The trillion-dollar coin, an idea that surged as a solution to raising the U.S. debt ceiling on more than one occasion, was recently revealed to have been considered by the government several times. Memos obtained via FOIA requests by journalist Jason Leopold show that, even though it was considered outrageous by some, it was seriously discussed by the Treasury Department.
Feasibility of Trillion-Dollar Platinum Coin Discussed by US Government, FOIA Documents Show
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Documents Show U.S. Treasury Discussed Debt Solving Platinum Trillion Dollar Coin Idea
The trillion-dollar coin, a platinum coin that would be minted by the U.S. Treasury Department to be delivered to the Federal Reserve to pay for the rising national debt, was considered outrageous by analysts back in 2011 when it first rose to attention.
The idea, based on the legal capabilities of the U.S. Mint for issuing large denomination platinum coinage, has been brought to the public spotlight several times, mostly where debt ceiling discussions have been taking place.
Ultimately rebuffed by Treasury Secretary Janet Yellen, who qualified it as a “gimmick,” stating that it was not what the world needed from the U.S., recent memos recovered via Freedom of Information Act (FOIA) requests show that discussion over this idea did have a place in the high echelons of the government.
Memos obtained by Bloomberg’s investigative journalist Jason Leopold, though heavily redacted, prove there were discussions about the issuance of a “large denomination platinum coin,” and the possible authorization of the Treasury Secretary regarding it in 2013.
Then, in 2015, another document revealed that there were talks (“oral advice”) between the U.S. Treasury and the Office of Legal Counsel regarding the debt ceiling issue involving the trillion-dollar coin idea. More discussions took place in 2023 when another debt ceiling crisis was averted via a bipartisan agreement to suspend the debt ceiling until January 2025.
These discussions show that the idea might be considered by the government seriously in subsequent debt crises, now that the US debt has surpassed the $35 trillion mark.
What do you think about the platinum trillion-dollar coin proposal to alleviate the U.S. national debt? Tell us in the comments section below.
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