Slug (coin)
Encyclopedia
A slug is a counterfeit coin
Coin counterfeiting
Coin counterfeiting of valuable antique coins is common; modern high-value coins are also counterfeited and circulated.Counterfeit antique coins are generally made to a very high standard so that they can deceive experts; this is not easy and many coins still stand out.-Circulating...

 that is used to make illegal purchases from a coin-operated device, such as a vending machine
Vending machine
A vending machine is a machine which dispenses items such as snacks, beverages, alcohol, cigarettes, lottery tickets, consumer products and even gold and gems to customers automatically, after the customer inserts currency or credit into the machine....

, pay phone, parking meter
Parking meter
A parking meter is a device used to collect money in exchange for the right to park a vehicle in a particular place for a limited amount of time. Parking meters can be used by municipalities as a tool for enforcing their integrated on-street parking policy, usually related to their traffic and...

, transit farebox, copy machine, coin laundry
Coin Laundry
"Coin Laundry" is a song performed and written by Australian singer–songwriter Lisa Mitchell from her first studio album, Wonder . It was released as the lead single from the album on 24 April 2009 by Scorpio Music. The song was produced by Dann Hume and is about finding love at the coin laundry...

, gaming machine
Slot machine
A slot machine , informally fruit machine , the slots , poker machine or "pokies" or simply slot is a casino gambling machine with three or more reels which spin when a button is pushed...

, or arcade game
Arcade cabinet
A video game arcade cabinet, also known as a video arcade machine or video coin-op, is the housing within which a video arcade game's hardware resides. Most cabinets designed since the mid-1980s conform to the JAMMA wiring standard...

. By resembling various features of a genuine coin, including the weight, size, and shape, a slug is designed to trick the machine into accepting it like a real coin.

Though slug usage is a violation of the law (with the exact offense varying by country, usually considered to be counterfeiting and/or theft of services), prosecution for slug usage is rare due to the low value of the theft and the difficulty in identifying the offender. Offenders in casino
Casino
In modern English, a casino is a facility which houses and accommodates certain types of gambling activities. Casinos are most commonly built near or combined with hotels, restaurants, retail shopping, cruise ships or other tourist attractions...

s are most likely to be prosecuted, as casinos have high levels of video surveillance and other security measures, and are more proactive in enforcement.

Losses caused to vendors by slug usage may be the result of the loss of sales, the absence of revenue following the distribution of merchandise that was obtained at the vendor's expense, or the loss of cash that is distributed by the machine for overpayment with slugs. Honest customers may also suffer losses when change returned to an honest customer for overpayment is in the form of a slug rather than a genuine coin.
In some cases, a slug can be a genuine coin used in another country, with or without knowledge of the user. One example was the interchangeable use of Australian and New Zealand 5c, 10c and 20c pieces in both countries, from 1967 until 2006 (when New Zealand coins were redesigned). These coins were of the same material and size with near identical obverses, so could circulate outside their home country for some time, although the New Zealand coins were worth about 20% less, potentially resulting in a small gain (to those passing them) in Australia and a similar loss in New Zealand. The Canadian quarter was also accepted by at least some US vending machines interchangeably with the US quarter until at least the start of the new millennium. The usefulness of this to offenders varied greatly over time; during the 1970s and 1980s, the Canadian and US quarters were very similar in value, but in the 1990s the Canadian quarter was worth as little as 16 US cents.

In the UK, during the late 1990s some coin operated slot machine
Slot machine
A slot machine , informally fruit machine , the slots , poker machine or "pokies" or simply slot is a casino gambling machine with three or more reels which spin when a button is pushed...

s would accept two Austrian Schilling
Austrian schilling
The schilling was the currency of Austria from 1924 to 1938 and from 1945 to 1999, and the circulating currency until 2002. The euro was introduced at a fixed parity of €1 = 13.7603 schilling to replace it...

s glued together as if they were a £1.00 coin. Seeing as the two original coins had a net value of under £0.10 at the then-current exchange rate, this "trick" could net a profit when playing as the cost to play the machine had been reduced by over 90%. It did not take long for industry to reprogram the coin detectors to detect and reject the "Austrian Schilling trick".
Not long after it was possible to buy on the internet a bag of 100 washers for under £20 that had been deliberately made to fool the machines into thinking they were £1 coins. Again profits could be made, and again the industry reacted promptly. Coin detection devices were replaced with improved ones in a matter of days, the web site selling the "washers" was closed down, and the owner prosecuted.

Etymology

The term slug refers to a lump of metal
Metal
A metal , is an element, compound, or alloy that is a good conductor of both electricity and heat. Metals are usually malleable and shiny, that is they reflect most of incident light...

 that is used as a substitute for something genuine.

Composition comparison

Slugs are usually made from metals differing from those of real coins. While genuine coins in the United States currency are made from various alloy
Alloy
An alloy is a mixture or metallic solid solution composed of two or more elements. Complete solid solution alloys give single solid phase microstructure, while partial solutions give two or more phases that may or may not be homogeneous in distribution, depending on thermal history...

s of copper
Copper
Copper is a chemical element with the symbol Cu and atomic number 29. It is a ductile metal with very high thermal and electrical conductivity. Pure copper is soft and malleable; an exposed surface has a reddish-orange tarnish...

, nickel
Nickel
Nickel is a chemical element with the chemical symbol Ni and atomic number 28. It is a silvery-white lustrous metal with a slight golden tinge. Nickel belongs to the transition metals and is hard and ductile...

, and zinc
Zinc
Zinc , or spelter , is a metallic chemical element; it has the symbol Zn and atomic number 30. It is the first element in group 12 of the periodic table. Zinc is, in some respects, chemically similar to magnesium, because its ion is of similar size and its only common oxidation state is +2...

, Canadian coins are made mostly from steel
Steel
Steel is an alloy that consists mostly of iron and has a carbon content between 0.2% and 2.1% by weight, depending on the grade. Carbon is the most common alloying material for iron, but various other alloying elements are used, such as manganese, chromium, vanadium, and tungsten...

 with some copper and nickel, and Euro coins
Euro coins
There are eight euro coin denominations, ranging from one cent to two euros . The coins first came into use in 2002. They have a common reverse, portraying a map of Europe, but each country in the eurozone has its own design on the obverse, which means that each coin has a variety of different...

 are made from steel, nickel, and brass
Brass
Brass is an alloy of copper and zinc; the proportions of zinc and copper can be varied to create a range of brasses with varying properties.In comparison, bronze is principally an alloy of copper and tin...

, slugs are frequently made from differing metals and alloys that are cheaper to obtain and mold, such as aluminum, tin
Tin
Tin is a chemical element with the symbol Sn and atomic number 50. It is a main group metal in group 14 of the periodic table. Tin shows chemical similarity to both neighboring group 14 elements, germanium and lead and has two possible oxidation states, +2 and the slightly more stable +4...

, and lead
Lead
Lead is a main-group element in the carbon group with the symbol Pb and atomic number 82. Lead is a soft, malleable poor metal. It is also counted as one of the heavy metals. Metallic lead has a bluish-white color after being freshly cut, but it soon tarnishes to a dull grayish color when exposed...

.

Slugs may or may not have the face details of real coins. Some slugs that are made to match the face details may not be immediately recognizable as such to handlers, and may enter circulation
Circulation (currency)
The social system in which we live has usually developed to the stage for money to be used as the medium for the exchange of goods and services. Hence the money is an important aspect of the general social or macroeconomics system...

.

Older, cheaper, and other low-tech machines that have fewer security measures are more likely to be defrauded by slug users. As an example, the full-mechanical machines still used today in candy machines can be fooled by a cardboard coin. Many newer machines, especially those found in casinos, have additional detection that can identify more details of coins and detect those that do not resemble real coins.
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