Heather Schena writes:

We have all see Cut Coin Jewelry as pendants, or necklaces, in money clips, on earrings, and in belt buckles. Many people see the familiar coin, notice it is a "cut out coin," and then say,

"It's against the law to do that to a coin!"
"Isn't that illegal to cut out a U.S. Silver Dollar Coin?"
""You can get in trouble for defacing money!"

I hear questions and comments like these every so often after someone sees cut out coins for jewelry. Maybe you too had assumed Cut Coin Jewelry is considered the defacing of the coin, and thus illegal to do so.

Rest assured the cut coins you see here on eBay and eBay express, such as cut-coin money clips or state quarter charm pendants do not violate any U.S. statute provided that the alteration to the coin is not done with fraudulent intent.

These handsome and beautiful coins are done for a purpose -- jewelry, not with intent to defraud.

To read the complete article, see:Is it illegal to cut out coins?(www.ebay.com/gds/CUT-COIN-Jewelry-Is-Coin-Cutting-Legal-OK-or-Illegal-/10000000001433735/g.html)