How Anyone Can Invest in Copper, Part 4: Australian Cents Coins
Introduction
Going by coinage, decimalization of currency took place in Australia 5 years before it did in the United Kingdom-- 1966 to 1971. Just as there was a GBP 2 pence coin in the UK, there was an AUD 2 cents coin in Australia.
Unlike in the UK, these AUD cents coins circulated only until 1991, nearly 25 years.
Although these AUD cents coins were taken out of circulation, they were never demonitiezed; they remain legal tender in Australia and wherever the Australian Dollar is accepted.
(Special edition coin sets are minted yearly, and these include coins for AUD 0.01 and AUD 002. These sets and coins were minted for collectors, so they don't count as circulating coins.)
Since the 2 types of AUD cents coins have been out of circulation longer than they were circulating-- 30 years to 25-- there's a good chance they will be harder to locate. I say this because my experience with Australian coins is minimal, and I've never been to Australia, so I don't know what the circulation situation is there.
UK coins in North America are a relatively rare sighting, so it's even more th case for Australian coins. Across the Pacific Ocean or around the world, it may be a different situation; I can't say for certain.
Things To Know about Decimalized AUD 1 Cent and AUD 2 Cents
In Australia, the Lsd/£sd system ("L" for "£" [pound sterling], "s" for shillings, and "d" for pence) of currency had been used. As in the UK, £sd Australian pence coins were demonetized.
Like the final series of £sd coins before them, all decimalized Australian coins bear a portrait of Queen Elizabeth II.
While the UK went from one kind of pence coins to another in 1971, it was necessary to use the word "NEW" to differentiate the decimalized coinage from the £sd coinage. Since Australia switched from pounds sterling to dollars, pence were replaced with cents.
The table below shows relevant details for us regarding AUD cents coins:
| Face Value | Mint Dates | Weight | Composition | Copper |
|---|---|---|---|---|
| 1 | 1966-1984 | 2.59 g | Bronze | 97% |
| 1 | 1985-1991 | 2.59 g | Bronze | 97% |
| 2 | 1966-1984 | 5.18 g | Bronze | 97% |
| 2 | 1985-1991 | 5.18 g | Bronze | 97% |
Outside of nations where AUD is considered legal tender, it is relatively rare to find even the decimalized AUD cents coins during daily living. There's always the possibility of finding AUD 1 cent by accident, so there is a chance. Less chance for encounting AUD 2 cents coins, however.
Comparison of AUD 1 Cent, GBP 1 penny, CAD Maple Leaf Cent, and USD Lincoln Cent
The table below compares Australian 1 Cent with GBP 1 penny, USD Lincoln cent and CAD Maple Leaf cent:
| Category | AUD 1 Cent | GBP 1 penny | USD Lincoln Cent | CAD Maple Leaf Cent |
|---|---|---|---|---|
| Dates | 19666-1991 | 1971-1991 | 1909-1981 | 1937-1996 |
| Weight | 2.59 g | 3.56 g | 3.11 g | 3.24 g (1937-1979) 2.8 g (1980-1981) 2.5 g (1982-1996) |
| Copper content | 97% | 97% | 95% | 98% |
| Last full year as copper coin | 1991 | 1992 | 1981 | 1996 |
| Circulating? | No | Yes | Yes | Yes |
| Demonetized? | No | No | No | No |
| Final Year Minted[^] | 1991 | Not Yet | Not Yet | 2015 |
| [^] -- Final year the coin itself was minted, regardless of metallic composition. |
Of the 4 coins in the table, Australian cents circulated the least time, just 25 years. By the time AUD cents coins were taken out of circulation, the Australian supergroup and U2 contemporary INXS was winding down a world tour supporting its tenth anniverary album, X.
Decimalized GBP 1 penny coins have been around since 1971, almost as long as Led Zeppelin. The North American cents, meanwhile, had already been circulating for at least 57 years. CAD Maple Leaf cents preceded AUD 1 cent by 29 years.
Of the 4 copper cents shown in the above table, copper weight for AUD 1 cent is the least of the 4. Copper weight for AUD 1 cent, GBP 1 penny, and USD Lincoln cent remained stable while for CAD Maple Leaf cent it decreased two times.
At 95% copper content, AUD 1 cent ties USD Lincoln cent for 3rd place.
AUD 1 cent and CAD Maple Leaf cent stopped being minted as circulating coins, but both remain legal tender where their resepctive currencies are accepted. GBP 1 penny and USD Lincoln cent continue to beminted to this day. All 4 copper coins continue to circulate and retain their status as legal tender.
| NOTE: |
|---|
| Unlike the other 3 coins discussed in this series, Australian cents coins never switched from copper to some other base metal. One reason for that was its limited circulation; it would be decades later when the other coins made their switches. |
Just Look at the Math:
- 1 ounce copper = 28 grams
- 1 copper-based AUD 1 cent (1966-1991) = 2.59 grams
- 1 copper-based AUD 2 cents (1966-1991) = 5.18 grams
So...
AUD 1 cent (1966-1991)
28 grams | 1 AUD 1 penny coin ---------+------------------- = 10.810... AUD 1 cent coins/ounce 1 ounce | 2.59 grams
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
AUD 2 cents (1971-1991)
28 grams | 1 AUD 2 cents coin ---------+------------------- = 5.405... AUD 2 cents coins/ounce 1 ounce | 5.18 grams
If you have easy access to GBP pence coins, you have it made. Not only is GBP 1 penny a heavier copper coin than its North American analogs, but you can take advantage of GBP 2 pence copper (technically, bronze) coins.
Where To Find Copper GBP Pence Coins
Pocket Change
If you're in Australia or any area where the Australian Dollar is accepted as legal tender, then this paragraph from Part 1 of "How To Invest in Copper" applies:
As long as we can still use cash, we'll still get change after we buy things. As long as we still get charged sales tax, items with nice round numbers will end up with crooked prices. Go through the pocket change and see what's worth keeping for copper content.
As of the time I posted Part 4, that hasn't changed.
Rarely do I see Australian coins of any type (never mind the copper cents coins). I would have 2 reasons for holding on to these coins: either I sell them to a coin dealer after accumulating a decent quantity, or I would travel to Australia and spend them there.
Abandoned Change
No mater what, found money is still a good thing. Since we're looking for copper coins to keep, those are copper coins we acquire at zero cost except the time it takes to retrieve it. As always, make sure the abandoned coins are not associated with someone (as at a workplace).
Purchased Rolls
You're all set if you're in Australia or in a place where AUD coins circulate freely.
If you aren't in in Australia, then it's more difficult to buy rolls of AUD cents coins.
Sites such as eBay may be the best bet, Although shipping and handling fees may be high enough to put turn smiles into frowns for AUD 1 cent coins, you may find a better net return for AUD 2 cents coins.
Coin Dealers
Using coin dealers as a source for acquiring AUD cents coins depends on the cost per coin. If the cost per coin acquired is low enough, make the buy. Since we're talking about 2 kinds of AUD cents coins, the coin dealer may charge the same price for both kinds of AUD cents coins. If this is the case, the AUD cents pence coins look more attractive.
It may be necessary to make a bulk purchase to get a good cost per coin, and the bulk purchase may include coins from other countires; some of those coins may have good copper content, so it's still OK.
Online
eBay and other well-established online online marketplaces could be used. Lesser known online dealers or shops specializing in coins could be used. Given our preference for decentralized sources (preferably using blockchain and cryptocurrencies), try those first before using more established places.
For online classifieds, Hivelist may have some ads for coins. If not, try the usual suspects. (Does Craig even run his list anymore??)
Friends and Colleagues
For people outside Australia, this may be the best source for AUD cents coins. The supply won't be steady or periodic, but it's better than no supply. If you can find even a couple of people who want to let you take them off their hands, that's more than the number of people you had yesterday. More people would be at work than in a social group, so the chances of finding people who can give you AUD cents coins is greater-- not just people from Australia, but also people who were tourists there.
Why Invest in Copper?
This is what I said in Part 1 of "How To Invest in Copper,":
Buying copper is definitely not a "get rich quick scheme." Most copper purchased is for industrial use and in massive quantities. For quantities of copper as measured in pounds, it may be better to get from from scrap; there are people who do well by making the rounds to gather scrap from obsolete machines or appliances, but that's a job in itself.
Most people don't have those kind of access to resources, financing, or time. So it's left to circulating currency to help us here.
Not including special edition sets minted for collectors, AUD cents coins won't be minted again for circulation. At the time I post Part 4 of this series, AUD cents coins remain legal tender. It looks as if AUD cents coins (not to mention USD Lincoln cents) will become demonetized or disappear altogether the day Central Bank Digital Currencies go online. If China can roll out its digital yuan/renmimbi, then that day is sooner than we think.
After AUD cents coins become demonetized-- not this year, and not next year either-- these things can be done with them:
- People who have sufficient quantities of AUD cents coins can sell them to a scrap yard for their melting price. If the scrap yard is local, it may even be possible to avoid costs associsted with travel and transportation.
- Melt or no melt, the AUD cents coins can be used for barter or exchange.
- For those of us talented in arts and crafts, it's possible to use these copper AUD cents coins to make items selling for dollars per unit (provided demand exists for the items, of course).
Why Use AUD Cents Coins?
Inside Australia and areas where AUD circulates freely, saving AUD cents coins is similar to people Stateside saving Lincoln cents.
Outside Austalia and areas where AUD is accepted as legal tender, AUD cents coins would be a good source of copper coins in relation to other copper coins in the wild, if not in circulation. This is doubly true thanks to the presence of AUD 2 cents coins.
While not as accessible as USD Lincoln cents Stateside, AUD cents coins cents remain accessible enough to be afterthoughts. So were silver £sd AUD coins until became decimalized coins in 1966.
At worst, AUD cents coins can always be swapped out for more acceptable money and then used to purchase small amounts of silver or cryptocurrencies.
Cryptocurrency would be ideal for many reasons. Should there be circumstances requiring physical media of exchange, precious metals can take their rightful place. If precious metals are impractical for certain kinds of transactions, copper is still useful as both a medium of exchange and as a raw material; continued theft of network cables and coaxial cables shows this.
Just as Bitcoin is the King of Cryptocurrencies, USD remains the fiat currency around which all others revolve. Just as Etherum has proven to be one of the most sought after cryptocurrencies aside from Bitcoin, AUD is one of the most traded fiat currencies in the world. For those reasons, if we get excited over acquiring free Satoshis, we should be even more excited when we find copper AUD cents coins to keep for a post-fiat currency future.
Most people don't have access to industrial-scale resources, financing, or time. So it's left to circulating currency to help us here. AUD still qualifies as a circulating currency, as do USD, CAD, and GBP.
As with USD Lincoln cents, think of saving AUD cents coins as a way of earning passive income via copper. If you're tired of today's entertainment options on television, silver screen, and streaming media these days, then saving AUD cents coins is a more rewarding use of your time (especially if you get into coin roll hunting as a passtime). Provided you have access to them somehow, saving AUD cents coins along with GPB pence coins and CAD Maple Leaf cents and USD Lincoln cents would be a good habit to develop in order to gain copper on a personal scale.
Much of what I wrote regarding copper USD Lincoln cents, copper CAD Maple Leaf cents, decimalized copper GBP pence coins, and AUD cents coins can be modified for legal tender copper coins from other countries. In future posts I'll cover New Zealand cents (NZD 0.01), Japanese 10 yen (JPY 10.00), and other world coins having good copper content. I also plan to write a general post about demonetized copper coins and which ones have good-to-great copper content.
The "How Anyone Can Invest in Copper" Series:
| Part 1: USD Lincoln Cents | Part 2: CAD Maple Leaf Cents | Part 3: GBP Pence Coins (Decimalized) |
| Part 4: AUD Cents Coins | Part 5: JPY 10.00 Coins | Part 6: SIDEBAR-- My Experiences with JPY 10.00 Coins (Coming Soon) |
| DISCLAIMER |
|---|
| As I am not a financial expert, this post is not meant to give financial advice. This post was written for informational purposes only in the hopes that it may be useful to anyone who is in a position to take advantage of it. |
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