The singer songwriter was chosen by a public vote in which he bested author Jane Austen and several other British cultural figures.
The commemorative Royal Mint coin with a face value of 5 pounds ($8) went on sale Friday. Collectors will be charged 44.99 pounds for each of the limited edition coins.
The former Beatle will join William Shakespeare, Winston Churchill, Charles Darwin, Florence Nightingale among British luminaries whose images have graced special coins.
The coin shows Lennon with long hair and sideburns and his trademark round glasses.
Lennon would have been 70 this year. The airport in his home town of Liverpool has been named after him.