The U.S. copper penny is made of 95% copper creates the unique ability to protect and invest your money simultaneously in both the copper and currency markets as the copper weight is worth more than the penny as spending money.
Copper pennies are in the same unique historical time period similar to when the silver coins of the past were removed from circulation because their silver content was more valuable than their face value. Take advantage of copper pennies today. Click the product photograph to read more.
Customers who have questions should contact us for answers.
In the years we have been providing copper pennies to the public, sorting percentages have been going down, costs have been rising, and demand has outpaced supply. Copper pennies are not for everyone.
Who buys copper pennies
Investors/collectors see the benefits of owning a real, tangible product that has three values:
1) Face value – The penny will be worth one cent as a floor value regardless of other values. Customers consider this a hedge. Investments can reach zero. Because of this, investments hold great risk. Copper pennies have this inherent floor value.
2) Copper value – your penny is a brass mixture 95% copper, 5% zinc which is a highly desired copper composition. This means a purchase is not just a penny, but rather copper pennies bullion due to the intrinsic value because of the copper it was made with that is greater than the face value and is tied to the copper market. The bullion in copper pennies bullion targets this metal composition value as the first and foremost value above the other values.
3) Numismatic value – Coin collectors love pennies. There are rarities, errors, and fun types of pennies/cents that collectors around the country seek. As copper pennies disappear from circulation, the supply of older pennies drops. Basic supply and demand economics suggest as supply drops, value increases. Just look at Indian Head pennies and Wheat cents.
How many copper pennies bullion to buy? Naturally, you should buy what is in your individual investment interest. From the standpoint of transparency, we have been overwhelmed with the amount of full, 20 ton truckloads of copper pennies, that these large-scale buys have tied up the majority of our sorting operations. If 20 tons of copper pennies isn’t for you, no problem. However, if you see the value, saw what happened to the Canadian copper penny value when it was eliminated just a few years ago, you may wish to reach out and ask questions about the logistics of buying 20 tons of copper pennies.
Copper Price (melt value) And Copper Pennies
The copper price and copper pennies are not equal as of yet. Currently, it is illegal to melt United States cents. As a result, people are able to buy copper cents below the melt value, or actual value, of the penny. Because of this, the price of copper pennies is a variable trade price rather than tied directly to melt value.
In Canada, when the penny was eliminated there, the trade value went up to the copper melt value upon announcement. In some cases, higher due to the collectible value. People in Canada bought even regular boxed pennies at prices even 4x face value.
The anticipation and expectation is for the history to repeat here in the United States. Customers buy in bulk because of this anticipation.