Editing Commodity money (section)

=== Metals ===
{{Further|gold coin|silver coin|gold standard}}

In metallic currencies, a government [[mint (coin)|mint]] will [[coin]] money by placing a mark on metal tokens, typically [[gold]] or [[silver]], which serves as a guarantee of their weight and purity. In issuing this coinage at a face value higher than its costs, the government gains a profit known as [[seigniorage]].

The role of a mint and of coin differs between commodity money and [[fiat money]]. In commodity money, the coin retains its value if it is melted and physically altered, while in a fiat money it does not. Usually, in a fiat money the value drops if the coin is converted to metal, but in a few cases the value of metals in fiat moneys have been allowed to rise to values larger than the face value of the coin. In India, for example, fiat [[Rupee]]s disappeared from the market after 2007 when their content of stainless steel became larger than the fiat or face value of the coins.<ref>{{cite news
| url         = http://www.timesonline.co.uk/tol/news/world/asia/article1940319.ece
| work        = The Times
| location    = London
| title       = Coins run out as smugglers turn rupees into razors
| first       = Ashling
| last        = Oconnor
| date        = June 16, 2007
| access-date = April 30, 2010
}}{{dead link|date=September 2024|bot=medic}}{{cbignore|bot=medic}}</ref> In the US, the metal in pennies (97.5% zinc since 1982, 95% copper in 1982 and before) and nickels (75% copper, 25% nickel) has a value close to, and sometimes exceeding, the fiat face value of the coin.