The US Treasury has printed up the new high tech 100 dollar bill that was due to be released in Spring 2011. There is only a slight problem, after printing up over 1 billion of these new pieces of fiat paper, they realized they had a quality control issue. The bills were not fully printed.
This has caused the US Treasury to have to reprint older generation 100 dollar bills from the Hank Paulson era, while they work on getting a mechanical solution to sorting the new currency into usable and unusable piles.
There are over 1 Billion of these new bills in quarantine, with little to no idea when they will be able to fix the printing process that caused this issue. They are estimating that as many as 30% of the bills have the flaw in them.
“There is something drastically wrong here,” a person familiar with the situation said. “The frustration level is off the charts.”
The print run equals about 10% of the global currency for the US, which is estimated at 930 Billion or so in physical cash. These bills cost about 13 cents each to print, which means that the US Treasury has spent $100 million or so on worthless paper that will have to be burned.