Super Jet Brunette 2nd annual Coin- 20th anniversary WTC Memorial -2021

Wiki defines a #challengecoin as a small coin or medallion, bearing an organization's insignia or emblem and carried by the organization's members. Traditionally, they might be given to prove membership when challenged and to enhance morale. They are also collected by service members and law enforcement personnel.

After researching on the internet, I cannot seem to find the exact instance or reason the challenge coin was created, but I found that coins were given to soldiers as a token of gratitude for their valor, and exceptional service. We similarly give coins for the same reasons today in both the military and civilian world. In addition coins are given to members of clubs, specific military units, and as a token of hope..

One of the earliest challenge coins was given by Colonel “Buffalo Bill” Quinn, who led 17th Infantry Regiment, during the Korean War. The challenge coin featured a buffalo on one side, and the Regiment’s insignia on the other side. A hole was drilled in the top so the men could wear it around their necks, instead of in a leather pouch.

There is some evidence that links the challenge coins with branches of the military as far back as in the days of Ancient Rome. These coins had been given in conjunction with their coins for payment. Some coins were marked with their Legion/ Military Unit and kept as a momento of their time in battle. 

 A NY Times article from by Emily Baumgaertner on April 11, 2018 eloquently answers this question below.

Challenge coins were never officially sanctioned, so the history behind the tradition is widely debated among military historians.

A common narrative purports that a wealthy American lieutenant in World War I distributed matching bronze coins to his unit members before they were deployed. When an American fighter pilot was captured by Germans and escaped to a French outpost, he was assumed to be a German spy — until he presented the challenge coin around his neck. According to the tale, the coin saved his life — and earned him a bottle of French wine as reparation.

Other historians believe the tradition began in an infantry-run bar in Vietnam, where patrons were required to present enemy bullets or their challenge coin upon entrance.

In keeping with either narrative, challenge coins still earn service members their share of alcohol. Military members often tap their challenge coins upon meeting in a bar — shouting, “Coin check!” — and anyone who either cannot produce one or is the last to show it buys the first round of drinks.