Are you holding onto old Canadian coins1, wondering if you've struck silver? It's confusing because some Canadian coins look silver, but aren't. Let's clear up exactly which Canadian coins contain real silver.
Yes, some Canadian circulating coins are silver, but mostly older ones. Specifically, dimes, quarters, half-dollars, and dollars minted in 1967 or earlier contained silver. Modern Canadian circulation coins are made of other metals like steel, nickel, and copper.
The story of silver in Canadian coins is tied to history and economics. For many years, like many countries, Canada used silver in its currency because silver had real value. People trusted these coins more. But things changed over time. The value of silver metal itself started to go up.
As silver became more expensive, it cost the government more to make the coins than the coins were actually worth (their face value). This switch happened gradually, especially in the late 1960s. So, while your grandpa's collection might have silver coins, the change in your pocket today almost certainly doesn't. We'll dive into the specific years and types next.
Which Canadian Coins Contain Silver and What Years?
So you want the specifics on which coins to look for? Knowing the dates is key to identifying Canadian silver.
Canadian dimes, quarters, half-dollars, and dollars minted before 1920 contain 92.5% silver (Sterling). From 1920 to 1966, they contain 80% silver. In 1967, content varied (80% or 50%), and 1968 was the last year for some circulating silver (50% dimes/quarters only).
Let's break down these silver eras in more detail.
Understanding Canadian Silver Coin History
The Sterling Silver Era (Up to 1919)
The earliest Canadian coins under British rule followed the Sterling silver standard. This means they were made of 92.5% pure silver, mixed with 7.5% copper for durability.
- Denominations: Dimes, Quarters, Half Dollars. (Dollar coins weren't standard circulation then).
- Why Sterling? It was the British standard, recognized for its quality and consistency. Holding one felt substantial.
The 80% Silver Era (1920 - 1966)
After World War I, the price of silver increased. To save costs, Canada reduced the silver content2 in its coins.
- Change: Moved from 92.5% to 80% silver (mixed with 20% copper).
- Denominations: Dimes, Quarters, Half Dollars, and the new Silver Dollar (introduced in 1935).
- Appearance: These coins still looked very much like silver and wore well over time. This became the new standard for nearly half a century.
The Transition Years (1967 - 1968)
This period was messy! Silver prices were climbing rapidly. Canada needed to phase out silver but did it in stages.
- 1967: A Centennial year with special designs. Coins started the year at 80% silver. Partway through the year, the composition changed to 50% Dimes (50% Silver, 50% copper Coins) silver for dimes and quarters. Dollars and half-dollars remained 80% silver for the entire year.
- 1968: This was the final year for circulating silver. Dimes and quarters minted early in 1968 were 50% silver. Later in the year, they switched completely to nickel. Important: 1968 dollars and half-dollars contain no silver; they are pure nickel.
Identifying Silver Coins from 1967-1968
Because 1967 and 1968 had mixed compositions (silver vs. nickel), how can you tell?
- Magnetism: Nickel is magnetic; silver is not. If a 1968 dime or quarter sticks to a magnet, it's nickel (no silver). If it doesn't stick, it's 50% silver. (Note: This only works for 1968 dimes/quarters. Earlier silver coins won't stick either).
- Weight: Silver coins are slightly heavier than their nickel counterparts, but you need a sensitive scale.
- Sound: Some collectors use the "ping test" – silver coins often make a higher-pitched, longer-lasting ring when dropped carefully on a hard surface compared to nickel coins. Use caution doing this to avoid damaging coins.
Here's a simple table summary:
| Denomination | Years | Silver Content | Notes |
|---|---|---|---|
| Dime | 1919 & Earlier | 92.5% | Sterling Silver |
| 1920 - 1966 | 80% | ||
| 1967 | 80% or 50% | Composition changed mid-year | |
| 1968 | 50% or 0% | 50% early year, Nickel later; use magnet | |
| Quarter | 1919 & Earlier | 92.5% | Sterling Silver |
| 1920 - 1966 | 80% | ||
| 1967 | 80% or 50% | Composition changed mid-year | |
| 1968 | 50% or 0% | 50% early year, Nickel later; use magnet | |
| Half Dollar | 1919 & Earlier | 92.5% | Sterling Silver |
| 1920 - 1967 | 80% | Remained 80% through all of 1967 | |
| 1968 onwards | 0% | Switched to Nickel | |
| Dollar | 1935 - 1967 | 80% | Remained 80% through all of 1967 |
| 1968 onwards | 0% | Switched to Nickel |
Why Did Canada Stop Using Silver in Coins?
It seems like a big shift to remove silver entirely from money people use every day. Why did Canada make this change?
Canada stopped using silver mainly because the rising price of silver metal made the coins worth more melted down than their face value. Keeping silver in circulation became too costly for the government.
Let's explore the reasons behind this critical decision.
The Economics Behind Removing Silver
The Problem of Intrinsic Value vs. Face Value
Coins have two values:
- Face Value: The amount stamped on the coin (e.g., 10 cents, 25 cents).
- Intrinsic Value (or Melt Value): The market value of the physical metal the coin is made from.
For centuries, these values were close. But starting in the mid-20th century, silver prices began a steep climb.
- Gresham's Law in Action: A principle stating "bad money drives out good." When the silver in a dime became worth, say, 12 cents, people would hoard the silver coins (good money) and spend the non-silver coins (bad money). The silver coins disappeared from circulation.
- Government Cost: It doesn't make sense for a government to mint coins that cost more in raw materials than the value they represent. This concept is related to Seigniorage – the profit governments make from producing currency. When melt value exceeds face value, seigniorage becomes negative.
Increased Industrial Demand for Silver
Silver isn't just for coins and jewelry. It has many industrial applications:
- Photography: Silver compounds were essential for traditional film photography.
- Electronics: Silver is an excellent conductor, used in circuits and contacts.
- Medicine: Silver has antimicrobial properties used in medical devices and treatments.
- Solar Energy: Used in photovoltaic cells.
This growing industrial demand put further pressure on silver supplies and prices, making it less suitable for mass circulation coinage.
A Global Trend
Canada wasn't alone in this. Many countries faced the same issue:
- United States: Removed silver from dimes and quarters in 1965, and reduced silver in half dollars until stopping completely in 1971.
- United Kingdom: Reduced silver content earlier and eventually eliminated it from circulating coins.
It was a worldwide economic reality. Precious metals became too valuable for everyday pocket change.
Switch to Base Metals
Canada transitioned to using more affordable and stable metals for its coins:
- Nickel: Used extensively from 1968 onwards. It's durable and relatively inexpensive.
- Cupronickel: An alloy of copper and nickel, also widely used.
- Multi-Ply Plated Steel: Modern Canadian coins (since around 2000) often use a steel core plated with layers of nickel and copper. This reduces costs further and adds security features (like magnetism). While durable, these don't have the same feel or history as silver.
Are Modern Canadian Collector Coins Made of Silver?
Okay, so the coins in your change aren't silver. But what about those special, shiny coins sold directly by the Royal Canadian Mint?
Yes, absolutely. The RCM produces a wide variety of modern collector coins (Numismatics) and bullion coins specifically made from high-purity silver, often .999 or .9999 fine silver.
These are different from the coins intended for everyday use. Let's look closer.
Silver in Modern Canadian Numismatics
Bullion vs. Numismatic Coins
It's helpful to understand the two main types of modern precious metal coins:
- Bullion Coins: Primarily bought for their silver content as an investment. Their value tracks the spot price of silver closely, plus a small premium. The Canadian Silver Maple Leaf is one of the most famous silver bullion coins globally.
- Numismatic (Collector) Coins: Bought for their rarity, design, historical significance, or artistic merit. They often have much higher markups over the silver value. These include proof sets, commemorative issues, and coins with special features (like colorization or unique shapes).
The Famous Silver Maple Leaf
The Royal Canadian Mint is renowned for its Silver Maple Leaf bullion coin:
- Purity: Introduced in 1988, it was one of the first major bullion coins to achieve .9999 purity ("four nines fine"), making it highly desirable for investors.
- Design: Features the iconic maple leaf on the reverse and the reigning monarch on the obverse.
- Security: Modern versions include advanced security features like radial lines and micro-engraved laser marks.
Variety in Collector Issues
Beyond bullion, the RCM releases dozens of silver numismatic coins each year:
- Themes: Covering Canadian history, wildlife, culture, sporting events (like Olympics), and more.
- Finishes: Often feature proof finishes (mirror-like backgrounds, frosted designs), selective plating (like gold), color applications, or even embedded crystals.
- Purity: Mostly .9999 fine silver, though some special issues might use .999 or sterling (.925).
- Legal Tender, But Not For Circulation: While these coins often have a face value (e.g., $20), their silver content and collector value are far higher. They are technically "Non-Circulating Legal Tender" (NCLT).
Why People Buy Modern Silver Coins
People collect or invest in these modern silver coins for various reasons:
- Investment: A tangible way to own silver.
- Collecting: Building sets, appreciating the art and craftsmanship.
- Gifts: High-quality, meaningful presents.
- Connection to History/Culture: Commemorative coins celebrate important events or themes.
As manufacturers ourselves at INIMAKER®, we appreciate the precision and quality the RCM puts into these silver pieces. It reflects a commitment to excellence in metal craftsmanship, similar to our own values when creating custom medals and coins for clients like you.
Crafting Your Own Legacy: Silver-Plated Coins by INIMAKER®
Are you inspired by the history and beauty of Canadian silver coins? Perhaps you're an educator looking for realistic replicas for teaching, a museum needing display pieces, or a hobbyist club wanting commemorative items that echo that classic silver look?
While sourcing large amounts of historic silver can be difficult and costly, capturing the essence and appearance of silver is something we specialize in at INIMAKER®. We understand the appeal – that bright, distinguished finish speaks of quality and importance.
We can help you create stunning custom coins using durable base materials like zinc alloy or brass, finished with high-quality silver plating. This gives you:
- The Look and Feel: Achieve the brilliant appearance of silver at a more accessible price point. We can even do antique silver finishes for a historic touch.
- Durability: Modern plating techniques ensure a long-lasting finish for handling or display.
- Customization: Replicate historical designs (respecting copyright/trademarks, of course) or create entirely new designs for your specific needs – club anniversaries, educational sets, event mementos, and more.
As experts in metal crafting with over 12 years of experience, we control the entire process, from design to electroplating, ensuring a final product you’ll be proud of. If you need that premium silver appearance without the investment in solid silver, let's talk about our silver-plating capabilities for your next project.
Conclusion: Silver Then, Not Now (Mostly!)
So, are Canadian coins silver? Circulating coins used to be (pre-1968). Today, they're base metals. However, the Royal Canadian Mint produces many beautiful collector and bullion coins from pure silver. Understanding the dates is key!
