Some investors still have a lot to learn when it comes to copper bullion. It’s a relatively new investment opportunity many feel will one day rival silver in its popularity. With so many being new to buying copper coins and bars, some unethical dealers are taking advantage of people’s inexperience with this vital metal.
Like the gold confiscation scam we’ve discussed here, any mention by a dealer that their copper bars are “Mint Poured” or “Hand Poured” should raise a red flag.
What these unethical dealers are doing is melting copper wires, pipes and other “scrap” copper and passing it off as premium bullion – at premium prices.
In reality, what they’re selling is the copper prepared by scrap yards and recycling companies to be sent to mills and refineries. Mints do not “pour” copper – they simply manufacture coins for currency or bullion investors.
Minting investment-grade copper is an extensive process
Producing copper coins and bars for investment purposes involves more than just melting some copper into a square shape and chiseling some fraudulent purity numbers on it.
Of course copper bullion begins its journey as mined or recycled copper. It is then refined to 99.99% purity, where it is then rolled and milled. This “wrought” copper is then cut into specific weights (i.e. 1-ounce, 1-pound, 10-kilos) and stamped with its purity and often its country of origin.
Some mints will take “wrought” or pure copper and form it into rounds with exclusive, sometimes elaborate designs.
Scammers and unethical sellers are a fact of life in our world. Many of us learn about these scams after we’ve spent our hard-earned money. The best way to avoid being roped-in by this scam, or the gold confiscation myth, is to educate yourself.
Being informed is the most important step in protecting your assets and ensuring your hard-earned dollars are being well spent.
If you’re looking for high-quality, investment grade copper bullion, Provident Metals has an extensive inventory. Check our main site for current prices and availability, or click on over to our knowledge center today to learn more.
