Update:
Recent claims by a TikTok user about a Nelson Mandela Centenary R5 coin from 2018 selling for R6 700 have been clarified.
TikToker @landonhistory says he referred to a Coin World 2018 R5 coin, which is a collector’s item. The R6 700 price relates to this particular coin, which is graded and valued higher due to its condition.
Watch:
@landonhistory Did you know that South Africa has one of the world’s oldest working minting presses? And that it started making coins in 1892? Even today it makes special R5 coins called the Coin World R5 coins, these are easy to recognise with the CW and Oom Paul mint marks on the coins. #southafrica #history #facts #fyp #viral ♬ original sound – Landon
Earlier this year, TikToker @landonhistory announced that a South African Nelson Mandela Centenary R5 coin made in 2018 sold for R6 700 on the Bassani Auction House app.
According to a video made by the TikTok user, R5 Mandela coins in good condition can sell for up to R200 each.
Also read: The SARB officially introduces the country’s upgraded banknotes and coins
The debate around the value of South Africa’s R5 coins has been longstanding, with many arguing that it is better to hold onto the coins to later sell at exorbitant prices.
However, the South African Reserve Bank (SARB) does not agree, and here’s why, Cape {town} Etc reports.
In a statement on its website, the SARB reiterated that the commemorative R5 Nelson Mandela circulation coin issued in 2008 to celebrate the former president’s 90th birthday was and is still worth R5.
‘There could be a buyer willing to pay a higher price to collect such a commemorative circulation coin but the SARB does not attach a value higher than the face value to such coins,’ it said.
‘The SARB issues commemorative circulation coins as part of its currency production function. These coins are issued to commemorate a person or an event that has had a significant impact on society.’
‘Such coins are always produced in large quantities and are made available and accessible to the public at face value.’
The South African Mint (SA Mint), a wholly-owned subsidiary of the SARB, produces numismatic collectors’ coins such as the Natura coin series and the Krugerrand series.
It also issues special-edition commemorative coins in limited quantities, accessible to collectors able to afford higher prices. These limited edition collectors’ coins are typically packaged in capsules and accompanied by certificates to prove their authenticity.
Their values are set by the collectors’ market.
‘Interested consumers and collectors alike are encouraged to do their research and shop around to compare prices between dealers before deciding to invest in a coin. Familiarise yourselves with the differences between ‘normal’ circulation coins, commemorative circulation coins and collectors’ coins,’ the SARB said.
‘Remember: if you receive the coin as change, it is a circulation coin and worth only its face value. Likewise, the R5 Griqua Town commemorative circulation coin is also worth R5. It is not meant to be a collectors’ item or an investment.’
Also read:
Here are the designs of South Africa’s new circulation coins
Picture: Lefty Shivambu / Gallo Images
