How Coins Are Graded

Coin grading is the process of determining a coin's condition, often performed by professionals, or recognised grading experts. This process is crucial in the world of numismatics, as the grade can significantly impact the value of a coin, especially for collectors and investors. 

At Rumnicoin, we ensure that our coins are accurately graded to help collectors make informed decisions and our world class photography shows the coin as it is.

The Importance of Coin Grading

Coin grading plays a vital role in the coin market. Whether you're buying, selling, or investing, knowing the grade of a coin allows you to better understand its quality, history, and potential value. Proper grading ensures that a coin is fairly priced based on its condition and rarity.

Common Coin Grading Systems

Different countries and grading services use various grading systems. Here are some of the most widely recognised:

1. British Coin Grading System

The British grading system, used by collectors in the UK, focuses on descriptive terms to define a coin’s condition. These terms include:

  • Uncirculated (UNC): The coin is in pristine condition, showing no signs of wear.
  • Extremely Fine (EF): The coin shows slight signs of wear but retains much of its original detail.
  • Very Fine (VF): The coin shows moderate wear, but the design is still clear.
  • Fine (F): The coin exhibits significant wear, with some details visible.
  • Good (G): The coin is heavily worn, but enough detail remains to identify the design.

2. The Sheldon Scale

Developed by Dr. William Herbert Sheldon in 1948, the Sheldon Scale is the most widely used grading system worldwide. It ranges from 1 to 70, with each number representing a specific level of quality. The scale allows for a more detailed evaluation of a coin’s condition, particularly in the United States.

  • MS (Mint State): Coins with no visible signs of wear. The higher the grade, the closer the coin is to perfection.
  • AU (About Uncirculated): Coins with minimal wear, typically on high points of the design.
  • VF (Very Fine): Coins with noticeable wear, but still containing much of the original design.

Coins graded between MS60 to MS70 are often considered the highest quality and can command a premium in the market.

3. The NGC Grading System

The Numismatic Guaranty Company (NGC) is one of the world's most respected and widely used professional coin grading services. NGC uses the Sheldon Scale as its foundation but has refined the system to provide greater detail and consistency in grading. Here’s a breakdown of NGC’s grading process:

  • Mint State (MS): These coins have no visible signs of wear and retain their original features. The grading scale for Mint State coins ranges from MS60 (less than ideal) to MS70 (perfect condition). Most collectors aim for coins in the MS60-70 range for investment or collection.

  • About Uncirculated (AU): Coins in this grade show minimal wear, usually only on the high points of the design. These coins are highly desirable to collectors, as the details are still mostly intact.

  • Extremely Fine (XF): Coins with minor wear, but the overall design remains clearly visible. They will show some signs of circulation, but the major features remain strong.

  • Very Fine (VF) and Fine (F): Coins in these grades exhibit more noticeable wear and loss of detail, but their basic features are still identifiable.

  • Proof (PF): Proof coins are specially struck for collectors. They are struck multiple times to achieve a sharp, mirror-like finish. NGC grades proof coins with a separate scale ranging from PF60 to PF70. Proof coins are generally among the most highly sought after due to their superior detail and finish.

  • Special Designations:

    • Star (*): This designation is awarded to coins that have exceptional eye appeal, meaning they exhibit outstanding visual characteristics, such as vibrant color or high luster, which are not directly accounted for in the regular grade.
    • Plus (+): This is an additional designation given to coins that are near perfect in their grade, such as MS67+ or PF69+, indicating the coin is a higher quality than a standard MS67 or PF69.

  • Ultra Cameo (UC) and Deep Cameo (DC): These terms are used for proof coins, describing coins that have extremely high contrast between the mirror-like fields and the frosted devices (the raised design elements). These coins are often extremely rare and can command a significant premium.

The use of the NGC’s rigorous grading system ensures that each coin is evaluated with the highest degree of accuracy and consistency, making it one of the most trusted grading services in the numismatic world. Collectors who choose NGC-certified coins can have confidence that their investment is based on a professional, standardized grading process.

The Role of Grading Companies

Professional grading companies like NGC and PCGS use the Sheldon Scale to grade coins and provide them with a certified grade. These companies also use additional designations to help collectors:

  • MS/PF 70: Perfect coins, free of any imperfections visible under magnification.
  • MS/PF 69: Nearly perfect, with very minor imperfections.
  • MS/PF 68: Very sharp and detailed, but with small flaws.

These companies seal graded coins in protective holders (slabs) to prevent tampering and preserve their condition. A coin in a NGC slab will be clearly marked with its grade, giving buyers assurance that the coin has been independently appraised.

The Impact of Grading on Coin Value

Grading is a key factor in determining a coin’s value. Higher-graded coins generally fetch higher prices due to their rarity, appeal, and condition. For example:

  • A highly graded proof coin may be worth significantly more than a similar ungraded coin.
  • Bullion coins, like gold or silver, may not command a significant premium unless graded highly (MS70 or similar).

It’s important to remember that not all coins, even when graded, will necessarily command a high premium. The rarity and demand for the coin play a significant role in its value.

The Grading Process at Rumnicoin

At Rumnicoin, we provide a wide selection of professionally graded coins to our customers. We work with trusted grading services like NGC to ensure that each coin’s grade accurately reflects its quality. Whether you are a seasoned collector or just starting, knowing how your coin is graded is an essential part of making informed decisions. 

Start Your Collection Today

Explore our selection of graded coins, from historical pieces to modern collectibles, and discover the beauty and value that comes with owning professionally graded items.