Almost 1,800 tons of gold are mined every year, compared to 130 tons of platinum. Its rarity and range of industrial uses make it an increasingly popular investment.
Are you wondering, “is platinum lucrative?” One of the best ways to find out is to check the current price.
Once you’ve done that, it’s time to choose how to invest in this rare metal. Read on to learn how to compare platinum coins vs bars and pick the right one for your portfolio.
What is Platinum?
Platinum was classified as a precious metal in the 18th century but was first found in Egyptian jewelry dating back to 700 BC. Its name comes from the Spanish word platina which means little silver.
Platinum is the heaviest precious metal and weighs almost twice as much as karat gold. It’s also the least reactive and has a high melting point.
Platinum is part of the PGM group of precious metals that also includes palladium and rhodium. They’re the rarest group of all.
Over 50% of mined platinum is used in catalytic converters. Over 30% of it becomes jewelry. It also has medical uses such as anti-cancer drugs, pacemakers, and dental crowns.
All platinum coins have at least a 0.9995 level of fineness and 99.95% purity.You can trust their legitimacy if you get them from a reputable provider.
Platinum coins are produced by government-operated mints. They’re stamped with numbers representing their value, year, purity, and weight.
Coins are more collectible than bars with a more attractive appearance. Special ones like the American Platinum Eagle are the most sought-after.
Coins have higher liquidity because they’re more popular and have a greater production run. Prices are measured by troy ounce like other precious metals.
Platinum coins become even more appealing during a financial crisis in their original country of issue because they are legal tender.
Precious metal bars are a popular investment. Silver and gold are the most popular and the easiest to get your hands on. If you already have them and want a more diverse portfolio, try a different metal.
Platinum bars are thin rectangular ingots. Mining companies stamp them with their logo and numbers representing their purity and weight.
Their size varies depending on where you get them. Their weight varies widely from 1 ounce to 1 kilo.
Platinum bars are more affordable than coins but are harder to trade. They also take up space in a storage area or safe.
Are you looking for platinum coins for sale? Do you prefer bars? Would you rather try a different metal? Get monthly precious metals from InvestorCrate to satisfy all your investment needs.
Where to Find More Precious Metal Investment Tips:
Platinum is one of the rarest of all precious metals. It may not have as large of a jewelry market as silver or gold, but its rarity and wide range of industrial uses mean that it’s still valuable.
If you want to invest in this metal, you’ll need to decide how. Platinum coins are small and collectible. Bars are cheaper but larger and more difficult to store and trade.
Read the rest of our content for more precious metal investment guides.