Definition of a Proof Coin

Proof coins are specially minted, early-issued coins struck by the government. They are now mainly marketed to coin collectors (numismatists, for those who want to get technical). Proof coins are high-quality versions of circulated (common) coins that are sold for more than face value.

History

Proof coins date all the way back to the 1850s. However, the proof coins of yesteryear were created for demonstration purposes and were not intended for circulation or collection. In 1943, the mint stopped production on proof coins, and it didn't resume minting them until 1950.

Identification

Proof coins are distinguished by their look. They're a more polished-looking piece and are often chemically treated to make the raised parts of the coin appear frosted; the non-raised sections take on a mirror finish.

Time Frame

When proof coins were first produced for collectors in the mid thirties, the penny was made of copper and the nickel of nickel. The dime, quarter and half dollar were all made from silver. In 1992, the mint began offering a special all-silver proof set to collectors at a premium price.

Types

In addition to the proof sets, the United States Mint began selling 1 oz. silver bullion proofs in 1986. Unlike the proof coins in the specially minted annual sets, the bullion coins are not legal tender and are used primarily as a way to invest in silver.

Other Special Coinage

In addition to proof coins, 'mint' sets are also produced and are available for purchase. Mint sets contain coins that haven't been circulated and that receive no real special treatment before being packaged for sale.

Misconceptions

Many believe that proof sets are of special monetary value. In actuality, very few will ever turn a profit. Many coins that are shiny and reflective are thought to be proof coins. However, those coins are usually made in the early stages of the minting cycle when the dies are fresh and new; those coins are not considered proofs.

Fun Facts

Before the coin's images are struck on the blanks, the blanks are highly polished. In addition to that, the dies used to cast the coin are also polished to give the coin the most brilliant finish possible.

Resources

• Read more at coins.about.com