Steve Rand
General Manager / Sr. Precious Metals Advisor
Steve Rand is the General Manager and a Sr. Precious Metals Advisor at Scottsdale Bullion & Coin. He brings over 20 years of experience in the physical precious metals markets.
Whether you’re curating a coin collection or looking for investment grade coins, you’ll probably come across the label MS70 at some point during your research. This designation is usually featured on the plastic casings of graded coins which are designed to protect valuable coinage from dust, dirt, and other debris. Exposure to the elements, even indoors, can compromise the condition and the value of coins over time. Understanding specific coin gradings makes it easier to invest judiciously and successfully.
What does MS70 mean in coins?
MS70 is the highest rating of a coin’s condition according to the American Numismatic Association grading scale. It stands for Mint State 70 and represents a perfectly minted coin. More specifically, a MS70 coin doesn’t show any signs of scratches, wear, or other imperfections even at 5x magnification. With the naked eye, these coins look brand new.
Are MS70 coins a scam?
MS70 coins aren’t inherently a scam, but some investors get misled into paying significantly more than these coins are worth. Understanding the difference between true numismatic and modern graded bullion coins can help investors avoid these scenarios.
True numismatic coins were in heavy circulation back when the US used silver and gold as everyday currency. Despite their high value, rarity, and purity, none of these coins would receive an MS70 rating due to their condition.
On the other hand, modern bullion coins are shipped to established graders immediately after minting and almost always receive the highest rating possible. As a result, an MS70 rating alone doesn’t indicate a coin’s inherent value, simply its condition.
Some investors are tricked into believing the MS70 rating indicates a coin’s rarity as well as its condition. These misleading coin dealers take advantage of the public’s general lack of understanding regarding this grading system.
Can circulated coins be graded MS70?
No, circulated coins cannot be graded MS70. As the highest grade of coin condition, MS70 is reserved for non-circulated coins that have absolutely no signs of wear from general use. The vast majority of coins that reach this high standard are newer since it’s nearly impossible for older coins to maintain perfect condition. The closest rating a circulated coin can get to being awarded an MS70 grade is known as “about uncirculated” which requires a coin to have light wear on just the high points of its design.
Are MS70 bullion coins worth it?
From an investment standpoint, MS70 coins likely aren’t worth the investment if you’re paying a high premium. In most cases, coin dealers selling high-grade coins aren’t offering anything of true numismatic value. Generally, the coins most likely to receive an MS70 rating are minted in such high numbers that their value is severely diluted. True numismatic coins that comprise a good portion of early American currency are truly scarce yet would rarely receive a high grade due to their history and circulation.
Tips for investing in graded coins.
We suggest investors get a second opinion if investing in modern graded bullion coins due to the potential of paying significant premiums on coins that aren’t worth what the seller claims. However, if you’re going to purchase graded coins, here are some ways to keep your investments safe.
Understand what grading means.
An MS70 rating doesn’t automatically mean that coin is highly valuable or rare. It’s simply an indication of a coin’s condition which only partially influences its value. A coin’s overall worth is determined by a variety of factors including purity, demand, and the current spot price of gold and silver. Understanding the implications of an MS70 or other ratings makes it easier for investors to invest wisely and diligently.
Make sure the rating comes from established graders.
The Numismatic Guaranty Corporation (NGC) and the Professional Coin Grading Service (PCGS) are the two most trusted and reliable third-party coin grading services. If you’re investing in a coin or having one graded, it’s a good idea to stick with these well-respected companies. You can remain confident the rating is accurate and that the coin has high liquidity when looking to sell again given the reputation of these providers.
Only buy and sell from trusted coin dealers.
Whether you’re buying or selling investment grade coins, it’s advisable to stick with a reputable precious metals dealer. You can start by shopping around at local dealers to get a feel for pricing before looking at experienced specialists online throughout the country. Keep in mind that modern graded coins are generally minted in large quantities and uncirculated which diminishes their rarity and value while increasing their chances of receiving an MS70 grade.