Numismatics is the study and analysis of various currencies such as coins, tokens, paper money, and other coin-like objects such as medals. It’s a broad term that covers a lot of collectibles that can be broken down further into smaller categories.

Numismatists who focus on the study of coins specifically are well-known for the appraisal of rare coins. They research aspects of coinage, such as production, rarity, and monetary value.

Who Is a Numismatist? 

A numismatist is a term for a specialist in numismatics. The term is derived from the French word “numismatiques.” Numismatists are people who research the history and properties of coins and money. Some professional numismatists focus on specific periods, series, or other narrow fields of study, while others are generalists.

In the United States, a person who wants to become a numismatist can join the American Numismatic Association, complete a series of six courses, and pass a 200-question proctored exam. The program covers the basics of U.S. coin grading, detecting altered or counterfeit coins, and modern minting practices. There are several types of jobs available for professional numismatists in which ongoing training might be necessary.

What Is a Coin’s Numismatic Value?

A coin’s numismatic value refers to the amount a seller can reasonably expect to receive for the sale of a circulated, uncirculated, or proof coin. The numismatic fair market value is determined by the quality of the coin, how rare it is, and demand.

A numismatic coin is typically worth more than the value of the metal it’s made from. Some numismatists describe a numismatic coin as one worth at least 15% or more of its precious metal value. Essentially, these desirable rare coins have an external value that is more than the base value of the precious metal.

The value of these coins can increase over time as numismaticcoinage becomes scarcer and harder to find over time.

A Brief History of Numismatics

Numismatics is defined as the study of how people use money and the collection of coins, paper money, and other related objects. Although numismatics and coin collecting are often used interchangeably, the two are not the same. Numismatics dates back centuries, but coin collecting likely began as soon as currency was invented.

Ancient Coins

Collecting coins was an individual hobby before the 19th century and was mostly enjoyed by nobles, rulers, and the religious elite. Ancient coins were often used as leverage during trade negotiations or for gifting to guests.

The Renaissance

Around the Renaissance era of the 14th to 17th century, there was a coin-collecting boom as Europeans became very interested in the collection of coins from prior civilizations.

The Start of Modern Coin Collecting

As numismatics became increasingly popular in the 1800s, organizations formed across the globe, such as the Royal Numismatic Society in London and the American Numismatics Society based out of New York.

Dr. George Heath of Monroe, Michigan, was the visionary who gathered the team of five men that later founded the American Numismatic Association (ANA) in October of 1891. Since then, the American Numismatic Association has become the largest nonprofitnumismatic organization of its kind across the globe.

It all began in 1988 when Dr. Heath printed and published a leaflet, The Numismatist, where he listed the coins he needed and the duplicates he had for sale. He also discussed numismatic topics.

It was a big hit among coin collectors like him who lived in smaller towns and were not able to take advantage of the numismatic societies in large cities such as New York City, Philadelphia, and Boston.

The ANA now holds two numismatic conventions a year, where members can meet new contacts and exchange coins. The meetings have grown considerably since 1891. These get-togethers offer educational programs, auctions, junior member activities, and meetings of affiliated specialty organizations.

What Are the Main Numismatic Organizations?

There are several organizations to unite groups of numismatists. Whether for hobby or professional purposes, they’re all dedicated to the research, study, and advancement of numismatic sciences.

We previously mentioned the American Numismatic Society, founded in New York City in 1958, which aims to generate a public appreciation for coins, currencies, and medals. Since then, they have collected over 800,000 objects dating back from 650 BCE and put together an extensive library with some 100,000 numismatic books and artifacts.

Other notable numismatic organizations include:

• Archeological Institute of America
• Ancient Coins Collectors Guild
• The Professional Numismatists Guild
• The Royal Numismatic Society
• International Numismatic Commission
• The Canadian Numismatic Association
• Oriental Numismatic Society
• The Israel Numismatic Society
• The Czech Numismatic Society
• The Numismatic Association of Australia
• The Royal Numismatic Society of New Zealand

What Does a Numismatist Do?

Modern numismatists research the production and usage of coins and related currencies of the 17th century onward, otherwise known as the machine-struck period. Today, their study mainly serves the needs of coin collectors rather than curious historians.

Numismatists are typically interested in the different varieties of currency, mintage figures, mint-made error coins, and their historical context. Since there are so many different forms of currency and coins, the study of numismatics has been segmented into smaller subfields that focus on a specific type of numismatic collectible.

The most common categories are:

Notaphily: the study and collection of paper money and banknotes. Notaphilists are people who collect paper money and banknotes, usually as a hobby.

The word notaphily originated from the Latin word “nota,” which means “paper money,” and the Greek word philia, meaning “love.”

Exonumia: the study and collection of coins, medals, tokens, and other related objects used in place of currency. It’s mainly focused on badges, medallions, and commemorative items such as military medals.

The word exonumia is derived from the Greek word exo, which means “out of,” and nummus, translating to “coin.”

Scripophily: the study and collection of antique stocks, securities, and bond certificates for their historical value. Scripophilists collect these financial instruments for their rarity and historical significance.

The word scripophily is a combination of the English word “scrip,” meaning “ownership,” and the Greek word philos, which means “to love.”

Studying the Physical Properties of Coins

The precious metals used in U.S. coin production are specifically chosen because of their ability to last over a long period of time. The metals used have excellent wear resistance and anti-corrosion properties, but some fare better than others.

Precious metals such as gold and silver coins were originally used by the Mint to make coins, but due to the increasing costs of these metals, they’re only used now for bullion coins or collectors’ coins. Other metals such as copper, nickel, and zinc are most often used to make ordinary coins today.

Understanding the Historical Context of Coins

American coinage originated in the 18th century, and the history of their design and the materials used to make them reflect the growth and challenges of a growing nation.

Many coin collectors enjoy acquiring different types of metal currency, serving as representations of historical milestones and mementos of the nation's flourishing economic power.

A large number of sought-after coins stem from the California Gold Rush era in the 1840s and the discovery of gold in Colorado. At that time, there were a lot of logistical problems with disputes over the value and purity of gold and difficulties shipping the precious metal to Philadelphia to be coined.

In 1960, a building was established for stamping and issuing coinage in Denver by brothers Austin and Milton Clark and their friend Emmanuel Gruber. These gold coins produced at the facility from 1860 to 1861 were the first coinage “minted” on the West Coast and are now very important collectors’ items.

Determining the Value of Rare Coins

Most rare coins have a numismatic value that makes them more valuable than the average coin. Ordinary coinage, if made of precious materials, has a melt value calculated from the amount of precious metal they’re composed of.

If you want to find the value of a rare coin, you can start by reading books and articles on the study of coins. These publications usually have a lot of information on old, rare, and popular collectible coins. This could give you a general idea of a coin’s value, but it would only be an estimate.

If you want to find the true value of a coin, you’ll need to have it appraised. Some coin dealers are able to work off photos, but it’ll be more accurate if the dealer can see the coin in person for themselves.

Advising Coin Dealers and Coin Collectors

The Numismatic Guaranty Corporation (NGC) is one of the most popular and credible coin-grading services. The organization used the Sheldon grading scale to advise both coin dealers and coin collectors alike.

Coins graded by a reputable coin grading service are very popular among coin collectors because you can have full trust in their quality. Seeking a registered expert in grading coins can change the value of a coin by a huge amount sometimes.

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Sources:

What Is Numismatics? Meaning, Qualifications, and Example | Investopedia

Our History | American Numismatic Association

Throwback Thursday: The Collection of the Late Dr. George F. Heath | American Numismatic Association