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Converting regular coins into Casascius like coins, is there a way?

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Disclaimer: noob here, noob thoughts below. These ideas are only theoretical, posted for educational purpose, might be illegal and thus I'm not willing to implement them.

In my country we have loads of government-issued coins nobody uses because the currency has been debased to death. Our highest denomination coin, the 10 pesos coin, is currently worth 0.027 USD (officially) and 0.010 USD (actual market price).

How cool would it be if there was a cheap, trustless way of turning these coins nobody uses into Casascius like coins, which people could use to exchange fixed amounts of bitcoins.

Some considerations:

  1. Casascius coins were great, but not trustless. They also leveraged a tamper-evident hologram to hide the private key, which is impossible to replicate, and too old school.

  2. The idea would be to use a more modern digital mechanism to link the private key and the coin together. Something similar to what Coinkite is doing with the Satscard, but with regular coins that are altered in some way (reminted? engraved?) to contain a QR/passphrase, that can be used to redeem the private key. Every time the coin changes owner, the new owner should be able to quickly verify that the address has funds, and that the private key has never been redeemed. Also, the previous owner needs to lose the ability to redeem the private key (how?).

  3. The funding/redeeming system needs to be transparent/open-source/decentralized/anon/etc.

A spin-off idea: let's say the above is doable, and could be replicated for bills as well. It'd be awesome to "fund" the bills with the exact BTC value of each bill at the time of funding. It would make the future debasement evident and provide educational value.

E.g. Today I "Casasciusize"/"bitcoinize" a 2000 peso bill (highest denomination we have, worth today 2.14 USD, 0.000059 BTC). I fund it by sending 0.000059 BTC to the corresponding address, and engrave on it the QR/passphrase and the message "Contains 0.000059 BTC, equal to 2000 pesos on 18-Nov-2023". People who see the bill in 2028 will be shocked at how poorly the peso performed.

Do you think this is doable? Has anyone done anything like this?

submitted by /u/doctoraAMOR
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