Understanding Coin Grading: The Complete NGC & PCGS Guide for Canadian Collectors

A coin’s grade is the single biggest factor in its market value after rarity. Two 1948 Canadian silver dollars from the same mintage of 18,780 can sell for wildly different prices depending on condition. A worn VF-20 might bring $5,000 CAD, while a pristine MS-65 could fetch $50,000. Grading is how the numismatic world quantifies that difference, and the two companies that dominate professional coin grading (NGC and PCGS) have become essential infrastructure for serious collectors.

This guide covers the grading scale, what designations like First Releases and First Strike actually mean, how to submit your coins, what it costs, and when professional grading is worth the money for Canadian collectors.

A Brief History of Coin Grading

For most of numismatic history, grading was subjective. Dealers described coins using vague terms like “fine” or “uncirculated,” and two dealers could look at the same coin and disagree by a wide margin. There was no standard, and that made buying coins sight-unseen a risky proposition.

The Sheldon Scale (1949)

In 1949, Dr. William Herbert Sheldon, a psychologist and numismatist, published Early American Cents, 1793–1814, in which he proposed a quantitative scale for coin condition running from 1 (barely identifiable) to 70 (perfect). Sheldon originally designed the scale so that the numeric grade corresponded roughly to a coin’s market value in dollars (a Poor-1 large cent was worth about $1, while an uncirculated example was worth about $70). That pricing correlation broke down quickly, but the 1–70 framework stuck.

In 1977, the American Numismatic Association officially adopted a modified version of the Sheldon scale for all coins, publishing the Official ANA Grading Standards. This gave collectors a shared vocabulary for the first time.

The Birth of Third-Party Grading

The real transformation came in the mid-1980s. In February 1986, PCGS began operations in Newport Beach, California, founded by seven coin dealers including David Hall. PCGS introduced two innovations that changed the hobby: standardized numeric grading by a team of independent experts, and the “slab,” a tamper-evident, sonically sealed plastic holder that encapsulated the graded coin with its grade printed on the label. For the first time, collectors could buy coins sight-unseen with confidence in the grade.

One year later, in 1987, NGC was founded in Parsippany, New Jersey, by John Albanese, who had also been one of the seven original PCGS founders. Mark Salzberg came aboard as owner on January 1, 1988, and NGC quickly became PCGS’s primary competitor. Today NGC is headquartered in Sarasota, Florida, and is a subsidiary of the Certified Collectibles Group (CCG).

How Does the 70-Point Coin Grading Scale Work?

Every coin graded by NGC or PCGS receives a numeric grade on the Sheldon scale from 1 to 70. The scale is divided into two broad categories: circulated grades (coins that show wear from being used as money) and uncirculated grades (coins with no trace of wear). Here’s the full breakdown.

Circulated Grades

Grade	Abbreviation	What to Look For
Poor	P-1	Barely identifiable. Date and type must be discernible, but little else may remain.
Fair	FR-2	Heavily worn but slightly more detail than Poor. Type is clear.
About Good	AG-3	Very heavily worn. Outline of the design is visible; date is readable.
Good	G-4, G-6	Major design elements visible as outlines. Peripheral lettering nearly full.
Very Good	VG-8, VG-10	Design clearly outlined with some inner detail beginning to show. Full rim visible.
Fine	F-12, F-15	Moderate even wear on high points. All lettering sharp. Some hair or feather detail.
Very Fine	VF-20 to VF-35	Light to moderate wear on high points only. Design elements are sharp and clear.
Extremely Fine	EF-40, EF-45	Slight wear on highest points. Sharp legends, clear devices. Most original detail intact.
About Uncirculated	AU-50 to AU-58	Trace of wear on the very highest points only. At least half of original mint lustre remaining. AU-58 is one step below Mint State.

Mint State (Uncirculated) Grades

Mint State coins show no trace of wear. The grade is determined by the number and severity of contact marks, hairlines, lustre quality, and strike sharpness. The difference between adjacent Mint State grades, especially from MS-65 upward, can be subtle, and small differences in grade can mean large differences in value.

Grade	Description
MS-60	No wear, but may have heavy bag marks, hairlines, and reduced lustre. The lowest uncirculated grade.
MS-61 to MS-62	No wear. Multiple marks and hairlines visible without magnification, but progressively fewer.
MS-63	“Choice.” Average or slightly above-average strike. Moderate marks and hairlines. Acceptable lustre.
MS-64	Average or better strike. Several small marks visible. Good lustre and overall eye appeal.
MS-65	“Gem.” Well struck with good lustre. Only moderate marks or hairlines, none in focal areas.
MS-66	Very well struck. Only a few small, non-distracting marks. Strong lustre and eye appeal.
MS-67	“Superb Gem.” Sharply struck. Above-average lustre. Only a few barely noticeable imperfections.
MS-68	Very sharply struck. Only minuscule imperfections visible under magnification.
MS-69	“Near perfect.” Fully struck with virtually imperceptible imperfections.
MS-70	“Perfect.” No post-production imperfections at 5× magnification. The highest possible grade.

Proof, Specimen & Proof-Like Grades

Not all coins are struck for circulation. Special striking methods produce distinct finishes that receive their own grade prefixes.

Proof (PF / PR)

Proof coins are struck from specially prepared dies on polished blanks, usually two or more times, producing mirror-like fields and frosted raised devices. NGC uses the prefix PF; PCGS uses PR. Both mean the same thing. Grades run from PF-60 to PF-70, using the same criteria as Mint State grades. Proof coins with strong contrast between fields and devices earn Cameo (CAM) or Deep/Ultra Cameo (DCAM/UC) designations, the most visually striking and sought-after proof finish.

Specimen (SP)

Specimen coins are higher-quality than regular circulation strikes but not full proofs. They may have satin, matte, or other special finishes. The SP prefix is particularly important for Canadian collectors because the Royal Canadian Mint has produced specimen sets for decades. Grades run from SP-60 to SP-70. The record-setting 1936 Dot Cent, for example, sold as PCGS SP-66 Red in January 2010 for $402,500 USD. It was later regraded SP-65 RB after conservation.

Proof-Like (PL) & Deep Proof-Like (DPL)

Proof-Like describes circulation-strike coins that happen to have highly reflective, mirror-like fields, usually because they were among the first coins struck from fresh dies. Deep Proof-Like coins show even stronger reflectivity with frosted devices on both sides. The PL and DPL designations are especially relevant for Canadian numismatics: the Royal Canadian Mint produced official Proof-Like sets from 1954 to 1980, and PL-graded Canadian dollars are a staple of the hobby.

What Do First Releases and First Strike Mean?

Walk into any coin shop or browse an online dealer and you’ll see labels like “NGC First Releases” or “PCGS First Strike” prominently featured on certified coins, often commanding higher prices than identical coins without the label. What do these designations actually mean, and are they worth the premium?

NGC: Early Releases & First Releases

Both designations have the same criteria: the coin must be received by NGC or an NGC-approved depository within the first 30 days of the mint’s release date. “Early Releases” is the default label; “First Releases” must be specifically requested by the submitter. Functionally, there is no difference between them. The distinction is purely cosmetic, introduced in response to dealer preferences about label appearance.

NGC: First Day of Issue

A stricter designation. The coin must have been purchased on the first day the mint made the issue available for sale, and must be received by NGC or an approved depository within one week of the release date. The submitter must provide purchase receipts as evidence. This designation is less common because the documentation requirements are more demanding.

PCGS: First Strike

PCGS’s equivalent to NGC’s Early/First Releases. Coins must be delivered to PCGS within the first 30 days of the mint’s release. The package must be postmarked on or before PCGS’s published cutoff date for that issue. PCGS charges an additional $18 per coin for the First Strike designation.

Do Designations Affect Value?

A coin labelled “First Strike MS-70” and one labelled simply “MS-70” are physically identical. Same grade, same quality, same metal. The only difference is the text on the label, which tells you the coin was submitted early.

That said, market premiums are real. Depending on the coin and the moment, First Strike and Early Releases labels can add anywhere from a few percent to a meaningful premium over a standard label, driven primarily by registry set competition and collector demand for specific labels. For common modern bullion coins in high population grades, the premium is often minimal. For limited-edition issues where the First Day of Issue population is small, premiums can be more substantial.

Designation	Service	Criteria
Early Releases	NGC	Received within 30 days of release (default label)
First Releases	NGC	Received within 30 days of release (requested label)
First Day of Issue	NGC	Purchased on release day; received within 1 week; receipts required
First Strike	PCGS	Delivered to PCGS within 30 days of release (+$18 per coin)

What Is a “Slab”?

A slab is the tamper-evident, sonically sealed hard plastic holder that NGC and PCGS use to encapsulate graded coins. The term was coined by collectors when PCGS introduced the format in 1986. The earliest PCGS slabs, produced from February 1986 through September 1989, are nicknamed “rattlers” because the coin was not firmly held in place and would rattle inside the holder. The grade was printed on a dot-matrix printer on pale green cardboard stock. Modern slabs from both services are far more refined, with holograms, barcodes, and high-resolution labels.

A slabbed coin is also called a “certified” coin. A coin without a slab is called “raw.” The difference matters at the point of sale: certified coins can be bought and sold sight-unseen with confidence in the grade, while raw coins require the buyer to evaluate the grade themselves. Disagreements about raw coin grades are one of the oldest sources of friction in the hobby.

Grading Canadian Coins: What’s Different?

NGC and PCGS apply the same 1–70 Sheldon scale to Canadian coins as they do to American and world coins. However, several aspects of Canadian numismatics make certain grade prefixes and designations more relevant than they are for U.S. collectors.

Proof-Like Sets & the PL Designation

The Royal Canadian Mint produced official Proof-Like (PL) sets from 1954 to 1980. These sets were struck from freshly polished dies and sold directly to collectors in cellophane packaging. PL-graded Canadian coins, particularly silver dollars from this era, are a staple of Canadian numismatics. The PL designation tells you the coin has mirror-like reflective fields characteristic of these special sets, and PL-65 or higher grades command strong premiums.

Specimen Grades & RCM Special Issues

The RCM has issued Specimen (SP) sets extensively. If you collect modern Canadian commemoratives or special-issue coins, you will encounter SP grades frequently. The 1936 Dot Cent, the most valuable Canadian coin ever sold at public auction, sold as PCGS SP-66 Red in January 2010 for $402,500 USD (later regraded SP-65 RB after conservation).

ICCS: Canada’s Own Grading Service

Canadian collectors have a third option: the International Coin Certification Service (ICCS), founded in Toronto in November 1986 by Brian Cornwell, Bill Cross, and Ingrid Smith. ICCS has graded over one million coins and is widely respected for its conservative grading standards, particularly for Canadian series.

ICCS uses a different holder format: a PET film envelope sealed in a plastic flip rather than a hard slab. ICCS is known for being strict on circulated grades. For Canadian key dates and major rarities, an ICCS-graded coin carries strong credibility in the Canadian market. That said, NGC and PCGS holders tend to realize higher prices in international auctions because of broader brand recognition outside Canada.

Service	Founded	Headquarters	Best Known For
PCGS	1986	Santa Ana, California	Largest service; highest international premiums
NGC	1987	Sarasota, Florida	Strong world coin coverage; registry sets
ICCS	1986	Toronto, Ontario	Canadian coin specialist; conservative grading

How to Submit Coins for Grading

Both NGC and PCGS require a membership to submit coins directly. Here’s how.

NGC Submission

1. Join NGC. Choose the current membership tier that allows direct submissions (pricing changes over time).
2. Fill out a submission form online at NGCcoin.com under “My Submissions.”
3. Ship your coins to NGC via insured mail. Package coins securely. NGC provides packing guidelines.
4. Receive graded coins back via insured shipping (return shipping is additional).

PCGS Submission

1. Join the PCGS Collectors Club. Select the current tier that permits direct submissions (pricing changes over time).
2. Fill out a submission form at PCGS.com.
3. Ship your coins to PCGS in Santa Ana, California. Alternatively, submit through a PCGS Authorized Dealer.
4. Receive graded coins back via insured shipping.

Costs & Turnaround

Grading fees depend on service tier, declared value, add-on services, and turnaround speed. Handling, return shipping, and insurance charges can materially change total cost, especially for international submissions.

Service Level	NGC Fee	PCGS Fee	Approx. Turnaround
Modern	Entry-level tier for modern coins (check current limits)	Varies by current submission menu	Often slower economy turnaround
Economy	Lower-cost tier with declared-value limits	Lower-cost tier with declared-value limits	Typically multi-week turnaround
Standard	Mid-tier pricing for higher value coins	Mid-tier pricing for higher value coins	Usually faster than economy
Express	Premium tier for faster handling	Premium tier for faster handling	Fastest standard turnaround

Turnaround times are estimates and fluctuate with submission volume. Higher-value coins require higher service tiers. Always check the current fee schedule on each service’s website before submitting.

When Is Professional Grading Worth the Money?

Grading is not free. By the time you factor in the membership, per-coin fee, handling charge, shipping both ways, and insurance, you are looking at $50–$100+ per coin for a single submission. That cost has to make sense relative to the coin’s value and the premium a slab will add.

Grading Is Likely Worth It When…

• The coin is a key date or rare variety: a 1921 fifty-cent piece, 1948 silver dollar, 1973 Large Bust quarter, or 1965 Large Beads cent (see our famous Canadian coins guide for the full list). Authentication alone justifies the cost.
• The coin appears to be MS-65 or higher: the premium jump from MS-64 to MS-65 is often dramatic, and a professional grade confirms where the coin falls.
• You plan to sell: certified coins sell faster and for higher prices than raw coins of equivalent quality, especially at auction or online where the buyer cannot examine the coin in person.
• You want protection: the slab physically protects the coin from handling, environmental damage, and accidental scratches.
• You are building a registry set: NGC and PCGS both run competitive registry programs where collectors assemble and rank sets by grade. A slab is required to participate.

Grading Is Probably Not Worth It When…

• The coin is common and circulated: a common-date Canadian quarter in VF-20 will cost more to grade than the grade will add to its value.
• You plan to sell at melt value: if you are selling Silver Maple Leafs as bullion, the buyer cares about weight and purity, not the slab. See our bullion vs. numismatics guide for more on how bullion pricing works.
• The coin has obvious problems: cleaning, artificial toning, scratches, or environmental damage. Grading services will note these issues (“Details” grade) which can actually reduce a coin’s perceived value versus selling it raw.
• The total value is under $100: the cost of grading eats too deeply into the coin’s value for the exercise to make financial sense.

Canadian Grading Value: A Practical Example

Consider the 1967 Canadian silver dollar (the Alex Colville “Flying Goose”). With a net mintage of nearly 6.8 million, raw examples in average uncirculated condition sell for $20–$40 CAD, barely above melt. Grading a common specimen would cost more than the coin is worth. But a 1967 dollar graded PCGS PL-65, confirming it as a high-quality Proof-Like example, has sold for $306 USD at auction. And rare varieties from the same year, such as the “Diving Goose” in PCGS PL-65, have realized over $1,500 USD. The grade and the authentication are what unlocked that value.

Sources

• NGC — Coin Grading Scale
• NGC — Releases Designations (First Releases, Early Releases, First Day of Issue)
• NGC — Services and Fees
• NGC — Learn Grading: SP and PL Prefixes
• PCGS — Grading Standards
• PCGS — First Strike Designation
• PCGS — Services and Fees
• PCGS — The Story of the Origin of PCGS
• PCGS — William Sheldon’s 70-Point Scale (1949)
• PCGS — The 1967 Canadian Goose Dollar
• Wikipedia — Numismatic Guaranty Company (NGC history)
• Wikipedia — Sheldon Coin Grading Scale
• ICCS — International Coin Certification Service
• Canadian Coin News — ICCS Founder Brian Cornwell Remembered

Guide compiled for educational purposes by Canadian Coin Heads from the sources cited above. Grading fees, turnaround times, and membership costs are subject to change. Always verify current pricing on each service’s website before submitting. This is not financial or investment advice.