Rounds vs. coins: what's the difference.

A bullion coin is issued by a government mint and usually carries a face value, even though its market worth rides on the metal inside. A round is a privately struck bullion piece with no legal-tender standing. The legal line matters because sovereign backing lifts recognition and buyer comfort, especially for households new to metal.

Rounds generally cost less above spot because they are simpler pieces without the sovereign branding or official-mint backing of a government coin. For a buyer keeping score in ounces, that pulls rounds to the top of the list. For a buyer who wants the easy sale, the lower above-spot figure may not cover the gap in market familiarity.

Silver rounds from private mints usually cost two to five percent above spot. American Silver Eagles usually cost fifteen to twenty-five percent above spot.

The gap shows up two ways. First, government coins cost more to make because of the extra minting steps and higher finish standards. Second, the Eagle carries a recognition lift because it's known everywhere and sells at full value on any given day. Gold rounds are less common than silver rounds, but when they show up they usually cost about the same as a gold bar or slightly less — two to four percent above spot.

Most private-mint rounds don't clear the bar for a retirement account. The IRS rule asks for two things at once: the right purity and an approved source, either a government mint or a refiner on the approved list. A common private-mint silver round at .999 silver meets the purity rule but not the source rule, so it doesn't go in an IRA. For IRA purposes, stay with sovereign coins like the American Silver Eagle and the Canadian Maple Leaf, or with approved bars from LBMA-listed refiners.