Silver Certificate

DEFINITION of 'Silver Certificate'

Former legal tender (paper currency) issued by the U.S. government beginning in 1878. A certificate represented a stated amount of silver bullion purchased or held by an investor. These certificates were created to allow an investor to purchase silver without having to take physical possession of the investment. Certificates were deemed payable to the bearer upon demand.

BREAKING DOWN 'Silver Certificate'

Although the U.S. stopped minting silver coins in 1806, both gold and silver coins were usable as legal tender until 1861. Today silver certificates can be redeemed for their face value in cash in the U.S. but not in actual silver.

RELATED TERMS
  1. Silver

    An element commonly used in jewelry, coins, electronics and photography. ...
  2. Silver ETF

    An exchange-traded fund that invests primarily in raw silver ...
  3. Silver Thursday

    A steep fall in the price of silver that occurred on Thursday ...
  4. Share Certificate

    A share certificate is a written document signed on behalf of ...
  5. Bullion Market

    A forum through which buyers and sellers trade pure gold and ...
  6. Bimetallic Standard

    A monetary system in which a government recognizes coins composed ...
Related Articles
  1. Mutual Funds & ETFs

    The 4 Largest Silver ETFs (SLV, SIVR)

    Learn the names of the four largest silver ETFs by asset size. Discover some basic facts about each of these ETFs and what differentiates them from one another.
  2. Options & Futures

    An Introduction To Trading Silver Futures

    Silver Futures are becoming popular trading instruments. Here is a primer on how to trade them.
  3. Stock Analysis

    Silver Takes First Place?

    Silver usually takes a backseat to gold, but it might be the best metal right now.
  4. Stock Analysis

    A Fistful Of Silver

    While gold has been getting most of the attention lately, silver may be a better portfolio bet.
  5. Stock Analysis

    5 Simple Silver Stock Plays

    Forget gold, find out how to put some shine into your portfolio with some Silver.
  6. Investing News

    The World's Top 5 Silver Mining Companies

    Discover five top silver mining stocks for 2016, as precious metals prices appear to have bottomed out in 2015.
  7. Chart Advisor

    Short-Term Silver Bottom? Mining Stocks Think So

    Breakouts to the upside in a number of silver mining stocks could foretell a break higher in silver itself.
  8. Stock Analysis

    5 Silver Stocks To Watch

    With industrial production and the economy grinding forward, many analysts believe the industrial real estate sector is ripe for the picking.
  9. Stock Analysis

    Silver Dollar Stocks

    Silver is trading at a 60% discount to its all time highs. The poor man's gold might be a great value play going forward.
  10. Options & Futures

    How To Buy Silver Options

    Buying silver options allows traders to attain a position in silver for less capital than buying physical silver or silver futures.
RELATED FAQS
  1. How do you get a hard copy of a stock certificate?

    Before online brokers and personally-directed accounts, holding a physical stock certificate was a necessity, as this was ... Read Answer >>
  2. I hold stock certificates in a company that just had a stock split. What happens ...

    The short answer is that a stock split will have little effect on the holder of stock certificates. In most cases when an ... Read Answer >>
  3. Is this stock certificate worthless?

    I bought 50,000 shares of restricted common stock from a company in December 2015 and received a stock certificate. I then ... Read Answer >>
  4. What happens to the shares of stock purchased in a tender offer?

    Learn what a tender offer is, whether it is a good idea to accept a tender offer and what happens to the shares of stock ... Read Answer >>
  5. What burst the Mississippi bubble?

    In 1715, France was essentially insolvent as a nation. Even though taxes were raised to extremely high levels, the hole that ... Read Answer >>
  6. What protects an investor’s interest in the case of terrorist sabotage, or act of ...

    Currently, most stock ownership is done electronically thru the combined effort of the brokerage firms and the transfer agents ... Read Answer >>
Hot Definitions
  1. Demand Curve

    The demand curve is a graphical representation of the relationship between the price of a good or service and the quantity ...
  2. Goldilocks Economy

    An economy that is not so hot that it causes inflation, and not so cold that it causes a recession. This term is used to ...
  3. White Squire

    Very similar to a "white knight", but instead of purchasing a majority interest, the squire purchases a lesser interest in ...
  4. MACD Technical Indicator

    Moving Average Convergence Divergence (or MACD) is a trend-following momentum indicator that shows the relationship between ...
  5. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
  6. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
Trading Center