The Canadian National Mint stopped circulating the penny this week. The copper metal value exceeds their Canadian face value by over 2.5x. For those of you that are mathematically challenged that means it was costing 2.5 cents for each penny produced and it wasn’t financially feasible to keep making the coins at a loss.
Canadian businesses will now begin to round cash transactions to the nearest five-cent increment and it’s up to businesses to decide whether they will accept the coins and from there hand them over to the banks. The copper penny has 95% copper and 5% zinc. The Canadian Mint will begin to round-up the 35 billion of them still in circulation and begin to melt them down and recycle the metal. It is illegal for people to melt legal tender and the penny will remain legal tender for the foreseeable future.
It was probably the right thing to do but I still find it sad. I guess children of the future will learn to count with nickels from the change jar. And so a tribute to the penny: