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What do the coin grade abbreviations G3, VG, EF40, etc. mean?

There are coin grading standards set by the American Numismatic Association which determine the quality, and therefore the value, of a coin, and range from MS(Mint State)-3 (the lowest quality possible) to MS-70 (the highest quality possible). You may view a general description of the grades and their meanings at this link:

Coin Grading Guide