U.S. to Retire Penny, Potentially Boosting Interest in Bitcoin’s Micro-Units

The U.S. government will eliminate the penny by 2026 due to rising production costs and declining usage. President Trump and lawmakers have announced this decision, signaling a shift in cash handling policies. While the impact on digital payment systems is largely unaffected, it may increase interest in alternative micro-units like Bitcoin’s satoshis. The U.S. Treasury will halt penny production, as outlined by the Common Cents Act and guided by representatives McClain and Garcia, to round transactions to the nearest nickel. This move could save the government $56 million annually. 7 While the decision does not directly impact Bitcoin regulations, experts believe it might influence cash handling strategies, potentially sparking increased adoption of digital payment methods.