Coin collectors all throughout the globe has been bedazzled by the melt value of silver Mexican coins ever since. It can be stated that one of the main reasons these coin collectors have been caught in the magic of the melt value of silver coins is because of the large amount of precious metal content found inside these silver coins. It is also an undeniable fact that the melt value of silver Mexican coins is most probably the purest of them all.
Understanding more regarding the Mexican currency
The peso coin is highly regarded as the Mexican currency. These coins are also known as the peso 0.720 from 1920 to 1945 because of the melt value of silver Mexican coinsbeing 72% of their total weight.
At present, the Libertad Ounce is the highly known and voted Mexican currency due to its melt value amounting to around an ounce of pure silver content. If the bill passed in the Mexican Congress Lower House is pushed through, the Libertad Ounce silver coins will then be considered as the main currency of Mexico.
Comparing the melt value of silver Mexican coins the Peso and Libertad Ounce
Let us go into comparing the melt value of silver Mexican coins the Peso 0.720 and the Libertad Ounce once the latter legally becomes the main currency. The Peso 0.720 was used from 1920 to 1945 because of the following reasons:
a. The monetary value of Peso 0.720 is always higher than the sale value of its silver content which is 12 grams. During the 1920, the melt value of silver Mexican coins was just forty eight centavos. This made it unviable to make the coin once the value of the silver goes up beyond one peso. But once the price of the silver went to one peso and over plus the price of 12 grams exceeded once peso, the use of the Peso 0.720 was discontinued.
b. One other thing that made the Peso 0.720 stay as the currency for twenty five years was because during that time, there were no one peso bills thus making the Peso 0.720 as payments for anything less than five pesos. In hypothesis, if there were one peso notes in existence during the time, the Peso 0.720 silver coins will serve as saving means of the Mexicans.
Once the Mexican Congress approves of the Libertad Ounce as the legal currency of the country, its monetary value will then be defined by the Central Bank of Mexico because to date, there is still no stamped value for the silver coin. To be able to consider as viable the making of the Libertad Ounce, its monetary value must go over the sale price of its one ounce grams of pure silver.
The proposed law of using Libertad Ounce as a legal currency
The bill which was passed to the Mexican Lower Congress House contains a rule stating that the monetary value of the silver coins should be at least 15% higher than the coins silver content. If this is pushed through, this will make the Libertad ounce be in an almost similar situation as the Peso 0.720 in the 1920-1945. But, the Libertad Ounce, when made legal currency, will fetch about 510 pesos as compared to the Peso 0.720, when the present price of silver is taken into account.
The citizens will then choose to pay using Libertad Ounce for 510 pesos worth of purchase or save the silver coins and just use them when very much needed. Concluding this, the melt value of silver Mexican coins should always be lesser than its monetary value.