Buying coins in vaulted custody, explained

When you buy a vaulted coin, you own a specific physical coin that someone else stores for you. That arrangement makes trading faster and cheaper, but it only works if ownership, insurance and record-keeping are done properly. This guide explains how custody works and what to check before you trust anyone with your coins.

By Changes Hands Research · Updated Nov 3, 2026 · 4 min read

What vaulted custody means

Vaulted custody separates owning a coin from holding it. The coin sits in a secure, insured vault run by a custodian. The custodian keeps a record of who owns each coin, and when you sell, that record changes while the coin stays on its shelf. Because nothing has to be packed, shipped, inspected and paid for between strangers, a trade can settle in seconds instead of weeks.

This is how much of the bullion market already works, and it suits coins that trade often. It is less useful for a coin you want to hold, show or photograph yourself, and you can always take delivery of those.

A practical rule many owners follow is to vault the coins they expect to trade and keep at home the few they want to enjoy in hand. Low-value coins especially make sense in custody: the cost of shipping and insuring them individually can exceed their value, while in a vault they can be sold in seconds.

Ownership: title versus possession

The legal arrangement matters more than the vault door. In a bailment, the owner hands goods to someone else to look after, and the custodian, called the bailee, must return those specific goods on request. Title stays with the owner. That is different from an arrangement where the provider owns the metal and you hold a claim against the provider, because in a failure an owner of specific goods is in a stronger position than a general creditor.

Changes Hands holds coins as bailee. Each coin is a specific, identified item: certified coins by their PCGS or NGC certificate number, house-graded coins by their own grade report and item ID. You hold title to particular coins, customer coins are not company assets, and there are no fractions or pooled interests. One unit is always one physical coin.

How a purchase works on Changes Hands

Coins are organized into classes of interchangeable coins, each with one order book. When you buy, your order fills against the lowest asks, and for each coin bought the oldest eligible coin in the vault of that class is allocated to you. Its certificate or grade-report number and photos appear in your holdings, so you know exactly which coin you own. Buyers pay no fees; the price on the screen is the price you pay.

You can resell at any time to the best bid or with a limit order. If you sell, ownership of that specific coin passes to the buyer and the coin stays put.

What protects you

A custodian should be able to show, not just tell, that your coins exist and are yours.

Segregated, identified items: every coin logged individually, never mixed into the company's own inventory or balance sheet.
Insurance: coverage for the vault and for coins in transit, from an insurer that understands collectibles.
Public reserves: Changes Hands lists every vaulted coin by class and certificate number on the reserves page, so anyone can check that the ledger matches the vault.
Audits: regular counts and re-grades of samples, with results recorded.
Grading accountability: house-graded coins carry a sealed grade report from two independent graders, and a grade guarantee lets owners claim a buyback, swap or price adjustment if a coin turns out to be overgraded.

What custody costs

Ask every provider about three costs: storage, trading and delivery. At Changes Hands there is no storage fee during launch; any future storage fee would be announced in advance and published on the fees page. Buyers pay no trading fees, and sellers pay 3% plus a one-time grading fee when a coin sells.

Taking delivery, called redemption, costs $35 per shipment plus $3 per coin, plus insurance on declared value above a threshold and any grading fee still owed on the coins. The fee is deliberately not trivial: it keeps coins in the vault where they can trade, and it means shipping a single inexpensive coin rarely makes sense. Coins shipped together share one base fee.

Questions to ask any custodian

Whoever holds your coins, get clear answers to these before you deposit anything significant.

Do I hold title to specific coins, or a claim on the company?
Are customer coins kept off the company balance sheet, and what happens to them if the company fails?
Who insures the vault and coins in transit, and up to what limit?
Can I see an independent or public list of holdings?
Can I take delivery of my coins, how long does it take, and what does it cost?
Who graded the coins, and what happens if a grade turns out to be wrong?

Risks you still carry

Custody reduces some risks and adds others. You depend on the custodian's systems, staff and insurance, and on the legal structure holding up if something goes wrong. Access is slower than opening your own safe. And custody does nothing about market risk: the value of a coin can fall whoever stores it. Read the risks of collectible coins as an asset before committing significant money.

Changes Hands is currently in pre-launch test mode: deposits use test cards and no real coins change owner yet. The help center has the details.

Frequently asked questions

Do I actually own a vaulted coin?

With a proper bailment arrangement, yes. You hold title to a specific, identified coin, and the custodian holds it on your behalf. At Changes Hands each coin is identified by certificate or grade report number, and customer coins are not company assets.

Can I take my coins out of the vault?

Yes. At Changes Hands you can have any coin you own shipped to you at any time. Each shipment costs $35 plus $3 per coin, plus insurance above a declared-value threshold and any grading fee still owed.

What happens if the custodian goes out of business?

Under a bailment, customer coins belong to their owners rather than to the custodian, which is designed to keep them out of the company's estate. How that works in practice depends on the records and legal structure, which is why you should ask any custodian how it is set up.

Is there a storage fee?

Changes Hands charges no storage fee during launch. If that changes, notice will be given in advance and the rate published on the fee schedule.