coins don’t fi t perfectly in this model either.

It all comes down to the supply. Especially with conditioncensus coins, the top 10 coins, of a particular date and type, don’t appear on the market often. Unprecedented demand often accelerates the number of condition-census coins to be off ered. We’re seeing great coins come into the market because the conditions are great!

So what’s diff erent about the market now? Th e singlelargest factor driving the rare coin market today is the sheer amount of money available to buy coins. Th e rare coin market in decades past had some millionaire collectors and investors. Now we have billionaire rare coin collectors – in other words, just add three zeros!

Th e surge in price for other high-end collectables too is no surprise either. Collectors and investors both are vying for historically signifi cant items because they represent tangible value. Maybe collectors buy rare coins because they love them. Maybe investors buy coins because coins are undervalued. Regardless, they are both buying.

Because the supply is limited, there are particularly elusive coins that are sought in all markets. Th e savvy collectors and investors know that if a particularly rare coin, almost always condition census, appears on the market the coin will bring a strong price, often despite the overall rare coin market itself. With rare coins, it often comes down to when… When will you be able to buy another?

Th e success or failure of a market, too, is dependent on timing. As long as the economy remains in an infl ationary mode as it is now, the rare coin market will continue to be a safe harbor for most collectors and investors.

Many collectors and dealers would pay more than book value to acquire a premium-quality coin like this 1928-S Walking Liberty Half Dollar graded PCGS MS66+. Courtesy of PCGS TrueView.

Vic Bozarth is a familiar face on the bourse fl oor to many who have attended coin shows over the last fi ve decades. He’s a self-described “coin wheenie” who has attended more than 1,000 shows and vast experience both buying and selling many of the fi nest PCGS coins. His numismatic knowledge as a dealer and collector provides a unique perspective on our industry.

Market Movers & Shakers

By Jaime Hernandez

Th e 1970-S Jeff erson Nickel in PCGS MS66FS, as seen here, is a hot item with blazing performance on the Market Movers & Shakers list. Courtesy of PCGS TrueView.

As we approach the end 2022, the modern coin market has remained strong. In this article, we will highlight some of the modern pieces that have performed the best over the past year.

Th e fi rst coin on our Market Movers & Shakers list is a 1970-S Jeff erson Nickel graded PCGS MS66FS. One might think that this coin would be very common in the MS66 grade or in better condition, since the U.S. Mint struck over 214 million examples. However, this issue is more commonly found with weak strikes or a myriad of other surface issues – nicks, scratches, etc. So, it can be a big challenge to fi nd an example above MS65, let alone with the Full Steps characteristics. PCGS has graded only 11 total examples in MS66FS (Full Steps), with none being graded higher for this issue.

At the same time, the highest-graded examples at PCGS for 1970-S without the Full Steps is MS67. So, the price of the 1970-S in PCGS MS66 jumping from $125 to $650, or a 420% increase seems justifi ed in this instance.

Th e second coin on our list is a very interesting entry. It is a $1 2014 Calvin Coolidge Presidential Dollar, Missing Edge Lettering. Th is coin happens to be the only graded example at PCGS in any grade, and it is graded PCGS MS65. In May 2014, it was discovered in a roll of 2014-D Coolidge Presidential Dollars and was submitted to PCGS. At the time, this was the only example of this issue known with the missing edge – an error found on other Presidential Dollars but not the Coolidge emission until that time.

Only one Calvin Coolidge Presidential Dollar has been graded by PCGS without its edge lettering. Are there any other examples of this rare error out there? Courtesy of PCGS TrueView.

C O I N M A R K E T F U N D A M E N T A L S Increasing Price Trend Persists for Top-Pop Coins, Market Prices Level Off for Some Coins

By Vic Bozarth & Mark Ferguson

Prices Prices for r some some coins, coins, li ik ke e Carson Carson City City Morgan Morgan DolDoll lars ars, , may may b be e softening while the market continues getting only hotter still for other entries. Courtesy of PCGS TrueView.

Affl uent Set Registry collectors continue to compete with each other at auction to acquire the highest-grade top-pop coins, pushing prices to new higher levels. Th ere’s been no let up in demand for the fi nest coins throughout the various U.S. series since this trend began about two years ago. Several billionaire collector/investors have taken an active interest in building the fi nest collections, and this capital infusion ripples through the coin market.

Higher prices at the top end of the market have allowed competing buyers to push prices higher for high-grade coins that fall short of being top pops. Adding to this price pressure from collectors is demand from dealers who need to make inventory purchases to replenish depleted inventories and to invest their increasing profi ts. While auction activity is easy to follow and track because it’s public, such private trades across the coin market aren’t. In our experience, private sales greatly eclipse the sales volume of public auctions. Price Resistance

Price resistance has begun to emerge for some costly coins in circulated grades, as well as for Mint State coins that are less than gem quality. For example, dealers have reported to us that Mint State Carson City Morgan dollars from the GSA Hoard are plentiful in the market, causing slight price softening. On the other hand, collectors are stretching at auction to buy scarce PCGS-graded circulated Liberty Seated coinage, which is an indication of a healthy collector base for those coins.

In other areas, softening precious metals prices have put downward pressure on mid-grade common coins like SaintGaudens Double Eagles that are closely tied to gold bullion pricing. Silver Eagle collectors have had to endure rising premiums over bullion prices that have climbed to around $12 per coin. But while premiums have remained high, lower silver bullion price levels have given collectors a break from a silver price that was higher than $26/ounce earlier in the year to signifi cantly less than $20/ounce as the year has progressed.

We have seen no indication that the coin market, in general, is poised for a major correction. Quite the contrary scenario is what we see. Th e coin market is still attractive to collectors and investors who want to park money. And this is especially true as the outlook for stocks remains weak. One barometer that showed strength in the coin market was activity at the American Numismatic Association World’s Fair of Money held in the Chicago area in August. Anecdotally, the bourse fl oor was teeming with people throughout the show until the last couple days. Not only that, the bourse fl oor remained well-attended toward the end of each day when it usually thins out late in the afternoon. Dealer Inventories are Star ved of Interesting Coins

A walk around the bourse fl oor at the World’s Fair of Money revealed a lack of interesting high-end coins displayed, compared to what was seen just two or three years earlier. About 20 years ago, as the coin market began recovering from the slow market endured during the 1990s, large auction companies became more successful in enticing better coins away from dealers, in that collectors who were selling found it more attractive to consign their coins to auctions rather than sell them to dealers. Previously, as prices continued to soften during the 1990s, auctions fell out of favor as the preferred way to sell coins, except for large famous collections.

Consignment to auction plus increasing demand from collector/investors who have been holding coins off the market for long periods of time has created a situation in which