Physical Bitcoin. Even if Bitcoin is real but exists only in the digital realm of zeros and ones, we’ve all seen stock photos of tangible bitcoins. Bitcoin is still available in its physical form even though these images are being generated digitally. There are a lot of The-themed collectible coins floating around, but some of them include the Bitcoin blockchain. Let’s find out what they are and if there’s any use for actual Bitcoin coins beyond collecting them.
What is Physical Bitcoin?
Coins made of metal or plastic that feature the Bitcoin logo are known as physical coins. They might be worth more if made of precious metals like gold, silver, brass, or some other alloy. Some may be less expensive materials covered with metal plating, while others may be constructed entirely of plastic. In any instance, a physical Bitcoin can pass for a genuine coin in appearance and texture.
But not all Bitcoin that you can physically possess is spherical. Coins, cards, and bills are just a few of the many shapes that collectible Bitcoin can take. The most unusual and valuable Bitcoin collectibles, shaped like coins, are sold by auction houses such as Stack’s Bowers. A Casascius-minted collectible Bitcoin physical coin that is no longer circulated sold for $1.69 million during the 2021 crypto bull market. The 2011 coin contained 25 bitcoins.
You can store the private keys to your bitcoins on the blockchain in physical coins and then use them or send them to another wallet. Despite the decline in popularity, businesses like Ballet, founded by Bobby Lee, who was also instrumental in establishing the BTCC crypto exchange, continue offering collector bitcoins containing varying amounts of Bitcoin.
How is Physical Bitcoin Made?
Bitcoins can be made into physical currency through 3D printing and stamping. Nevertheless, a few extra procedures are needed for physical coins that contain real Bitcoin.
The coin’s creator must not only manufacture the coin itself but also open a Bitcoin wallet and fund it with Bitcoin. Bitcoin coins are made using multi-layered, tamper-proof stickers that display the wallet address, private key, and passphrase. Many newer coins, like Ballet’s, include QR codes and maybe even a mobile app to keep track of the BTC.
What is Physical Bitcoin Used For?
For the most part, actual coins featuring the Bitcoin emblem are bought and sold as collections or for entertainment purposes. However, the keys to actual Bitcoin can sometimes be held in physical coins. Collectors’ editions of older models that still include Bitcoin can fetch prices in the hundreds of thousands if not millions.
Collectible Items
You can find Bitcoin collectible coins on sites like eBay and Amazon, which are more like dazzling toys, or you can find the precious coins that collectors all over the globe want. Coins containing private keys can sometimes be worth more as a collectible than those stored at their wallet addresses.
Among these, the coins that Casascius released are the most valued. Even if you can’t buy Cacasius coins directly anymore, they’re still popular at auctions, and “loaded” coins can still store Bitcoin. Collectors also love Lealana’s real coins.
Stored Bitcoin Value (Rare)
Neither collectors nor Bitcoin enthusiasts care about the mass-produced novelty coins sold on sites like Amazon and eBay. Nevertheless, Bitcoin-holding coins are valuable. These are extremely rare and can only be found at auction houses like Stack’s Bowers or from dealers specializing in rare coins. Companies like Ballet still offer physical coins that can contain a Bitcoin balance. The default balance for coins is either 0.001 BTC or 0.25 mBTC.
The availability of actual Bitcoin coins is restricted in many locations due to regulatory regulations that differ by country. In the United States, dealers may be required to register as Money Services Businesses (MSBs) and get money transmitter licenses separately for each state where they operate.
Physical Bitcoin Value: How Much is it Worth?
Generally, coins featuring the Bitcoin logo are used as symbolic support or for amusement. However, collectible coins and Bitcoin itself have actual value. Bitcoin coins display the value of the original wallet. For example, the graphic below depicts Ballet’s actual coins with their corresponding Bitcoin value. The photo shows a coin that contains 0.001 bitcoins, or one million bitcoins, which is equivalent to around $58 at the present price of BTC.
However, the face value cannot be true anymore if the coin has been altered or redeemed. Every Bitcoin coin has a private key that may be used to access its wallet. If the wallet’s address is public, increasing the value without having access to the wallet’s private key is also feasible.
How to Check if a Physical Bitcoin is Real
To stay safe while buying Bitcoin physically, buying from a trusted source is important. If you want to buy ballet coins, it’s best to do it through ballet itself rather than by any third party. Selling valuable coins, including Cacasius collectibles, is safer through an auction house like Stack’s Bowers. You can see a Bitcoin wallet address on the reverse of a real Bitcoin coin that contains BTC. Here are the steps you need to follow to check your coin’s BTC balance.
Find the Wallet Address
Find a lengthy series of letters and numbers beginning with 1, 3, or bc1 on the coin’s reverse side. Here is the address for your wallet. You can also find coins with QR codes that can be scanned with mobile Bitcoin wallets like Electrum. This is just a beginning point, the address. The Bitcoin address might not be legitimate, and the balance might not equal the face value.
Use a Blockchain Explorer to Verify the Balance
Using a blockchain explorer, you may view the balance and transactions for any legitimate Bitcoin address. To view the balance for a given address, you can search for it on sites like Blockchain.com.
Verify the Tamper-Resistant Features
The wallet balance helps you verify the amount of Bitcoin stored in the coin’s wallet address. However, you’ll also want to verify that the wallet is secure. There should be a private key under the public wallet address. Verify that the public wallet address looks sound and is undamaged. If the public address sticker has been removed at any point, it’s possible that someone else has the private key as well and can access the wallet’s funds.
Is it Worth Buying Physical Bitcoin?
Physical Bitcoin coins have their roots in Mike Caldwell’s 2011 minting of the first Casascius coins. Back then, we aimed to connect Bitcoin’s digital asset features with the physical world of in-person transactions. Less demand for actual Bitcoin coins is driven by the widespread adoption of cryptocurrencies as a payment method and the convenience of mobile Bitcoin wallets.
Real coins containing Bitcoin still make considerate presents, and the value of older collectibles is expected to rise. Buying novelty coins that don’t include Bitcoin is more of a luxury than an investment because their value isn’t going to rise.
Conclusion
BTC physical coins came about as a way to transact with bitcoins in the analog world. The earliest coins, including those from Casascius and Lealana, often fetch auction prices far exceeding their face value. Today, you can still buy physical Bitcoin, but most coins available through large platforms like eBay and Amazon are novelty coins with no real value. Auction houses like Stack’s Bowers and providers like Ballet still offer a way to buy physical coins loaded with BTC.
