The Hidden Factors That Boost the Worth of Lunar Coins

Ever seen those Chinese New Year coins advertised and wondered what actually makes them valuable? Gold lunar coins are often advertised at prices above the value of the metal alone, and many people wonder why. They also want to know whether this makes them a good investment. After investigating the lunar new year collectables market to learn what gives year-of-the-zodiac coins their value, here are the five hidden factors you should know.

The Cultural Connection

Zodiac coin collectables feature symbolic images that have endured for centuries. And because they’ve already lasted for so long, we can reasonably expect the 12 animals of the zodiac to retain their deep cultural meaning in the future. This makes it more likely that people will be willing to pay for lunar festival coins in years to come, as opposed to collectable coins based on current events or trends, which may be forgotten in time.

Craftsmanship

Australian lunar coins come with a variety of complex designs, and the dedicated craftsmanship it takes to engrave these is what gives them an immediate value boost over the cost of their materials. This is the same reason jewelery is worth more than the sum of its parts, too. But lunar new year coins have an additional benefit, which is that because the zodiac animal changes each year, collectors are encouraged to complete full sets.

This means that demand is renewed each year, as new collectors try to buy the Chinese New Year coins they’ve missed.

Scarcity

We’ve mentioned how lunar new year collectables hold cultural significance, but so do everyday coins. So what makes the former worth much more? The other essential ingredient is scarcity. New year bullion coins are only minted in limited numbers, which boosts prices when there are a lot of die-hard collectors who’d like to get their hands on them.

Functionality

Gold and silver lunar coins can’t be used for everyday exchanges, but that doesn’t mean they serve no practical purpose. If you’re wondering how to buy gold and silver, they can be a very convenient option. They typically come in small, flat packages that are a lot easier to store than bars. 

Plus, if you have security concerns, you can only store a metal bar of a certain weight in one place. But the same weight in coins could be spread across many different locations.

Packaging

Perhaps surprisingly, it’s not only the lucky new year coins themselves that create the value of these collectables. The packaging they come in, which is often protective, themed and different each year, can increase their perceived value among buyers. Certificates of authenticity also often boost the value of lunar series commemorative coins in secondary markets.

Conclusion

Lunar festival coins are just one example of the many investment coins that are out there. However, their lasting cultural significance and the fact that they can keep being released year after year give them a couple of value-boosting advantages over other collectables. And now that you understand the hidden drivers of their value, you can decide whether they are a worthwhile investment for you.