technically true but "physical bitcoin" is the official term used to describe this type of products specifically Casascius coins https://en.bitcoin.it/wiki/Casascius_physical_bitcoins and it comes from the fact that they have physical form and exactly because they can be traded "physically" and are not meant to be used as wallets for storage.
whether people pealed off the security to reveal the key and claimed their coins doesn't change the nature of this product.