Wednesday, April 29, 2015

Are Plastic Coins Coming?

     There was a time when some of our coins were gold. These coins were used as regular daily currency. Now there were a few enterprising types who could skillfully cut off part of the coin or sand it and collect some gold and then still use the coin. Some gold coins were found to have lost value! So the smart money stopped making gold coins.

    To leap far ahead of gold coins, we've recently quit using the penny in Canada. The penny cost more than a penny to make. As the price of copper went up, other metals were mixed in with the copper to make the penny. At the end of the penny's life massive numbers of pennies were sold as scrap copper.

     In the 70's the price of silver rose. Silver in dimes and quarters was mixed with lower cost metals. For  few years in the 70's massive amounts of dimes and quarters were worth more for scrap than their face value. Coin collectors watched in dismay as some valuable coins were destroyed.

    The nickel has fought the same battle. I don't know if there's any nickel in the five cent coin today.

    So I've started to wonder where we're going with our coins. Are we going to have a system of plastic coins with chips in them?  Will we eliminate coins and paper money altogether? How will we ever flip a coin? How will we ever have  a dime a dozen? How can we have a penny for your thoughts? What about plugged nickels? What will happen to "two bits?"

    It's surprising how much of our common sayings are derived from money.

    So what kind of coins do you see for the future?