On "OMP" and "COAs" of Precious Metal Commemorative Coins

By Huang Ruiyong

Source: http://bbs.jibi.net/dispbbs.asp?boardid=212&Id=244038

First and foremost, judging from the trend and direction of coin collection, OMP and COAs are not of utmost importance to collectors. Let's see how foreign collectors view this issue. Milled coins made their first appearance in Europe and America, and were introduced to China only in the late Qing Dynasty. In the collection and research of milled coins, European and American collectors are far more advanced than we are. In Europe and in the US, collectors, connoisseurs and professional grading services treat lightly the OMP and COA of a coin. Instead the condition of the coin is the focus. A coin in excellent condition is hotly pursued even if it is raw. A coin in OMP with a COA will not sell at a higher price than a raw coin in the same condition.

Secondly, OMP of precious metal coins from the PRC is limited to certain historical periods. Many early coins did not have the so called OMP packaging, such as the 30^th Anniversary of the Founding of the PRC, the proof version of Year of the Child, the first set of the Bronze Age gold coins, and the International Year of Peace. Many BU Panda gold coins and large size coins and medals were simply sealed in a plastic pouch, such as the 1984 12oz gold Panda, the 1985 and 1986 Hong Kong Expo silver medals, and the 1986 Sun Yat-Sen 5oz silver coin. The so-called OMP came in fashion after the China Gold Coin Co. was founded in 1987. Our definition of OMP here is the coin sealed in a round capsule, which is in turn sealed in a plastic pouch. In recent years, many new commemorative coins followed the international trend, with a round capsule to protect the raw coin and no plastic pouches. A fixed number of coins are then placed directly into a rectangular or round coin plate, shown in pictures 1 and 2. We can conclude that the so-called OMP may well be the phenomenon for some specific periods in the history of precious metal coins and medals from the PRC. Nobody can tell whether coins released in the future will be sealed in plastic pouches.

Picture 1

 

Picture 2

 

Thirdly, does OMP really make sense? Many take the following as the advantage of OMP:

1.      If in OMP, the coin has never been cleaned.

2.      The vacuumed pouch can protect the coin from sulfuration or oxidation.

3.      Coins in OMP must be in perfect condition.

Are these true facts? Not necessarily! First, collectors or coin dealers can send early-year coins dipped in cleaning solutions to the mint for re-sealing if they know the mint well. That's why we find brand new external packaging on many coins issued years ago. Next, the plastic film used to seal coins is often made of polyethylene, PVC or polypropylene. Of these materials, polyethylene and polypropylene are harmless, but PVC is harmful. That means that coins sealed in PVC should have the plastic pouch removed. Besides, plastic pouches do not stay vacuumed or provide moisture protection. We often see early coins (such as lunars and Unicorns) with small bags of desiccant in the pouch, proving that the plastic pouch alone cannot isolate the coin from external air.

But the discussion above has not touched on the most crucial point. We may all have discovered that precious metal coins released in the last few years have a good fit with the round plastic capsule, and are well sealed. In the early years, however, the capsule did not close tightly. As a result, when we pick up the coin by holding the cover of the capsule, the bottom of the capsule may fall out with the coin. If there are no cushions or carpets underneath, it will be a disaster. Due to the loose fit of the cover of the plastic capsule, and also to the poor design of the capsules, many gem coins with high relief were damaged. Most frequent problems include the following: 1. Head rub, most often seen on 1987 and 1988 platinum Pandas, the 1989 palladium Panda, 1992 and 1993 1oz proof silver Pandas, 1994 5oz and 12oz Children at Play silver coins, 1990 Munich Expo gold and silver medals; 2. Nose rub, most often seen on 1990 BU and proof silver Pandas, 1993 1oz Sun Yat-Sen gold coin, 1993 Song Qingling silver coin (with signature); 3. Shoulder rub: 1989 Founding of the PRC gold coin; 4. Belly rub: 1984 Olympics Volleyball mirror and matte versions; 5. Bust rub: 1991 25^th Olympics Women Ping Pong Players. Many rare coins are not in good condition even though they are in OMP. The main culprit is the poor fit of the plastic capsule, which allows constant rubbing and bumping during transportation and results in serious damage of the coins.

Due to the subpar quality of the plastic capsules of our country, the capsules may have been shattered during frequent movement or long distance transportation, even if the coin is still in OMP. When this happens, the debris of the plastic capsule may roll around on the mirror field of the coin when we pick them up. If we run into coins in this condition, OMP should be removed without any hesitation. Otherwise the debris may scratch the mirror field of the coin.

The funny thing is that when we examine OMP coins from the Shanghai Mint or Shenyang Mint, we run into surprises from time to time, among which are seed shells or hair. Please see Picture 3.

Picture 3

Speaking from the perspective of a coin collector, many of the coins from earlier years do not have good plastic capsules, which need to be replaced by more professional plastic capsules or pouches, like in Picture 4. Generally speaking, capsules from Europe and the US have very good fit, especially those with black rings. It takes some effort to open the capsule once it is closed tightly. This will reduce the risk of the coin rubbing the plastic capsule during movement.

Picture 4

 

Next, we will talk about COAs. The so-called COAs for precious metal coins are nothing but a piece of paper with descriptions. As Mr. Ge Zukang said, a fake COA with a genuine coin does not falsify the coin, while a genuine COA with a fake coin does not turn the coin into a genuine one. Early COAs came in various forms. Even the paper used for printing COAs fell into different categories: Linen finished paper, card paper, coated paper… Only recently did COAs start to be printed on banknote paper with water marks.

Many coins were distributed by foreign companies, and the so called COAs were not printed by the People’s Bank of China. Instead, they were printed by foreign distributors, such as those for all the gold, silver and platinum Unicorn coins, Taiwan Scenery gold coin Set 1… The domestic COAs for such coins currently on the market were printed by Chinese dealers later on, but have been accepted by all. Besides, COAs for many coins were discarded by distributors in their business in early years, such as those for the Year of the Child silver and gold coins, the 1982 Soccer gold and silver coins, and the UN Decade of Women silver coin. We have gotten used to collecting these coins without COAs. As for the 8 gram lunar coins, the 1986 27 gram Sun Yat-Sen silver coin, the 1/2oz Three Kingdoms gold coins Set 1, 5oz gold Qi Baishi, the 1988 Woman Sword Dancer gold coin, their fake COAs are as good the genuine ones. Moreover, the fake COAs for the 12oz gold Snake, 1oz gold Dragon and the 1989 1oz silver Snake are better made than the genuine COAs. If the collector comes across the fake ones first and gains a false impression, he or she would throw out the genuine COAS later on. In this light, if undue emphasis is placed on the so-called COAs, those who are away from the Lugong and Madian Markets will get hurt most, because they do not have easy access to the physical coins, let alone catching the slight difference between fake and genuine COAs.

As King Chan once said, it would be more desirable to collect COAs as documents related to coins. COAs can still capture the heart of collectors for now primarily because the gold and silver coin and medal market is still a buyer’s market or a semi-buyer’s market. The COA is sometimes used as a tool for bargaining. Imagine that in the near future, if the precious metal coin market changes completely into a seller’s market, the COA will totally lose its function as a bargaining chip when a coin in perfect condition is madly chased by multiple collectors. At that time, finding a coin would be lucky enough. The collector may never see the coin again if he insists on COAs.

What COAs are worth collecting? Theoretically, it would be perfect if the coins we buy come with COAs or descriptions. But if there are no COAs at all, or coins with and without COAs have a big price gap, COAs are not an accessory we have to buy to feel happy about. The following COAs are well worth collecting: 1. Dunhuang Caves Discovery 100^th Anniversary silver coins are stored in a hard carton box in the shape of a 16k book. The COA is printed like a stamp mini-pane on 16k size paper, very pleasant to the eye; 2. The Founding of the PRC 20oz gold coin has its COA in the form of a magnetic card, very unusual and worth collecting, as in Picture 5; 3. COAs for the 1oz platinum and gold Snake and for the 1990 Dragon and Phoenix gold and silver coins were made into beautiful booklets, well worth collecting. In other words, if the COA of a coin is valuable both for artistic appreciation and for historical significance, it becomes an integral part of the culture of this coin. I suggest that collectors go for this type of COAs now. 

Picture 5

For beginners, please remember: “condition, condition, condition!” Condition is always the top concern for a coin. In addition to the coin, it would be great to collect anything that is valuable, such as COAs, posters, hand scrolls, designer’s drafts, plaster dies, steel dies, packaging from different distributors, phone cards, first day covers and jewelry. OMP should not be the focus, though. This way, we can make sure that we will not miss gem coins, and make steady progress on the journey of precious metal coin collection.

Links to Some Auctions in China over the Years

Here are some links for auctions by the auction house Dongfang Guopai in Shanghai over the past few years. Huang Ruiyong used to head its coin department. These auctions offer valuable price data and coin knowledge on modern Chinese coins. Google Translate does a decent job, except for "chapter" which should be "medal". Prices are given in Chinese Yuan.

4th Auction, June, 2009

http://translate.google.com/translate?u=http%3A%2F%2Fbbs.jibi.net%2Fdispbbs.asp%3Fboardid%3D70%26id%3D184497%26page%3D%26star%3D1&hl=en&langpair=auto|en&tbb=1&ie=gb2312

5th Auction, Jan., 2010
http://translate.google.com/translate?u=http%3A%2F%2Fbbs.jibi.net%2Fdispbbs.asp%3Fboardid%3D70%26id%3D195628%26page%3D%26star%3D1&hl=en&langpair=auto|en&tbb=1&ie=gb2312

6th Auction, July, 2010
http://translate.google.com/translate?u=http%3A%2F%2Fbbs.jibi.net%2Fdispbbs.asp%3Fboardid%3D70%26Id%3D204043&hl=en&langpair=auto|en&tbb=1&ie=gb2312

7th Auction, Jan, 2011
http://translate.google.com/translate?u=http%3A%2F%2Fbbs.jibi.net%2Fdispbbs.asp%3Fboardid%3D70%26Id%3D218951&hl=en&langpair=auto|en&tbb=1&ie=gb2312

8th Auction, Sept, 2011
http://translate.google.com/translate?u=http%3A%2F%2Fbbs.jibi.net%2Fdispbbs.asp%3Fboardid%3D70%26Id%3D228771&hl=en&langpair=auto|en&tbb=1&ie=gb2312

9th Auction, Sept, 2012
http://translate.google.com/translate?u=http%3A%2F%2Fbbs.jibi.net%2Fdispbbs.asp%3Fboardid%3D70%26id%3D240953%26page%3D1%26star%3D1&hl=en&langpair=auto|en&tbb=1&ie=gb2312

Some Fun Facts about Gold and Silver Lunar Coins from the PRC

by Huang Ruiyong
2008-01-01
Source： http://blog.sina.com.cn/s/blog_503fb35b010084bl.html

(Poem omitted)

The topic today is kind of big, making it challenging to write about.

As we all know, lunars are the biggest theme among gold and silver coins from the PRC. In addition, we all have our own lunar animal. This theme is an eternal one among the Chinese.

Since I am going to talk about fun facts, I will not pull a long face and discuss lunar coins in dead seriousness. Instead, it is better to get a pot of old wine or a nice cup of Longjing tea, and comment on them leisurely in the night breeze.

It was a quarter century back when the first set of lunar coins made their appearance: 8 gram gold Rooster and 15 gram silver Rooster. Since then, lunar coins have been released year after year. We feel that coins from some years leave a relatively deeper impression in our memory.

From the 1981 Rooster onwards, the convention was an 8 gram gold coin matched by a 15 gram silver coin, which remained undisrupted till the 1987 5oz silver Rabbit came on the scene. The rabbit couple by Liu Jiyou is truly gorgeous, leaving a lingering impression on us.

In 1988, with the official incorporation of China Gold Coins Co., lunar coins were expanded dramatically both in breeds and mintage, like the opening of flood gates of a reservoir.

This very year, 5oz and 12oz gold coins were launched with fanfare, and each had a mintage of 3,000 and 500 respectively;

The same year, 5oz and 12oz silver coins also made their appearance;

The same year, 1oz platinum, 1oz gold and 1oz silver coins were all released, like colorful flowers dazzling to human eyes.

Of course, the little brothers of 8 gram gold and 15 gram silver coins were dwarfed in the huge family now, watching their cousins in fear, not understanding how come so many powerful members had been added to the family overnight.

But the family of lunar coins without birth control ran into a stone wall in 1989. Due to diminished demand, as well as the political turmoil of the year, the 1989 Snake coins saw drastic cuts in mintage. This, as I said before, unexpectedly boosted the luck of the 12oz silver Snake, 5oz silver Snake and 1oz piedfort Snake, making them the undisputed star in their respective category.

Fast forward to 1992: Monkey coins of this year were all scaled down in mintage, and, starting from this year, 5oz and 12oz large size gold coins  stabilized at the mintage of 99 pieces each, while 1oz platinum coins stabilized at 300 minted pieces. The 12oz silver coins were settling down at 500 pieces, while 5oz silver coins stayed at the release mintage of 1,000. It looked as if lunar coins were buckling down, in an effort to restore their past glory.

Then came 1993. The second round of lunar coins made it to the stage. The 8 gram and 15 gram lunars completed their historical mission, and retired in glory. But, to maintain the diversity of the lunar coins, the plum flower coins were launched to the market in splendor.

Afterwards, big chunks of gold were released to add more weight to the lunar family, in order to impress collectors. So in 1995, the kilo Pig gold coin ascended the stage. It is plum flower shaped, and is simply called "big fat plum pig". This kilo lunar gold coin has a tiny mintage of 15, an extreme rarity.

The 1996 and 1997 mass craze over stamps, bank notes, coins, and cards aroused the interest of the issuing authorities, which expanded the product lines. Some of the 1997 Ox coins were issued in 1996, and 1/10oz gold coins as well as 1oz BU silver coins were added, too. The more breeds the better? I beg to differ.

After that, the 1998 colored gold Tiger and colored silver Tiger were released in late 1997, unveiling colored gold and silver coins in Mainland China.

The millennium happened to be the year of Dragon. Of course the King of All would not let go of this grand opportunity. This Dragon was as creative as its elder brother in 1988. 5oz rectangular gold and silver coins replaced their round shaped predecessors, and, lo and behold, fan shaped lunar coins were brought to the market, too.

The next year was the year of Horse. We all know the phrase "vigor of a dragon or a horse." This shows how closely they are related. The Horse was pondering: If you Dragon could add to the breed, why can't I make a big name for myself in history? Why not? And so the kilo silver Horse came out of the blue, adding a new member to the lunar family.

But both Dragon and Horse were totally overshadowed by the upcoming third generation Pig. The kilo Horse was the top coin among lunar silver coins, but before the 10 kilo gold Pig, it was pathetic besides being tragic. Starting from the third generation Pig, lunar coins would send a chill down our spine.

So much for the genealogy of the lunar coins. Next, let's pick out some of their fun facts.

We notice that the expertise in the design of lunar coins has been widely varied and perplexing. Not only the early coins, but many new coins are jaw-dropping in the consistency of their design. Here are a few examples:

Take the lunar kilo silver coins. The big brother is the kilo silver Horse, which made quite a sensation when it was launched. I took a few careful looks at it. The obverse is the Great Administration Hall of the Shenyang Imperial Palace, a great historical building. Good choice!

But the following Sheep perplexed me. How come the obverse changed to stone figures on the eaves tile of the Han Dynasty? Where did the historical building go?

The year after, paper-cut patterns magically made it to the obverse of the Monkey coins, which continued to the year of Dog. This got me into thinking: too bad for the committees who review the designs and patterns of Chinese gold and silver commemorative coins. There are no real gold and silver collectors among them for sure. Otherwise, how could any true collector approve these inconsistent designs? In analogy, a truly great painter has to be a top collector first. If Zhang Daqian had not collected paintings by Dong Yuan and Shi Tao, his ink and color paintings could not have been this sharp.

Let's go back to the first round of plum flower lunar coins. Alas, the onset of the second round of plum flower coins got their elder brothers into trouble.

Among the first round of 1/2oz plum flower gold coins, the 1993 Rooster was made in 24k gold. But from Dog on, Pig, Rat, Ox, Tiger, Rabbit and Dragon were all 22k gold. It would be OK if this spec continued. But the naughty plum flower gold coins had their own mind. So from Snake on, till Monkey, the coins reverted to 24k gold. OK then. As if by design, this family is split into two teams: the 24k team has 7 members, and the 22k team has 5 members. They are basically balanced in force. Discipline does not apply where there are too many violators.

If the first round of plum flower gold coins still exercised some professional discipline, their silver little brothers acted just on their own free will, without any sense of shame.

There was nothing extraordinary from the 1993 plum flower silver Rooster to the 2000 plum flower silver Dragon. They were all 2/3oz, 90% silver. When it came to Snake, the little brother of Dragon, there was a dramatic change in nature, even in the technical specs. From Snake up to Horse, Sheep and Monkey, all were 1oz 99.9% silver, which is extremely disturbing. The poor collector's exquisite ready-made coin box now became the unbearable lightness of being.

Equally puzzling are the 1oz platinum series. Platinum is too expensive to be used for commemorative coins. It is possible that the existing series of platinum lunar coins will become rarities with no successors.

Among the platinum lunar coins, the 1oz platinum Dragon has the Great Wall on its obverse, but from the 1oz platinum Snake on to the platinum Rabbit, the obverse changed to the national emblem. The series would look harmonious enough if we treated the 1oz platinum Dragon as an exception.

But if we look into the details, things turn out to be messy, because we find that the national emblem has both the frosted and non-frosted versions. They become an eye sore when placed together. Snake has no frosting, while coins from Horse to Pig are frosted. But frosting is missing on Rat to Rabbit. What can I say? Just a sigh.

As for the release mintage, the changes are gut-wrenching. Here are some examples:

The 1/10oz gold lunars started in 1997, with Ox at 48,000 minted pieces.  Tiger, Rabbit, Dragon, Snake, Horse and Sheep followed closely, for fear of being left behind. But the second generation Monkey thought well of its own IQ, and, taking advantage of human weakness, boosted its mintage to 60,000.

1oz BU silver Monkey was as undisciplined. Its elder brothers all had a mintage of 50,000. But this guy self-promoted its mintage to 80,000, making our blood boil.

As for the 12oz and 5oz gold lunars, as well as 12oz and 5oz silver lunars, why did the initial disorder finally get sorted out? The credit goes to the 1992 Monkey. Its position among lunar coins can be compared to the feat of reviving prosperity in the mid Han Dynasty, keeping the upcoming releases in good order. 

The 12oz and 5oz round lunar gold coins are very elusive as a complete set. Starting from the gold Monkey, their release mintage stabilized at 99 pieces. The actual mintage fluctuated between 102-105 pieces. But there were exceptions. For example, due to the market collapse in 1997, the actual mintage of the 12oz gold Ox was a mere 64, the smallest number among 12oz lunar gold coins.

Of course, there are some embarrassing facts that we have to mention. I am not sure whether we should laugh or weep over them.

If anyone wants to collect the whole series of 5oz round lunar silver coins, the following fact looks puzzling: the 5oz silver luars started with the 1987 Rabbit, and ended with the 1999 Rabbit. Contrary to expectation, the whole series consisted of 13 pieces of 5oz round silver coins.

The crafty Rabbit dug two holes leading to his burrow. What a heck! This leaves us collectors scratching our head. Should we collect the series from 87 to 98, or from 88 to 99? It will be long before anyone can come up with a good answer.

The first round of plum flower lunar coins also went awry in the end, wrecking their reputation. From the 1993 Rooster, the obverse was well-known historical buildings, such as Wangjianglou in Chengdu on the plum flower Rat, Mingyuanlou in Nanjing on Ox, and Guanquelou on Snake. But then we have eaves tile figures on Sheep and paper-cut patterns on Monkey. The reputation previously built was totally wrecked in the end. Sad. A sigh.

I asked a lot of people in private for their ranking of the lunars. Here are the results:

Gold coins:
1.  8 gram lunars
2.  5oz round gold coins
3.  12oz round coins
4.  1oz round coins
5.  First round of plum flower gold coins

It should be specially noted that the 5oz round gold coins are actually enlarged 8 gram lunar coins. They all have Chinese paintings on them, and were exquisitely made. The only pity is that few people have the luck to see them now. We can only enjoy them in catalogs.

The ranking of silver lunar coins is:

1.  15 gram lunars
2.  12oz lunars
3.  5oz lunars
4.  1oz piedfort lunars
5.  Plum flower lunars

Platinum lunars have their own place, and they are all gorgeous coins.

Careful readers may ask: Why are 12oz coins ranked higher than 5oz coins among silver lunars? It is because among round gold coins, the 5oz ones are almost as rare as the 12oz ones. But silver lunars have a different story. The 12oz lunars are rarer than the 5oz ones. Naturally their overall ranking should be higher.

I will give two more fun facts.

1.  Large size coins have a smaller denomination than that small size coins on the same theme, in the same year. This goes against logic, but the lunar coins managed to pull it off, from 1988 to 1992. The 8 gram gold Dragon is 150 Yuan, but the 1oz gold Dragon is 100 Yuan; similarly, the 8 gram gold Monkey is 150 Yuan, but the 1oz gold Monkey is 100 Yuan. Unique.

2.  In general, gold and silver coins share the same design for the same theme in the same year. The difference is the denomination. The lunar coins basically followed this convention, with the following exceptions: 8 gram Ox and 15 gram Ox, 8 gram Dragon and 15 gram Dragon, 8 gram Horse and 15 gram Horse, 8 gram Sheep and 15 gram Sheep, 8 gram Monkey and 15 gram Monkey. That's all.

Now how do we collect lunar coins?

1.  In sets: for example, if one is to collect 5oz gold lunars, 12oz gold lunars, 12oz silver lunars, or platinum lunars, it is very difficult to buy individual coins to build a set. It is much better to bite the bullet and buy the complete set. It is cost-effective, too.

2.  Build sets from individual coins: this is good for 8 gram lunars, 15 gram lunars, 1oz gold and silver lunars and plum flower lunars. Building a set brings back the fun of stamp collection when we were young. As the collection grows, we gain a sense of success and satisfaction.

3.  Collect one's own lunar animals: Those born in the year of Rat will have a relatively tougher time, while those born in the year of Snake will find it easier. But this toughness and easiness are dynamic, because it is the supply and demand relation that determines the price.

4.   Collect the first coin in the series: for example the 8 gram gold Rooster, 5oz round gold Monkey, 12oz silver Snake, the kilo silver Horse, and so on.

5.  Collect award winners: for example the 15 gram silver Dog (World Best Crown Coin), 8 gram gold Rooster to 8 gram gold Ox (Gold Cup Winners in the Hundred-Flower Awards for Arts and Crafts), and the 12oz silver Dragon (World Best Silver Coin).

There are two series that I have to mention, for collectors focusing on particular features.

1.  The first round of 1oz piedfort lunar silver coins (1988 silver Dragon to 1999 silver Rabbit) belongs to the piedfort sector. Thumbs up. (I have a dedicated article on piedfort coins.)

2.  1/10oz colored gold coin series (from colored gold Tiger to Dog) belongs to the coin alignment sector. (I will have a dedicated article on coin alignment later on.) What is amazing is that the 1/10oz colored gold lunars have both the coin alignment and medal alignment types, adding to our fun of collection.

The problem with the 1oz gold lunars is that the mirror fields were not well struck. Dragon, Snake and Horse are all subpar.

Similarly, the first round of plum flower coins is a regret. Due to issues in the technological process (Dog, Ox, Tiger and Rabbit are very crude, looking like BU coins), the wonderful theme was just wasted. From that perspective, each and every one of the 8 gram lunars is a gem.

Why do we say that the 8 gram lunars are superior to other lunar coins? Let's take the example of Snake, the animal most difficult to depict. The 8 gram gold Snake is a masterpiece from the venerable master Qi Baishi, selected from several hundred snake paintings. It looks casually painted, but in fact it embodies profound mastery of art. The Snake by Ma Jin in 1989 lags by a big margin. But if we look at the snake painting from a group of designers in 2001 (Fu Lili, He Jun, Bai Limei, He Jie, Liu Tao, Yu Xiawei), Ma's Snake is obviously better.

Similarly, the 8 gram Rooster is from Xu Beihong, and is the most expressive one among rooster paintings by Master Xu, because the 1993 plum flower gold Rooster also from Xu Beihong is not on a par with the 8 gram Rooster, not to mention Roosters from Bai Ming and Liu Kuiling.

As there are too many lunar coins, we will just pick a few packages and COAs to talk about.

The China Gold Coin Co. made awesome coin set boxes for 1oz gold, platinum and silver lunar coins, which were distributed by Taisei Coin Corporation of Japan. The outside is a yellow silk box, and the inside is a red wooden box. It is said that the packaging, although a little crude, was made in Wenzhou. There are 12 cells around the red box, for holding 12 coins clockwise or counter-clockwise. In the middle of the 12 coins, a round cell is ingeniously created, for holding a bronze medal for the 12 lunar coins, which was designed by Zeng Chenghu and Chen Jian. Very interesting. In addition, there is a drawer at the bottom of the box, for storing COAs. This box is well worth collecting.

Also, Taisei, the distributor of 8 gram lunars and 15 gram lunars in those years, placed an order for teak wood boxes with Thailand. There are two layers in the box, the upper layer for coins and the lower layer for COAs. Very cute.

Packages for 5oz and 12oz round gold and silver lunar coins should be mentioned, too. The wooden box (for Dragon) is unique with a printed image of two dragons playing with a ball. Other coins, like Snake, Horse, and Sheep, are all packaged in a crude outside paper box and an inside wooden box. Not appealing to eyes.

Platinum lunar coins deserve special attention. First, we find that the mint was changed, from Shanghai Mint to Australia minting for China. One of the reasons given was that since China did not have much platinum, minting the coins in Australia would save the trouble of importing the raw material. But this cannot be a serious reason, because we did have the capability to mint platinum lunar coins, unlike the early colored gold coins, which were outsourced because China did not have the technical process in place.

Platinum lunars minted in Australia were not placed in a capsule in an outside plastic pouch, like coins from the PRC. Instead, the platinum coins were sealed in a square plastic capsule, much like the slabs from US grading services. It is fun to look at. Or raw coins were packaged in soft pouches. This left the coins with no hard-shell protection. Truly worrying.

From 1988, platinum, gold and silver lunar coins were marketed together. As a result, 1oz platinum, gold and silver coins were sold in a set. Every year, 100 such sets should have been issued, but I have never see the sets starting from the 1993 Rooster. If any collector friend has information on them, please share. Thanks!

Talking about COAs, I am most impressed with those for the platinum and 1oz gold coins. COAs for these two series are very similar. Among them, COAs for the platinum and gold Dragon and Snake coins are large in size, with very exquisite wave-like luster. Beautiful and magnificent. The 5 smaller COAs for Horse, Sheep, Monkey, Rooster and Dog are not bad either. The remaining 5 COAs for Pig, Rat, Ox, Tiger and Rabbit have nothing special, worse than before.

The commemorative gold and silver kilo coins for the issue of 8 gram lunars are both extreme rarity. They are hard to find. The silver kilo coin has two varieties, with obvious differences in the rocks on the Baita Hill and in the wave lines on Beihai. They were the first kilo silver coins from the PRC, which had little experience in minting large coins. It is said that the die broke during minting, and re-strikes were made in 1997.

The 1999 kilo silver coin commemorating the 1oz lunar coins (1988-1999) has totally disappeared from the market. A rarity to be treasured! There is an error in the coin design: it is supposed to commemorate the 1oz lunar coins, but the Dragon coin on it does not have the 1oz gold or platinum Dragon design. Instead, the design on the 12oz silver Dragon is used. Even though the 12oz silver Dragon was the winner of a world award, designers should not have given it a green light, allowing it to rank among 1oz gold and platinum coins, spoiling the pure breed!

There are too many facts to talk about on lunar coins. It is absolutely impossible to exhaust them all at once. I will end here. Thanks for your time, everyone.

Exploring the Technical Process of Minting Precious Metal Coins in China and Early Sand Blasted (Matte) Coins

By Huang Ruiyong
Source: http://bbs.jibi.net/dispbbs.asp?boardid=91&Id=53783&page=3

Translator's note: "sand blast" refers to the process to produce effects normally known as "frosting" and "matte" on coins. Since the term "sand blasting" is used in Chinese to cover both, I am doing a direct translation to be consistent. English readers should be able to figure out when it refers to frosting and when to matte. Also, I added some pictures to the original post to show some of the coins.

Silver coins are small and delicate,

Requiring highly sophisticated minting process,

Mirror fields and frosting are both gorgeous,

Sand blasting is especially important.

Year of Children takes the center,

Followed closely by Soccer and Volleyball,

Alpine Skiing is most lovely,

All glitter on the dome of sky.

A poem to the tune of Qingpingyue

Good evening, everyone. The topic tonight is the technical process, and sand blasted coins of the early years from the PRC will also be discussed in the meantime.

This is a very important topic. For coin collectors, understanding the technical process is like learning how to swim. With such understanding, they can feel at home in the ocean of precious metal coins.

First let's discuss the technical process.

We all come across two simple terms from time to time: proof coins and BU coins. Probably every coin collector can give some features of these two types of coins, but what are their accurate definitions?

In general, "BU" comes from "Brilliant Uncirculated" in English, meaning uncirculated coins with mint luster. On the other hand, "proof" in English means "minted with great care."

Now we run into a problem, because in our country, collectors normally distinguish BU coins and proof coins based on the mirror field. Coins with mirror fields are considered proof coins, and coins without mirror fields are normally treated as BU coins.

However, internationally many coin catalogs and numismatists hold a different view than the criterion above. In reality, we cannot use the mirror field as the only criterion for proof coins against BU coins.

Let's look at BU coins first, and return to proof coins later.

BU coins fall into the following categories:

1. BU coins with mint luster, "BU" in its true sense. These are coins struck under pressure, with mint luster, such as the Fat Man, and Sun Yat Sen coins;

2. Coins treated with sulfuration, with the color of ancient silver, which results from the reaction of silver to potassium sulfide solution. These coins can be played with in hands, such as the Beijing International Coin Expo coin;

3. Common BU coins, such as BU silver pandas in several years, Auspicious Matters, and some Guanyin coins. These coins do not have mirror fields in the strict sense, with a dull surface that cannot reflect human images.

Are sand blasted coins included in BU coins? It is premature to reach a conclusion now. Let's see how sand blasted coins are minted.

Many coin collector friends are mistaken in their understanding of the technical process for minting sand blasted coins. This is the process in their understanding: Working dies, usually made of steel, are needed to mint milled coins. But many people may think that striking machines apply pressure on the die, to produce coins with mirror fields from silver planchets, and then fine sands are blasted through a high pressure gun on the coins, to form sand blasted coins.

But this understanding is wrong. If the minting process followed these steps, we would see that:

1. Silver coin production is highly costly;

2. The surface of the silver coins will look very unsightly, like a human face ravaged by small pox, with little pits and hollows everywhere.

What is the correct technical process to mint sand blasted coins? There are two approaches.

1. Blast fine sands evenly to the working die, and then strike to produce sand blasted silver coins;

2. Mint mirror coins with a mirrored working die, and when the production quota is met, blast sands on the working die, to strike sand blasted silver coin in the same fashion.

People may ask: why there are different effects among sand blasted coins? They have this question because some of the sand blasted surfaces are dark, which we call "dark sand blast", and other sand blasted surfaces are bright, which we call "bright sand blast." Examples of each include the kilo silver Horse, 8 gram and 15 gram lunars, and dodecagonal coins.

The answers are:

1. Sands used are different. Slightly different sands can lead to various appearances in color and luster;

 2. How long the working die has been used. Freshly sand-blasted working dies leave a striking effect on silver coins. With more coins struck, the sand-blasted effect will diminish gradually.

Now that we know how sand blasting works, let's come back to the discussion of proof and BU coins.

Proof coins require meticulous workmanship. It is true that a high quality mirror field is a sign of such meticulous workmanship, but I tend to believe that some coins can qualify as proof coins based on their finely sand-blasted surface. For example, the 2oz Longmen Grotto silver coin does not have any mirror field. Only sand blasting and anti-sand blasting technologies were used on it. For this reason, we can define this type of coins as proof sand blasted coin.

(Longmen Grotto)



The same goes for the colored Red Cross silver coin and the 2oz Maijishan silver coin. They both have one mirrored side, and the other side is sand blasted. But they are definitely proof silver coins.

So at this moment, we should all be clear about the definitions of proof coins and BU coins. Please note that the mirror field cannot be used as the sole criterion to distinguish the two, just as market economy is not the only criterion between socialism and capitalism.

Now that we have the sand blasting technology, its twin brother anti-sand blasting technology would be naturally invented in time. What is anti-sand blasting, then?

Everyone knows that sand blasting was invented for the relief part on precious metal coins. The bottom of the coin is a mirror field, and the relief is sand blasted. This brings out the best contrast on the coin.

But how about sand blasting the field of the coin, while leaving the relief part bright and shiny? It has been proved that if the technologies are aptly applied, this kind of coin is also eye catching. This process is what is normally known as "anti-sand blasting."

The anti-sand blasting technology was first applied on the 1992 panda gold and silver coins. Before that year, the Temple of Heaven occurred on the obverse of all panda coins, in the form of a sand blasted image. Starting in 1992, onto 93, 94, 95… the Temple of Heaven changed to the anti-sand blasted form, to the great joy of panda fans.

(1993 silver Panda)


Talking about the anti-sand blasting technology on panda coins, we are obliged to highlight the painstaking efforts by metal coin designers of our country. We all know that the 83 gold Panda designed by Mr. Chen Jian won the honor of Best Gold Coin international award, which laid a solid foundation for Chinese precious metal coins to be recognized internationally. Mr. Chen Jian made use of raised and sunken surfaces in the engraved image to mimic the black and white color of pandas. But after that, due to the continuous releases of panda coins and medals, all panda movements were presented on the coin, in an effort to avoid repetitions: pandas playing, drinking, having fun with water, mother and cub, strolling, eating bamboo… What was missing might just be pandas relieving their bowels. What was the way out?

Fortunately, the anti-sand blasting technology came to the timely rescue in 1995. After that, panda's black and white colors are presented in greatly enriched ways. Starting from 1995 till now, the anti-sand blasting technology has been used to show the cuddly pandas.

（1995 Panda)


Apart from the panda coins, anti-sand blasting was applied to other themes as well: the river next to the girl on the 1992 Environmental Protection silver coin, the 1997 Peacock coin, and the flyover on the 2002 Beijing Coin Expo coin. But the most applaudable application of the sand blasting and anti-sand blasting technologies was the 100th Anniversary of the Dunhuang Caves Discovery silver coin set. The Sixteen Country Flying Apsaras, the Beiwei Flying Apsaras, the Xiwei Flying Apsaras, the Beizhou Flying Apsaras, the Sui Dynasty Flying Apsaras and the Tang Dynasty Flying Apsaras float through the sky gracefully, or appear with a dignified bearing, or rise with the wind. All this, in addition to the most exquisite packaging, is intoxicating beyond description.

(1992 Environmental Protection)


(1997 Peacock)


(flyover on the 2002 Beijing Coin Expo coin)


(Sixteen Country Flying Apsaras)




Sand blasted silver coins that leave the deepest impressions on me include the following gems (many of which are award winners):

1986 27 gram Sun Yat-Sen: this is a coin with coin alignment. The sand blasting effect of Sun Yat-Sen's head portrait exceeds that on most coins released in the 20 years since then.

(1986 27 gram Sun Yat-Sen）


1990 Woman Diving: the elegant figure makes a beautiful curve in the air. It was absolutely qualified for the Ten Best in the world for that year.

(1990 Woman Diving）


1993 5oz and 20oz silver Peacock: every feather is strikingly carved in great detail. The master piece from Giuseppe Castiglione well deserves its fame.

(1993 5oz Peacock)

2001 Dunhuang Tang Dynasty Buddha: the holy appearance is both stately and life-like. One can never over-praise the World's Best Coin that combines high relief, sand blasting, anti-sand blasting, a beautiful mirror field and piefort technologies in one.

（2001 Dunhuang Tang Dynasty Buddha）



Next we will focus on the four top gems among the early sand blasted coins from China.

The accurate term for the early sand blasted coins from the PRC, such as Year of Children, Women's Volleyball, Men's Soccer, China Empress, Men's Alpine Skiing and the 1989 Save the Children Fund (whether it should be categorized as sand blasted or light BU is still under discussion), should be: fully sand blasted BU coin.

(Year of Children)
http://www.dxcoin.com/coin-9.html

(Women's Volleyball)
http://www.dxcoin.com/coin-109.html

(Men's Soccer)
http://www.dxcoin.com/coin-142.html

(China Empress)

 

(Save the Children Fund)
http://www.dxcoin.com/coin-275.html

Among them, Year of Children, Women's Volleyball, Men's Soccer and Men's Alpine Skiing are the four top gems among early fully sand blasted BU coins. Probably few are aware of the stories behind the four top gems. They all share the following characteristics:

1. Very low mintage, especially for silver coins of these sizes. Year of Children, Volleyball and Soccer only had a mintage of 1,000. Among proof silver coins of this size, only the Sitting Song Qingling can be their match. Alpine Skiing is even less, to our dismay. The mintage is said to be 500, but it is extremely elusive internationally. As far as I know, only the senior collector Mr. Li Kaoming in Taiwan has a genuine specimen of this coin.

2. Except for Alpine Skiing, the other three top gems were distributed by Paramount in the USA. Also, the actual minting year was 1988, 8 years after the proof Year of Children coin was officially released. The fact that there was a huge gap between the year on the coin and the actual production year will enable these three gems to be remembered forever in history. In contrast, the biggest gap between the year on the coin and the actual production year among proof silver coins is 5 years: The 1992 Ancient Inventions and Discoveries kilo silver coins were actually minted in 1997.

3. When the three top gems (excluding Alpine Skiing) first began to backflow from abroad, they were priced similarly to their brethren with mirror fields, or even less. For example, as close as in 2002 and 2003, the sand blasted Soccer was priced around 500 Yuan, and the sand blasted Volleyball was more regularly seen. Even the sand blasted Year of Children was priced between mere 800 to 1,000 Yuan. These top gems were absolutely not worshipped by coin collectors then. They hardly had their respect.

4. These four top gems represent an unforgettable episode in the history of gold and silver coin releases from our country. Why did Paramount pick out the three top gems and release them in the sand blasted version? Why the Two Players Passing the Ball was selected, but the Single Player Controlling the Ball was ignored? Who was the distributor of the sand blasted Alpine Skiing coin? What was the process of its release? Why only these four top gems?

Probably we will never have answers to these questions. But just because of all these mysteries, prices of these four top gems will sky-rocket.

However, as the four top gems are highly priced, their older brothers from the same origin—the mirror coins with identical designs—would feel indignant and wronged by fate. How come after their release, these more favored rivals should come on the scene?

As a result, there have been cases where the big brother from the same origin is disguised as the top gems by way of some tricks, which makes our hair stand on end.

We all know that silver coins with mirror fields are in fact very delicate. If they are treated with potassium sulfide solution, they will immediately take on the appearance of ancient silver. But what if an old hand treats them with nitric acid of the right concentration? The answer is erosion. The mirror field is eroded, changing into the looks of fake sand blasted coins. The so-called sand blasted Alpine Skiing coins at the Lugong Market in Shanghai were fabricated this way.

But when placed next to the genuine coins, the fakes are readily exposed. First, the genuine coins have mint luster, and when the sand blasted coins are turned 360 degrees, the mint luster will show the effect of concentric circles growing larger and larger. Secondly, the fake coin is dull, which cannot reflect any light, like a fresh and juicy green pepper losing water and becoming a withered yellow pepper in the end. Thirdly, the fake coin gives a flawless appearance, because the nitric acid completely flattens the surface of the coin. But this is where it is betrayed, because genuine sand blasted coins have an uneven surface due to the technological process.

If you happen to run into these four top gems, be sure to stay focused and hold your breath. You feel the urge to act, but need to restrain yourself. Slow down, observe closely and carefully, and then pounce on it. There is no room for indecision.

These four top gems popped up frequently in the Lugong market a couple of years ago. And many coin dealers had a headache selling them. But now they are long gone from Lugong, and collectors can only view them with lingering regret at auctions.

We now all understand why among early silver coins, sand blasted BU coins are superior to proof silver coins of the same design. But there are exceptions: for example, the 1986 China Empress is said to have a proof version, which is a top gem. It is different from the sand blasted BU coin in that:

1. The sails on the junk on the proof coin are wide, while those on the sand blasted coin are narrow.

2. The text on the proof coin is “Commemorate the Maiden Voyage to China by the Junk Empress”, while that on the sand blasted version is “China Empress Junk from America.”

3. The ship’s hull is perpendicular to the sight of the viewer on the proof coin, while the hull is almost parallel to the viewer’s sight on the sand blasted version.

The proof version of the China Empress coin is an extreme rarity.

Talking about the four top gems reminds me of the first modern Chinese silver coin, the mirror Year of Children. Veterans of Shanghai Mint only have good words for this coin, claiming its mirror fields as the pinnacle among silver coins from the PRC. Why?

It was because the early production of gold and silver coins in China was a political assignment, an endeavor to boost the honor and reputation of the country. Many in Shanghai Mint and Shenyang Mint were inspired by this lofty sense and lost themselves in the production. The result was a stream of gem coins.

Here is an example. Why are the mirror fields on the silver proof Year of Children coin so bright and even? It was because Shanghai Mint used three smooth planes in grinding, to ensure absolute evenness of the flat surface. If two planes grind against each other, there is no guarantee that all the unevenness will be removed. Three planes grinding together led to the birth of the exemplary mirror fields among silver coins from the PRC—1979 Year of Children.

However, three planes grinding together are much too meticulous, leading to prolonged production time. So Shanghai Mint changed the rules later on, to save production time whenever they could. From then on, the quality of mirror fields began to slip, and the well-known line in the trade “proof coins are not proof enough, and BU coins are more than BU” started to go around right about that time.

Time flew by and up came the new millennium. Shanghai Mint won the bid for the Dunhuang Cave Discovery project that year. To ensure that the mirror fields were flawless, they started to experiment with three planes grinding together, not knowing that the older generation mastered the technology some 20 years back. Luckily, the Dunhuang coins shot to fame, restoring the reputation of Shanghai Mint. It is interesting to watch the change of fate. All things under the sun are in samsara.

To be honest, the machines for minting precious metal coins are more and more sophisticated these days. In terms of hardware, the simple equipment of the early years was no match. But the “software” of those years was unprecedented: expertise in design, engraving and technical process, in addition to the strong determination in production to defend the honor. It is not true that we can always claim that today’s coins are superior in workmanship to those in the early years.

To summarize: The key to enjoy coins is the word “enjoy.” There are many levels of enjoyment. If coin knowledge is the boat, coins are food, coin collection ethics is our spiritual support, then understanding the technical process of coin making is like a life jacket. With all these, we can brave the waves and head for the ocean of coins.

Thanks, everyone.