Japan’s Coin Culture

Prior to departing for a family excursion to Japan, my daughter-in-law advised us to consider bringing small, old-fashioned coin purses. Coin purses? The last person I’d seen using a coin purse was my great-aunt Eleanor, and that was several decades ago. Do they still exist? And why in the world would we need them in Tokyo?

Unbeknownst to me prior to our trip, coins still play an oversized role in Japan’s daily commerce, much more so than in the U.S. or most other economically developed countries. In an age of ever-expanding electronic payment options, Japan’s continued commitment to coins is refreshing.

The Role of Coins in Japan

In 1984 Japan discontinued production of currency notes smaller than 1,000 yen, or about $7 in today’s value. But that left a large monetary gap for smaller transactions or for making change—a need fulfilled with coins. Japan’s largest coin denomination is 500 yen ($3.50), while its smallest denomination is an aluminum 1-yen piece, representing a minuscule seven-tenths of a cent. 

Perhaps the most prominent cultural markers of Japan’s love affair with coins are the ubiquitous coin-operated vending machines found on every street corner with a mind-boggling array of drinks, snacks, and souvenirs. (They really are everywhere!)  And surprisingly, younger Japanese people appear to embrace the coin culture despite the proliferation of mobile payment apps and platforms.

Receiving change in coins at every turn, it wasn’t long before our pockets were bulging with 100-, 50-, 20-, 10-, and 1-yen pieces. The country felt awash in coins, and the data backs this up. According to Statista, Japan’s circulating coinage, totaling 4.7 trillion yen, is the equivalent of $261 per person. By comparison, the U.S. Treasury estimates the total value of circulating coinage in the United States to be $47.8 billion, or $140 per person. That is nearly half the Japanese per capita amount, and we all know a great deal of U.S. coinage never actually circulates.  

Coin Purses

The humble coin purses I mentioned earlier are another testament to Japan’s coin culture. While an endangered species, if not already extinct in the United States, coin purses can be found throughout Japan. And these are not the drab and dusty purses from a Charles Dickens novel. Coin purses in Japan run the gamut from inexpensive pop-culture patterns to iconic designer brands. A small Louis Vuitton-branded coin purse can be had for a mere $550.

Coins Galore!

Japan demonstrates that coins can still play a prominent and efficient monetary role, while still providing historical, cultural, or political touchstones of the issuing country. All that being said, the pièce de résistance occurred toward the end of our stay. After I spent much of the trip mercilessly lecturing my skeptical family on the unusual prominence of coins in Japan, during lunch in a small café, as if on cue, the waiter served us complimentary coin-shaped cookies with our tea and coffee. For a numismatist, it just doesn’t get any better than that!

Republished with permission from The Liberty Seated Collectors Club’s E-Gobrecht electronic publication.