Poll Question: Do you think modern coins are being graded too generously by today’s standards? Why or why not?

Why bother to grade them? They’re just clad coins, hardly worth more than face value. The only ones of any value are the ones with a mint error on them. Putting silver back into them would make it a game-changer.

John, Liberty, Texas

There seems to be an ever-increasing number of new coins and commemoratives receiving grades of MS70 or PF70. Is it because the minting process has become so perfected? I am not sure, but it seems that they are handing out 70s like candy, which in my opinion diminishes the standard; can there really be that many 'perfect' coins? The late-night shopping network advertisers are promising MS70 or PF70 coins and commemoratives, even before they are issued by the U.S. Mint! How do they know that when they receive their order and submit it for grading, it will come back as 70 or even 69? They must be reasonably certain that a majority of them will.

Daryl Conley, Truth or Consequences, N.M.

Personally, I have little use for graded modern coins, since the vast majority that are graded are in grades 69 and 70. This makes grading modern coins pointless IMO when most grade MS 69 or 70. Imagine finding a seated silver dollar in MS69. That’s a coin I would love to own, but a modern coin in MS69? Who cares, it’s a common coin.

Roy, Address withheld

I believe with the sophistication and technology of equipment, modern coins are just minted with much higher standards and are handled with far more care than coins of the past. Hence, they are of much higher quality and are graded with much higher numbers than in the past. As for more lenient grading for modern coins, that is another matter. The difference between 69 and 70 is so subtle that only a trained eye under high magnification can discern the difference. That elusive 70 grade, however, makes the difference between a high and low population coin and thus a huge swing in the price of modern coins.

The difference in grading companies’ standards can have a huge impact on a coin’s grade, and therefore, only certain companies will be accepted by certain collectors. I have seen coins graded MS69 by one company show up as MS70 by another, as well as AU58 regraded at MS61 by another. While grading is somewhat subjective, it may come down to the mood of the grader at a particular company on a particular day. For modern coins, buy the holder. For collectible "vintage" coins, buy the coin and then the holder.

Warren E, Address withheld

First off, how many people work on grading coins is my question. With that, when 500-coin Silver Eagle Boxes go from the Mint to a grading service. On top of all other coins being sent in to get that grade of 70. How can that be when I come across seal coins from a grading service of MS70, and the coin has a small nick or mark? Need to change the grading scale.

Name and Address withheld

The problem isn’t lowering standards; the problem is not having standards. The “standard” of today is an “opinion standard”. The problem with an opinion standard, aside from the lack of consistency, is the intent and purpose of grading and the objectives of the grading process. 

In the early 70s, the intent and purpose of the American Numismatic Association for creating a grading and certification service was to have some of the most experienced coin collectors use precision measuring equipment, reference materials, and familiarity with the coins to first and foremost come to an opinion regarding authenticity. Then, as now and historically, since coins came into existence, counterfeiting has been a problem. Second, they would offer an opinion as to the quality of the specimen…quite the noble beginning mission. Today, the third-party grading services’ purpose and intent are primarily marketing, which introduces a different objective. It also creates an uneven playing field that favors large corporate influences, making the individual collectors at a disadvantage if they want or need to liquidate their collection…the service they charge the lowly collector $25, $35, or more for those who use the grading for large-scale marketing pays $10 or less per coin. It also introduces different influences and biases…How many times have you heard the perception that if Heritage Auctions had put the coin in for grading, it would have been higher?

When Philadelphia minted the Star Privy Bullion Silver Eagle, the first thing large retailers declared was that they are not expected to grade well because Philadelphia doesn’t usually produce Silver Eagles… right on cue, they tell us the percentages graded as MS70 are less than typical. Okay, they don’t usually mint Silver Eagles, but they have been minting coins in Philadelphia since 1793, and they’re not idiots. They use the same equipment in Philadelphia that West Point uses, and Bill, the coin press operator in Philly, can call Bob, the coin press operator at The Point, and say, “Yo, Bob, what pressures are you setting your machines at for best results for Silver Eagles?”…I’m sure Bob will pass along the machine settings he uses.

They have to control the percentages at the various levels to create a “value” gap between the 69 and the 70. Without the possibility of a windfall profit, there is little incentive to grade modern coins, so statistics are manipulated. If I send in a 2025 Proof Silver Eagle and a 2001 Proof Silver Eagle, the odds of the 2025 getting a 70 are much greater than that of the 2001 for no other reason than the time between minting and grading.

A popular opinion is that the premier grading services will never grade another 1995 W Proof Eagle as a 70 because, rather than grading the coin to its merits, they need to preserve the $20,000 “value” of those graded. I won’t go as far as to say they’ll never grade another 70, but I do believe they will maintain the percentages between the grades. Recently, an acquaintance asked for an opinion as to the grade a specific “toner” would receive. I opined to him that it looked to me like it was in the 63 category. He recently attended the grading classes through the ANA in Colorado, and his response was that he expects at least a 64, and probably 65, because “all that color can hide a lot of sins”…Is it just me who thinks that’s a problem?

Long story longer, we have the precision technology to establish quantifiable empirical standards of physical characteristics of the different coin types that would eliminate opinions, biases, statistical manipulation, and influences on the grading process, but we won’t. The TPGSs and Large Retailers would lose the ability to control “value”. 

Name and Address withheld

Generously? Anything BUT. Recently, I had PCGS grade my best four coins from a modern uncirculated roll. 64, 64, 64, 64. Really? All deserved better, and I'd argue 2 or 3 should have been 66. Two 1996 proof ASEs (69) and a 1996-W dime (67) were sent to CACG during its recent "if it doesn't cross, you don't pay" special. None crossed. I sold a 1876 Trade Dollar at auction after NGC graded it UNC-Details-Cleaned. A few dealers said I should resubmit it because they thought it should be straight-graded. Generous, my tuchus!

JD, Florida

As a friend of mine says, "Grade inflation is the only way for the top-tier grading services to stay in business".  If re-grading never got you a better grade, no one would be sending in coins for grading.  

I think the only way to make grading fair will be to scan in as many coin images as possible and then use AI to determine grades based on the percent of surface issues. After an AI grade is given, it would have to be verified by hand, but it would get us a lot closer to real standards.

Mike McGuire, Address withheld