Can computers be used to grade coins?
The digital age has generated many bene ts for coin collecting. Dealers often use computerized devices to help determine how much precious metal is in an object. Smartphone and digital camera photography can produce splendid close-up images of coins, banknotes, tokens and medals, and the internet has become an important and continually-updated reference source for anyone seeking quick information about coin varieties, history and prices.
But can computers be used to grade coins accurately and consistently? at question has been asked since the 1980s when high-tech developers began trying to create computerassisted grading programs. Although there have been signi cant advances, the nal goal has not yet been reached.
I attended a machine-assisted grading demonstration more than 30 years ago when I was on the Board of Governors of the American Numismatic Association, a 25,000-member, Congressionally-chartered organization for collectors and dealers. Noted coin researcher and writer Bill Fivaz was also an ANA Governor who attended that demonstration and other similar meetings.
Decades later, he still has doubts about how well a computer program can grade a coin compared to an experienced human grader.
“I remember one ‘computer grading concept’ discussion in the early 1990s – before AI (arti cial intelligence) was on anyone’s radar in the hobby. I said I never thought it would happen because of the four key elements of the grading formula. ose four are luster, strike, eye appeal, and contact marks (caused by the coin coming in damage-causing interaction with another object, such as jostled contact with other coins while being shipped in a bag from the Mint),” Fivaz recalled.
“In my humble opinion, a computer can only reliably measure two of the factors: the location and severity of contact marks and strike. Even then, with so many strike variances amid the many, many dates of any speci c coin series, programming data into the system for every date would be monumental.”
He continued: “e other two factors, luster and eye appeal, are the most important components of assigning a grade. ey are opinion-driven and can only be determined by the human eye. Nothing can substitute for actually eyeballing a coin to come up with a meaningful accurate grade, and I still hold steadfastly to my belief,” stated Fivaz.
In his excellent 1990 book, How to Grade U.S.
Coins, author James L. Halperin, co-chairman of Heritage Auctions, wrote: “Can a coin’s eye appeal be judged by a computer? At this time the answer is no. is is truly a subjective analysis, that may be resolved with time.”
Has computer-assisted grading evolved since then to now determine eye appeal eectively and consistently or are his earlier comments made three decades earlier still the way he feels about it?
Halperin recently told me: “It’s getting closer, but I doubt we’re there yet.”
A personal note: I was truly honored when COINage asked me to become a regular contributor following the 2017 passing of admired editor and columnist Ed Reiter. Thank you to readers and the COINage team. I am now cordially hanging up my columnist’s hat to pursue other postpandemic adventures and leave you with two important words about collecting: Have fun!