In some states, like NJ and Nevada, gaming control dictates what is to become of chips that are no longer in use when they are retired or the casino closes. In these states the retired chips are usually destroyed. The retired chips usually become more valuable because there are less of them around. Sometimes they are hoarded before being retired, so there may be ample supply and prices may not go up.

In locations without these rules, California and Puerto Rico for example, retired chips are typically sold off like furniture and fixtures for pennies on the dollar. You can expect prices to plunge then this happens as there is an abundant supply and the chips cannot be redeemed for face value.