Golden Coins

[juliencolle]

Okay,

You guys can tell me everything you know about this coin
also what this type of coin is worth

Thank you very much

[Figleaf]

This not a coin, but an issue from the Canadian mint to serve as a vehicle for small-scale speculation in gold.

The origin of these pieces was a loophole in EU law, that excluded current coins from value added tax (VAT). This made it lucrative to hoard gold in the form of coin, rather than bars. The first to use the loophole were the Kruger "rands" in 1967, followed by the Russian "chervonetz" in 1975. These pieces had nothing to do with circulating coins (the chervonetz was even forbidden to circulate in the Soviet Union) and everything with trying to sell gold production at consumer price levels.

Eventually, The EU plugged the tax hole, no longer recognizing these pieces as current coins, but they remained popular among "retail investors", even though it was cheaper to speculate in gold using gold accounts in banks. This piece is the Canadian bid for part of that market. It has melt value only.

Peter