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Question about the Certified Coin Exchange?

In another thread, someone mentioned the "CCE" or Certified Coin Exchange. I understand this to be wholesale electronic clearing house for the purchase and sale of rare coins. According to the website, the definition of a "member" is as follows:

A Member is an individual, corporation, or partnership that has been approved for membership on the Certified Coin Exchange by a membership committee appointed by the Board of Directors of the Certified Coin Exchange, Inc. Each Member must have been in the numismatic industry for at least three years or have equivalent experience and must maintain membership on ATC FACTS/CQS. A membership application process will include a credit investigation and an inquiry to the numismatic community at large as to the reputation of the applicant for honest dealing and financial solvency. The application and approval process shall be waived for Charter Members. CCE believes that those to whom Charter Membership has been offered meet its proposed reputation and financial qualifications.

(1) Am I correct in stating that this is a "wholesale" exchange?
(2) What prevents an individual who is not a full time dealer from joining CCE? I see that the definition of member above requires 3 years in the numismatic industry (I did not look too closely to see if they define "numismatic industry"), some financial review, and approval by the membership committee. Given this definition, could anyone join the CCE and buy and sell at lower than retail levels?
(3) The monthly fee of $295 seems relatively low if you could buy, say, a $5000 coin at a 15% discount from retail. Looking quickly, it seems like there are other fees as well, so maybe I am missing something.
(4) What if some like-minded individuals (collectors) form a partnership or corporation to engage in trades on the system. Other than the obvious market risks, would there be any prohibitions?

Thanks.
Always took candy from strangers
Didn't wanna get me no trade
Never want to be like papa
Working for the boss every night and day
--"Happy", by the Rolling Stones (1972)

Comments

  • BAJJERFANBAJJERFAN Posts: 31,083 ✭✭✭✭✭
    The prices posted hardly look like wholesale prices to me.
    theknowitalltroll;
  • darktonedarktone Posts: 8,437 ✭✭✭
    You have to have a tax number also and I think it would be pretty easy to tell if you were a coin dealer by your tax# unless of course you started your own coin businessimage. In the mean time try contacting a forum member that belongs and have him buy the coins you want for you. mike
  • This is basically for sight un seen trades between dealers.
    For 295.00 a month,you too can be a dealer !
    Get a resale license as well.
    image
  • MrEurekaMrEureka Posts: 24,260 ✭✭✭✭✭
    Call it a shameless plug, but I think that free membership on Eureka's exchange is a better deal.
    Andy Lustig

    Doggedly collecting coins of the Central American Republic.

    Visit the Society of US Pattern Collectors at USPatterns.com.

  • Some people really want the coin hobby to be a "market" that is comparable to the stock market, commodities market or bullion market. People have been trying to do this for years. In a way, some have been successful. For example, CCE has been around for awhile and so has the CDN "Bluesheet", which is the sight unseen market for plastic. Then you have the various publications that graph price history of various coin types and try to predict the trend in each particular "market", thereby making "investment" recommendations. Typically, those making investment recommendations will just coincidentally have a large stock of what he/she has just recommended.

    Perhaps one day people will figure out that old coins are collectibles and not pork belly futures...........
    www.jaderarecoin.com - Updated 6/8/06. Many new coins added!

    Our eBay auctions - TRUE auctions: start at $0.01, no reserve, 30 day unconditional return privilege & free shipping!
  • I know this is an old thread but the certified coin exchange has gone to s***. I have been one of the founding members and it's the wild west now. A lot of vendors don't even answer your questions it used to be that if I wanted a coin they would ship it to me and invoice me later same thing or even in a trade due to all of the conditions that are set forth it was a pretty good honor System. Now they want payment up front which is understandable as years go by sodas other avenues of fraud but the savings on there I find coins on eBay just at compatible prices. I'm looking at the CDN a lot of dealer friends are more happy with it

  • BStrauss3BStrauss3 Posts: 3,425 ✭✭✭✭✭

    @darktone said:
    You have to have a tax number also and I think it would be pretty easy to tell if you were a coin dealer by your tax# unless of course you started your own coin business

    Do you have any clue how easy it is to get a tax#? It used to be that all the state of Texas cared about was that you filed a $0 return every quarter. If you forgot they socked you with fees. But you didn't actually have to do anything more than fill out a form. That's seems to be gone now.

    https://comptroller.texas.gov/taxes/permit/

    -----Burton
    ANA 50 year/Life Member (now "Emeritus")

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