LUSAKA, Zambia — Treasury Secretary Janet Yellen said the Federal Reserve probably wouldn’t accept a $1 trillion platinum coin if the Biden administration tried to mint 1 to avoid breaching the personal debt limit, dismissing an notion that has been floated to circumvent Congress on the challenge.
Some Biden administration officials and Democrats on Capitol Hill have mentioned the possibility that the Treasury could use an obscure legislation authorizing platinum coins in the occasion of a potential default. Underneath the proposed plan, the Treasury would mint a $1 trillion coin and deposit it at the Fed, and then draw the income to pay back the country’s payments.
