To protect investors and collectors, Blanchard and Company, Inc. sells rare U.S. coins graded and certified by the two leading, independent coin grading firms, Professional Coin Grading Service (PCGS) and Numismatic Guaranty Corporation (NGC). Prior to the mid-1980s, coins were generally graded by the selling dealer, causing serious conflicts of interest in the rare coin market. Many investors fell victim to incidents of grading abuse in which they were unable to sell or resell coins at a profit because dealers often inflated grades at the point of sale. In response to these abuses, independent, third party grading services were established.
An industry-wide grading standard was achieved by the establishment of PCGS in 1986 and NGC in 1987. NGC and PCGS have become widely recognized for their objective grading practices and high industry standards. Their objective has been to provide reliable consumer protection for rare coin collectors and investors and preserve the integrity of the rare coin industry.
Another goal of these services is to make the numismatic coin market safer and more liquid by guaranteeing the grading and authenticity of the coins they grade. When a coin is graded, it is then encased in a tamper-resistant plastic holder, and sonically sealed with its grade and certification number permanently displayed.
The confidence in these services is demonstrated by the sight-unseen trading of PCGS and NGC graded coins. Thousands of rare coins are regularly bought and sold sight-unseen on an electronic numismatic exchange.
Another investor benefit created by these services are the monthly population reports that serve as guides to the scarcity of coins graded by PCGS and NGC. For the first time, investors and collectors have access to empirical data as to the number of coins that exist in different grades and issues.