A medal-coin or non-circulating legal tender (NCLT) coin is regarded as legal tender, but it does not circulate for the following reasons:
- The intrinsic value exceeds the denominational value.
- The currency unit is not in common use.
- The coin is issued in proof only.
- The coin is sold to collectors at a premium above the face value.
The coins of Bophuthatswana were examples of medal-coins. The Krugerrand is an example of a medal-coin, even though it is a bullion piece.
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