If you buy silver coins and silver bullion coins it is considered to be an investment and it is a practice which is followed by the investors. Silver coins are also purchased for survival purposes or as a hedge to inflation.
Buying Silver Coins to Hedge the Inflation
The investors who want to protect themselves from the inflation purchase silver and gold coins and use them as inflation hedges. During 1970s the price of gold and silver had become sky-high. During those times, the most common items of silver were the silver buttons.
Silver Coins for Survival
Investors often buy silver coins for survival because they fear the worst. The Federal Reserve was printing too many dollars and it was estimated that the dollar would become worthless. It was feared that the banks in Paraguay and Argentina would soon shut down. The citizens of these two countries had to discard the unstable banking systems and had to invest all their savings in gold and silver. The banks did lose down and when the banks had reopened, the depositors could only withdraw limited amounts of money. Failure of the banking system is a major reason why investors purchase gold and silver in order to survive. The investors buy silver coins or gold in such forms which can be used in barter system in order to get services and goods.
Buying Silver Coins and Bullion for Barter
Investors used to buy silver coins and small gold coins were used for barter. The content in the silver and gold coins are extremely important because the date of minting or any other factor is not considered during the barter. An investor should never purchase numismatic coins for the purpose of survival. If you need to barter the silver and gold coins then you will always op for the smaller varieties. The coins also need to contain specific characteristics so that they are accepted readily. In order to survive, the coins have to be stamped in the language English because the North Americans did not know any other language. It is very important that the coins have the silver or gold content mentioned on them. Read more info on investing in silver bullion here!
Bartering Using Silver Coins
If you are looking for survival then you should avoid arcane gold coins. You need to purchase the popular modern bullion coins in order to survive. The American Eagle gold coins are recognized in the Unites States but they have a higher premium than the Krugerrands. Both the Gold Eagle coin and the Krugerrands are available in four sizes and they are considered as the basic bullion coins. These two coins are much cheaper than the gold coins of the United States.
You might get confused whether you should purchase the silver bullion or the gold bullion. You can invest in both the silver as well as gold bullion if you are ready to invest large amounts. If you buy silver coins, you can easily survive and make successful investments.