Where Do Dealers Get Their Coins?

dealers get them from many places.

For one, they deal with private mints. In many cases they need a valid business license, and then a line of credit. Then such as with these private mints, based on their allocations and what they can sell, they have to pony up 8,000, 20,000 and even more, tens of thousands of dollars. In many cases, this is what they are stuck with, there is NO turning back they are committed to buying X lot.

This is why NOT all dealers have everything. they are going off demand, and what their customers have asked for. And this can make or break them, so they stick with whats trending and whats in demand.

so you got these guys really going out and taking risk every single day. Not fun.

My favorite dealer buys whole estate collections that have been built up by the collectors. The business has been around for nearly 50 years, and has established a good rapport with the collectors.
When the collector dies, the collection is bought via an executor of the estate by the dealer. Over the 50 year period so far, some of the more valuable coins have been recycled by auction a number of repeat times.

The dealers are happy, and so too are the collectors. The industry keeps moving and healthy, due to a steady increase in the demand for good coins, that keeps prices moving higher on the average, over the decades.

A record of some of the more notable coins has been kept by the business, and so an auction history has been maintained of them. That helps to establish and maintain the coins' authenticity.

The more valuable coins go to auction and the less valuable coins go to stock in the business. The business itself has a chain of four shops established in major cities.

A significant proportion of the more valuable coins become part of investment portfolios, for superannuation purposes.

The established dealers are happy, and so too are the collectors.