You can mail in a #10 envelope if you place the chip in a rigid mailer such as a Saf-T-Mailer (glued cardboard), bubble wrap, or some such. Tape this mailed to the center of the envelope, so that it cannot move to one side or the other. Also add a sheet of plain white paper inside the envelope. Now seal and use two stamps, a regular one (I think 73 ¢ forever stamp nowadays, and the Additional ounce stamp which shows a butterfly. Not sure the exact "penalty postage" but $1.19 sounds about right. Mark the outside of your envelope "NON-MACHINEABLE" so that the post office does not send it through the automatic cancelling machine; they are supposed to hand-stamp the envelope. That should do it but some postal clerks still raise a big fuss when they see such a mail-piece.

Another idea is to use a small bubble mailer and pay the Small Packet Rate of something like $5.60. Ahhh, the high price of satisfaction in our hobby!