Platinum has many applications, from industrial, automotive, and jewelry to being one of the four major precious metals people regularly invest in. Platinum coins have become popular for their collectability and as a way for investors to diversify their portfolios. Multiple government mints produce platinum bullion coins, creating a large market for investors and collectors to purchase them. On the flip side, if you have acquired one or a collection, you should know how to sell platinum coins.
Platinum Coins
Platinum coins evolved throughout history from a challenging material known to Native South Americans and European explorers to a prestigious medium for coinage. In the early 19th century, Russia became a pioneer in platinum coinage. Between 1828 and 1845, the Russian government minted platinum coins for general circulation in denominations of 3, 6, and 12 rubles. The coins were minted primarily because of the abundance of platinum deposits in the Ural Mountains. However, the practice was short-lived due to the difficulty of distinguishing platinum coins from silver and the fluctuating value of platinum.
In recent decades, countries worldwide have issued platinum bullion coins aimed at investors and collectors, such as the Canadian Maple Leaf and the American Platinum Eagle. These modern coins highlight platinum’s unique appeal and the technical advancements in minting, making them prized assets in the precious metals market.
| Coin Name | Issuing Mint | First Year Minted | Sizes | Purity |
| American Platinum Eagle | United States Mint | 1997 | 1 oz, ½ oz, ¼ oz, 1/10 oz | .9995 fine |
| Canadian Platinum Maple Leaf | Royal Canadian Mint | 1988 | 1 oz, ½ oz, ¼ oz, 1/10 oz, 1/20 oz | .9995 fine |
| Great Britain Platinum Britannia | The Royal Mint | 2018 | 1 oz, ½ oz, ¼ oz, 1/10 oz | .9995 fine |
| Isle of Man Platinum Noble | Pobjoy Mint | 1983 | 1 oz, ½ oz, ¼ oz, 1/10 oz, 1/20 oz | .9995 fine |
| South African Platinum Krugerrand | South African Mint | 2017 | 1 oz | .9995 fine |
| Austrian Platinum Philharmonic | Austrian Mint | 2016 | 1 oz | .9995 fine |
Getting Ready to Sell Platinum Coins
When you decide to sell your platinum coins, you must follow key steps to ensure you are fully prepared for a successful sale. This preparation involves understanding your coin’s value and its current market demand. Accurately presenting your platinum coins to potential buyers can make the difference between a lucrative deal and an underwhelming outcome.
Assess the Value of Your Platinum Coins
The value of platinum coins can vary based on several factors, including the current platinum price, the coin’s condition, and its rarity. To determine the initial value, you should first find out the melt price of your platinum coin. The melt price is the base value of the metal content if you melt the coin.
Melt Price = Metal Price/Ounce x Weight of the Coin in Ounces x Metal Purity
For platinum coins, this calculation typically results in values close to the current spot price of platinum since many coins contain one troy ounce of .9995 pure platinum. However, different fractional sizes of platinum coins are offered, so it is necessary to calculate accordingly to get an accurate melt value.
Platinum Coin Melt Price = Platinum Price/Ounce x Size in Troy Ounces x .9995 (purity of coin)
After calculating the intrinsic metal value, the following steps involve assessing the coin’s condition and verifying its authenticity.
Market Research
There are many benefits to investing in platinum, and knowing the basics will help you understand how to sell platinum coins. Do diligent market research to ensure you take advantage of opportunities to make the most money from selling platinum coins. Additionally, learn about the different types of platinum coins and how the type affects the value. Some types of platinum coins include:
- Proof Platinum Coins
- Fractional Platinum Coins
- Certified Platinum Coins
- Platinum Coin Sets
Each type of platinum coin can hold a different premium or have more value if sold as a unique set. Learn as much as possible to have the most success selling platinum coins.
Documents for Your Platinum Coins
Documentation is critical in the selling process of platinum coins. Retaining the original packaging, certificates of authenticity, and any appraisal or grading reports can significantly enhance the coin’s value and appeal to potential buyers.
The original packaging verifies the coin’s authenticity and suggests meticulous care, which is especially important for limited-edition or special-release platinum coins. Certificates of Authenticity, provided by the mint or issuing authority, offer essential details on the coin’s legitimacy and characteristics, boosting buyer confidence. Additionally, platinum coins appraised or graded by reputable organizations like the Numismatic Guaranty Corporation (NGC), or the Professional Coin Grading Service (PCGS) gain extra value. Such grading assigns a recognized quality to the coins, elevating appeal in the market.
Presenting these documents when selling your platinum coins ensures transparency and significantly enhances the trust and interest of potential buyers, leading to a more efficient sale. By completing these preparatory steps, you will be well-equipped to navigate the market confidently and make informed choices about how to sell your platinum coins.
Choosing Where to Sell Platinum Coins
Deciding where to sell your platinum coins is an essential step in the selling process. Each platform listed below offers unique benefits and potential drawbacks. When choosing where to sell your platinum coins, consider the speed of sale, the amount of effort you are willing to invest, and your desired financial return. Your decision should align with your specific needs and expectations.
Local Coin Shop
Selling your platinum coins at a local shop provides a quick and direct method. These shops usually employ knowledgeable staff who can assess the value of your coins and offer you an immediate price. The main advantages are the personal interaction and the opportunity for face-to-face negotiation, leading to a fast sale. However, the financial return might be lower than you could achieve online or by selling directly to a collector.
Online Marketplace
Utilizing online platforms such as eBay or specialized coin auction sites exposes your platinum coins to a broader audience, possibly fetching higher prices. Success depends on presenting your coins with high-quality photographs and detailed descriptions. Be mindful of any associated fees and shipping costs impacting your overall profit.
Collectors or Investors
Direct sales to collectors or investors may yield the most lucrative outcomes, as these individuals might pay a premium for specific platinum coins. Active participation in coin-collecting forums, attendance at coin shows, or membership in related groups can facilitate connections with serious buyers. This approach requires more legwork but can lead to a higher payoff.
Sell to APMEX
Selling platinum coins to reputable dealers like APMEX that deal in platinum bullion is a viable option. These dealers typically offer a straightforward selling process, providing expert quotes online along with simple instructions for shipping your coins. Selling to a trusted dealer can simplify the process, offering a secure and efficient way to liquidate your platinum coins.
Guide for How to Sell Platinum Coins
Selling platinum coins requires understanding the nuances of the market and the specific interests of different buyers. This guide outlines the process of how to sell platinum coins to local coin shops, online platforms, directly to collectors or investors, or reputable dealers like APMEX.
Guide for Selling to a Local Coin Shop
- Research Local Shops: Identify reputable coin shops in your area, focusing on those with positive reviews and a strong community presence.
- Prepare and Present Your Coins: Prepare your platinum coins in original packaging or protective cases. Present them in a way that highlights their unique features or aspects.
- Negotiate the Price: Arm yourself with knowledge about the value of your platinum and current market trends to negotiate effectively.
- Complete the Sale: Finalize the sale to receive payment, ensuring you obtain a receipt for the transaction.
Guide for Selling Online
- Choose a Platform: Select an online marketplace or auction site geared towards coin collectors. Ideally, choose a platform that attracts an audience knowledgeable about platinum coins.
- Create an Attractive Listing: Create an account to list your platinum coins. Use high-quality photos and a detailed description to make your listing appealing. Be honest about the condition and emphasize distinct characteristics.
- Communicate with Potential Buyers: Respond promptly to inquiries, as good communication can lead to better offers.
- Arrange Payment and Shipping: Secure payment before you ship the coins using an insured and trackable method.
- Keep Accurate Records: Maintain detailed transaction records for your personal accounting and tax purposes.
Guide for Selling to Collectors or Investors
- Network with Collectors: Connect with coin-collecting communities, both online and offline. Participate in coin shows, conventions, or forums to meet potential buyers.
- Present Your Coins: Showcase your coins attractively, focusing on their rarity, quality, and historical value.
- Negotiate: Engage in negotiations with interested parties. Staying informed about the market value of items you are selling will net the best results.
- Complete the Deal: Finalize the transaction using a secure payment method and obtain the necessary documentation.
Guide for Selling to APMEX
- Contact Us: Contact APMEX with details about your platinum coins, including year of mint, condition, certifications, and quantity.
- Get a Price Quote: Our industry experts will offer a price based on current market conditions and the specifics of your coins.
- Ship the Coins: Package your coins securely for shipment, ensuring they are protected during transit.
- Professional Verification: Upon receipt, experts will verify the authenticity and condition of your coins.
- Complete the Deal: After verification, the sale will be finalized, and you will receive payment and official sales documentation.
Selling platinum coins involves steps like those for gold coins but requires a keen awareness of the distinct market and demand for platinum. Following these guidelines, you can navigate the selling process to achieve the best possible outcome for your valuable platinum coins.
Paying Taxes After Selling Platinum Coins
Understanding the tax implications of selling platinum coins is crucial for a smooth transaction and avoiding legal pitfalls. Sellers need to be aware of the capital gains tax that applies to the profit made from the sale of these coins, in addition to any specific state taxes.
Accurate calculation of these taxes is vital for adhering to tax laws and regulations. Moreover, compliance with the reporting requirements mandated by the Internal Revenue Service (IRS) is essential. Neglecting to report income from selling platinum coins could lead to penalties and legal issues.
Seeking guidance from a tax professional is advisable to navigate the complex tax landscape. A tax expert can clarify the tax responsibilities of selling platinum coins, ensuring sellers comply with all relevant laws.
Maximizing Returns and Ensuring a Positive Experience
Selling platinum coins goes beyond merely earning profits; you also want a smooth and gratifying transaction. Here are tips to help you have the best experience and ensure an enjoyable process.
- Stay Educated: Continually broaden your knowledge about the platinum market and the trends among collectors. Being well-informed enables you to make wise decisions and identify lucrative opportunities.
- Market Timing: Although it is difficult to precisely predict market fluctuations, opting to sell when platinum prices peak can significantly boost your profits.
- Coin Maintenance: Store and handle your coins carefully to maintain their pristine condition. Platinum coins in superior condition tend to fetch higher prices in the market.
- Cultivate Relationships: Foster connections with purchasers, mainly if you anticipate selling more coins. Establishing trust with collectors or investors can lead to beneficial repeat transactions.
- Consult Experts: When uncertain about your coin’s value or the optimal selling period, seek advice from professionals or financial advisors specialized in precious metals.
- Confirm Buyer Authenticity: Ensure you are dealing with credible buyers. Opt for well-regarded coin shops or secure online platforms to minimize the risk of fraud.
Adhering to these tactics can help you navigate the sale of your platinum coins in a rewarding and fulfilling way.
