History of Challenge Coins

A challenge coin is a specially designed and customized coin or medallion that typically carries some form of emblem, logo, or insignia representing an organization, unit, or group. These coins are often used as a form of recognition, reward, or token of affiliation. Challenge coins have a long and storied history dating back to ancient times, but their modern origins can be traced back to military traditions in the United States. 

The modern challenge coin tradition is often credited to World War I. Some accounts suggest that American pilots in France carried specially minted coins as a form of identification. If a pilot was challenged to prove their identity, they could show their coin.

According to Wikipedia, “in one squadron, a wealthy lieutenant ordered medallions struck in solid bronze and presented them to his unit. One young pilot placed the medallion in a small leather pouch that he wore about his neck. Shortly after acquiring the medallion, the pilot's aircraft was severely damaged by ground fire. He was forced to land behind enemy lines and was immediately captured by a German patrol. In order to discourage his escape, the Germans took all of his personal identification except for the small leather pouch around his neck. In the meantime, he was taken to a small French town near the front. Taking advantage of a bombardment that night, he escaped. However, he was without personal identification. He succeeded in avoiding German patrols by donning civilian attire and reached the front lines. With great difficulty, he crossed no-man's land. Eventually, he stumbled onto a French outpost. Saboteurs had plagued the French in the sector. They sometimes masqueraded as civilians and wore civilian clothes. Not recognizing the young pilot's American accent, the French thought him to be a saboteur and made ready to execute him. He had no identification to prove his allegiance, but he did have his leather pouch containing the medallion. He showed the medallion to his would-be executioners and one of his French captors recognized the squadron insignia on the medallion. They delayed his execution long enough for him to confirm his identity. Instead of shooting him they gave him a bottle of wine.”

After World War I, challenge coins continued to be used within the military as a way to foster camaraderie and esprit de corps. Units and divisions began creating their own unique coins to represent their identity. Each branch of service has its own traditions. They were often presented by commanders to recognize outstanding service, achievements, or as tokens of appreciation.

There are various rules and traditions associated with challenge coins, including rules about when and how they should be presented or "challenged." Typically, if someone presents their coin and challenges others to produce theirs, those without a coin must buy a round of drinks, while those with coins can challenge the original challenger in return.

The history of challenge coins is rich and varied, and they continue to hold significance in various organizations and communities today. They are symbols of pride, camaraderie, and accomplishment, with each coin often telling a unique story of the organization or individual it represents.