Wed 23 May 2007
One gold coin. One million dollars.
Posted by Jimmy Lin under Business and economy, Oddities
8 Comments
Get a load of this: earlier this month, the Royal Canadian Mint introduced a gold coin with a face value of C$1 million. It’s 99.999% pure gold and weighs 100 kilograms, or 45 pounds 220 pounds.
May 23, 2007 at 9:25 pm
Can I order one online?
June 14, 2007 at 4:11 pm
100 kg is 220 lbs… which means it’s about $284 Canadian dollars/oz, which seems pretty cheap. if it’s 45lbs, or about 20kg, then it’s a little pricier, $1,389/oz.
June 15, 2007 at 10:30 am
Oops, you are right Dan! I divided instead of multiplied.
As for the face value: it actually comes out to about C$311 per troy ounce, which is used for metals.
This is actually pretty typical: the face value for bullion coins is always less than the intrinsic value of the metal in the coin. These coins are meant to be traded for primarily for the value of the metal, although there is a slight premium due to the fact that the coin is also legal tender.
For example, 1 oz. American Eagle gold coins have a face value of US$50, even though the metal itself is worth over $600.
February 2, 2008 at 9:38 am
Thanks Jimmy!
I never understood why these gold coins had a face value of $50 or $20 when the content alone makes them much more valuable…
February 24, 2008 at 1:13 pm
That’s be something else if you accidentally used it up in a slot machine or something… but then again it weighs more than the average person so that’s highly unlikely. Great story though!
April 24, 2008 at 12:16 am
Heck, I’d buy it. Oh wait, I can’t afford it!
nevermind then…
May 10, 2008 at 8:17 pm
With a face value of $1 million, it’s got an actual value of somewhere over $3 million. And the Canadian Mint has probably picked up $10 million worth of free advertising. Great gimmick.
May 26, 2008 at 6:26 am
i saw it being made!