Last US penny minted shows why savers need Bitcoin
- BTC
- FIAT
- MACROECONOMICS
Overview
The last US penny minted highlights the growing concern over the cost of producing fiat currency amid rising inflation. This situation underscores the argument for alternative forms of savings, such as Bitcoin.
What Happened
The last US penny, valued at $0.01, has a minting cost that is approximately 3.7 times its face value. This disparity illustrates the impact of inflation on the value of fiat currency. As inflation continues to erode purchasing power, the economic rationale for traditional currency becomes increasingly questionable.
Why It Matters
The high cost of minting the penny serves as a tangible example of the challenges facing fiat currency in an inflationary environment. With the production cost exceeding the actual value of the coin, this scenario raises important questions about the sustainability of physical currency as a means of saving and transactions.
Impact on the crypto market
- The rising cost of minting fiat currency may encourage more individuals to consider alternative assets.
- Bitcoin and other cryptocurrencies could be viewed as more viable options for savings.
- The situation may prompt discussions about the future of traditional currency systems.
- Increased awareness of inflation’s effects could lead to greater adoption of cryptocurrencies.
- The disconnect between minting costs and currency value could influence public perception of fiat currency stability.
Updated: 11/13/2025, 5:25:55 PM