Understanding the Casascius Coin

A Casascius coin is a physical unit of Bitcoin that comes in different sizes, designs, and types. These coins are primarily collected by enthusiasts who have a specific interest in them.

In 2011, Mike Caldwell created the Casascius coins, which are among the earliest examples of “physical bitcoins.” This means that the BTC is stored within a physical structure, such as a coin or bar. Caldwell continued producing Casascius coins until 2013 when he had to cease operations due to the intervention of the Financial Crimes Enforcement Network (FINCEN). FINCEN believed that the activity might be considered money transmitting and, therefore, require a license.

Throughout his three-year project, Caldwell minted and added value to a total of 27,938 Casascius coins and bars, estimated to be worth 91,262.8 BTC. Due to their limited quantity, Casascius coins are seen as an attractive investment opportunity and often have a premium value above their “peel value.” Peel value refers to the total sum of the cryptocurrency contained within the coin.

It’s important to note that not all Casascius coins contain actual BTC. Some coins come loaded with bitcoin, while others are unloaded, meaning they lack the private key required to redeem any associated bitcoin.

Since the introduction of Casascius coins, various other physical Bitcoins have emerged under different names. Examples include Alitin Mint, Titan Bitcoin, Cryptmint coins, Antana coins, Ravenbit Satoshi coin, CoinedBits, and Lealana coins.