Originally posted on https://customchallengecoins.net/what-is-a-challenge-coin-how-it-began/

 

Did you know those non-monetary incentives are as effective as monetary incentives when it comes to employee motivation?

For a long time, challenge coins have been a popular way of motivating teams and developing a sense of camaraderie.

This tradition is deeply rooted in the military and there is a long history to it. Today, challenge coins are commonplace in workplaces, corporate events and even in sporting.

So “What is a challenge coin?” you might ask. In this article, we shall discuss what these coins are and the history behind their existence.

What Is a Challenge Coin?

These are coin-sized medallions given to soldiers in recognition of their achievements.

Each unit in the military has its own unique coins.

Each new member receives a coin. Soldiers who perform exemplarily well during battle are also appreciated using unique coins. There are also other coins presented to soldiers as they rise in rank.

In the military, the more challenge coins you have the more respect you garner. The main idea behind challenge coins was to instill a sense of unity and pride as well as acknowledge valiant effort and excellence.

The History Behind Challenge Coins

Though challenge coins can be traced back to the US military, there are contradicting theories as to when and why they were actually first used.

The Most Common Theory

This theory takes us back to the First World War.

Many people volunteered as the US was building its first Army Air Service. Among the volunteers was a wealthy lieutenant. He ordered several coin-sized bronze medallions to be made as he wanted to give the members of his unit a memento.

He put a small leather strap in his medallion to wear around his neck. During service, he was fortunate enough to survive when his plane was shot down over Germany.

He was captured by a German patrol unit who took all of his identifiable items. They did this so that he had no way to identify himself if he escaped. The only thing they left on him was his pouch with the medallion in it.

Later on, he was taken to a small town near the front lines of the war. He managed to find civilian clothes and escape.

He stumbled into a French outpost where he was presumed to be an enemy because they were wary of people not in uniform and did recognize his accent.

The French soldier wanted to execute him because they also couldn’t ID him.

The lieutenant remembered he still had his pouch around his neck and showed them the soldiers his unit’s insignia. Luckily for him one of the French soldiers recognized it and he was spared.

As an apology for almost executing him, the French soldiers gave him a bottle of wine. He was then able to get back to his unit and since then it became a tradition that for all soldiers to carry a unit-coin at all times just in case.

Second Theory

There also those who have another version of how challenge coins came to be.

In this theory, the tradition started in Vietnam. An infantry-run bar tried to keep non-infantry men away by forcing them to buy drinks for the whole bar if they had no proof they had been in combat.

Initially, infantry men used bullets to prove their combat experience. It then got a little out of hand with grenades and other unexploded materials.

Later on, the accepted item of proof became a medallion with the insignia of the unit. That’s when the coin check tradition began and which still continues today with the coins referred to as challenge coins.

What’s the Challenge Behind Challenge Coins?

Though the introduction of challenge coins is unclear as they were first used in an unofficial capacity, there is some clarity as to when they truly became challenge coins.

As soldiers collected artifacts of war during the Vietnam war, they would place them on the bar and see who had the biggest memento and best story. The perceived loser would buy a round for all the parties involved in the challenge.

To avoid losing, soldiers started coming with dangerous explosives. This attracted the attention of the administration which opted to introduce the challenge coins to avert disaster.

The tradition of the challenge still goes on. Any soldier can initiate it by holding their coin in the air, placing it on the table.

Those being challenged have to draw their coins in a similar manner. If anyone does not respond correctly, they have to buy a round for the entire group. If everyone produces their coin, it is then up to the challenger to buy drinks.

How Are Challenge Coins Used Today

They are still a very big part of military culture. Service men pride themselves in the coins they collect for valor and rank. However, challenge coins have also been adopted in other fields for various reasons. The following are some of them.

To Recognize the Efforts of First Responders

Firefighters and law enforcement agencies have adopted the use of challenge coins to honor special accomplishments in the line of duty.

Government agencies and politicians have also not been left behind. They use challenge coins to create a sense of honor and unity at a time of tragedy by recognizing the efforts of first responders. Even citizens can be awarded.

Branding

These days, institutions leverage the respect people have on challenge coins to promote their brand. Instead of just issuing business cards, companies are giving out branded challenge coins during conferences, trade shows, and sales events.

Sports teams and schools have not been left behind either. During sports and local community events, mascot and logo branded coins are handed out.

Awarding and Creating a Sense of Unity

Personnel and team members who discharge their duties exemplarily well are awarded coins. This boosts their morale to continue working hard as well as challenge the rest of the team to work as hard.

Institutions have also begun issuing different teams with unique coins to help create a sense of unity and belonging. This then improves teamwork and cohesiveness.

Leverage the Power of the Coin

What is a challenge coin really? Well, what began as a simple gesture among servicemen is now one of the best tools for instilling espirit de corps that extends well beyond the military.

Organizations can now leverage this power to create cohesive teams and grow their brand.

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