The national coin shortage can redefine the economy

Many Americans are changing the way they spend, save and invest their money. Photo courtesy Getty Images

As essential businesses remain open during the pandemic, many are experiencing a coin shortage. Americans have the option to either pay with exact change or a debit/credit card.

According to usmint.gov, COVID-19 has disrupted the supply channels. Social distancing guidelines have catalyzed this nationwide scarcity in coins. Main contributors to this system, like coin recyclers, have been unable to leave their homes.  

The United States Mint is asking Americans to start spending their coins, depositing them, exchanging them for currency at financial institutions or taking them to a coin redemption kiosk.

Although this suggested strategy can potentially speed up the process, many Americans are discovering how valuable their contribution to the economy is. 

Geremy Jackson, an Entrepreneur and Forex investor believes that despite the current state of the economy, it’s still at an all time high. The coin shortage did not affect the Forex market. Jackson believes that this economic setback is just another milestone in change. 

“We have access to many perks that wasn’t accessible in the world before. As far as platforms such as Forex that brings independence to individuals such as myself,” said Jackson 

This chart depicts the U.S. Mint’s annual coin manufacture from 2016-2020. Photo courtesy statista.com

Some essential businesses are even offering incentives for economic relief.

A customer service representative at Kroger grocery store in Stockbridge, GA, who wants to remain unnamed, noticed an inactivity in the stores Coinstar. As a result, Kroger is currently offering a unique proposition. 

“Since the registers no longer have coins in them, customers can now sell rolls of coins to us. Also, if someone chooses to pay in cash, their coin change will get added to their Kroger card. It’s an even exchange,” said the Kroger representative.

Coin driven establishments like laundromats and vending machines are said to be mainly affected in this national issue. However, some of these companies are changing the narrative. 

Zenya Rosales, an employee at First Coin Laundry in Jonesboro, Georgia, appreciates the business they are still receiving during the coin shortage. 

“Everything is fine, everything has been the same,” said Rosales.

According to federalreserve.gov, the U.S Mint has minted almost 1.6 billion coins since June and will be producing 1.65 billion coins a month for the rest of the year. The Federal Reserve believes that more coins will start streaming back into the economy once the market recovers. 

Even though the pandemic has caused a short-term coin shortage, it allowed many businesses and customers to start focusing on long term financial stability. Americans are seeing the value of saving and investing.