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Germany’s much-loved silver collector coins are facing a bit of an existential crisis.
The Bundesbank confirmed that two upcoming issues — a €25 and a €20 coin — have been postponed by the Federal Ministry of Finance due to the soaring cost of silver.
The first, originally set for a November release, depicts the “Heilige Drei Könige” or Holy Three Kings. The second, formerly slated for a January release, is titled “125 Jahre Wuppertaler Schwebebahn” or “125 Years of the Wuppertal Suspension Railway”, commemorating an icon of German engineering.
Although experiencing a more muted rally than gold, silver has still become so expensive that the metal inside each coin now costs more than its official value.
Since January, the price of the precious metal has risen around 65%. This is partly linked to demand for safe haven assets at a time of geopolitical uncertainty, although silver also has a number of practical uses, meaning industrial appetite has driven up prices. Silver notably has a number of tech applications thanks to its high electrical conductivity.
While collector coins are legal tender, they are not used for purchases and do not exist in circulation. Instead, they get sold slightly above face value, generating a tidy profit — what economists call seigniorage. When silver prices surge, that profit evaporates.
The announcement does not mean Germany has scrapped all its shiny commemoratives. The Finance Ministry says future releases are still on the minting calendar, including a 25-euro coin honouring Elisabeth Schwarzhaupt, Germany’s first female cabinet minister, and another celebrating 150 years of the Richard Wagner Festival in Bayreuth.
Officials are currently reviewing whether a tweak to the metal mix could minimise losses on the coins.
Germany is one of the few eurozone countries that still issues pure-silver legal-tender coins.
Each commemorative piece tells a story about German culture, history, and invention, and they are seen as the pocket-sized equivalent of a national museum exhibit. Previous tributes have included coins dedicated to Goethe, Albert Einstein and German-born Pope Benedict XVI.
The temporary halt underscores how swings in global commodity markets and prices can unsettle even long-standing traditions.