A graded coin has been professionally evaluated, authenticated, and encapsulated by a third-party grading service — most commonly NGC (Numismatic Guaranty Company) or PCGS (Professional Coin Grading Service).
The Grading Process
1. The coin is submitted to the grading service 2. Expert numismatists evaluate condition, surface quality, luster, and strike 3. The coin is assigned a numeric grade on the Sheldon scale (1–70) 4. The coin is sealed in a tamper-evident plastic holder ("slab") with a label displaying the grade 5. A unique certification number is assigned for online verification
Why Grade Coins?
- Objective Standard: Removes subjectivity from condition assessment
- Market Confidence: Graded coins trade with greater certainty
- Price Transparency: Published price guides reference specific grades
- Authentication: Grading services catch counterfeits
- Protection: The sealed holder protects the coin from damage