Redemption of Canadian Coins leading to Losses

03 Jun 2017  Sat

Redemption of Canada’s silver $20, $50 and $100 coins sold at face value has led to the adjustment of revenue. The series ended after 2016 because of huge losses. Initially, the coins were sold at its face value. After people started redeeming these coins, its face value was higher than the value of precious metal using which the coins were made.

More than 4 million coins were sold in six years. 25 $20 coins, four $50 coins and six $100 coins were released following various themes like Canadian wildlife (polar bears, bison, wolf, goose) and popular culture icons like Bugs Bunny and Superman.

The price of silver reduced a lot from 2011 to 2016. Apart from that, there were large mintages and negative publicity about redemption. All this led to the end of this popular series. These coins were allowed to be exchanged at face value for other numismatic products. Canadian banks also started redemption in some cases. As of now, there is no deadline for redeeming the coins.

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