The Shortage of Pennies and the Future of Money
Day by day we see more and more examples of why Bitcoin is the answer for so many of this world’s and society’s ills – I’ve been hearing and seeing there’s a supposed shortage of coins across the US, well we all know Bitcoin fixes this. Got satoshis???!!!
The Shortage of Pennies and The Future of Money
“The implementation of social distancing and hyper-hygienic measures appear to be accelerating the transition to a cashless society. Paper bills and coins are well-known for carrying viruses, protozoa, and other bacteria.
In fact, a widely circulated study from Oxford Academic showed that 79% of all one-dollar bills contain traces of cocaine.
How Did the U.S. Run Out of Coins?
There are two main factors that contribute to this shortage. The first belongs to governments worldwide who are issuing guidelines for consumers and businesses to avoid cash payments where possible. Nevertheless, since it’s not yet illegal, there are still thousands of cash transactions taking place.
Federal Reserve Chair Jerome Powell told members of Congress on June 17 that:
‘the flow of coins through the economy has gotten all — it’s kind of stopped. The places where you go to give your coins and get credit at the store and get cash — you know folding money — those have not been working. Stores have been closed. So the whole system has kind of, had come to a stop. We’re well aware of this. As the economy reopens, we’re seeing coins begin to move around.’
In addition to this reduction, it’s also worth keeping in mind that the U.S. Mint has shut down its operations due to lockdown. Skeleton crews were producing far fewer coins.”