Yes, burning money is illegal, especially in the United States. Firstly, the government has a regulation that helps it keep the integrity of the currency system. Paper money is not only for you to break, but it is still regarded as government property. If you break it, even if it’s only a dollar, you are, in fact, reducing the amount of money in circulation. And that is the very thing the law is trying to stop.
And yes, it is a fact that there are very few cases where people have been arrested for burning a single banknote. Nevertheless, such a law is still in place, and it is applicable to everyone. It is justice that is less about retribution and more about safeguarding the organization from such small-time crimes.
Has Anyone Actually Gotten in Trouble for It?
Usually, the answer would be negative. Typically, a person will not be arrested and put in handcuffs just because they have set fire to some money, in particular, if this act is related to a demonstration, an art project, or is a symbol. Several people have made and spread videos of themselves performing such actions in public, and the majority of them have not been legally prosecuted.
However, if you overdo it, destroy a large amount of money, or do it so that the authorities can easily notice, it will turn into a problem very fast. One example is the incident in the 1960s when a young Marine was discovered cutting coins to fool vending machines. He was not incarcerated but instead received a monetary penalty and was given probation; the event was with him for a long time after. So, small money-related things are not always without risks either.
What If You’re Trying to Make a Statement?
That’s the point where things become a little bit tricky somehow. Another issue is that the Constitution of the U.S. safeguards the freedom of speech, which embraces the symbolic expressions, for instance, a protest in which the burning of an object is involved. So, by all means, a political or artistic statement through money burning could be considered as one of the free speech categories.
However, and this really matters, if the authorities are convinced that you are purposefully damaging money, then it can be considered breaking the law. The main thing that the law focuses on is the perpetrator’s intent and the way others perceive the act. So, don’t get carried away with it. It is still possible that you are not wholly free from suspicion, even if it was legal.
Does Burning Money Actually Affect the Economy?
Surprisingly, the answer is yes, but only to a minor extent. By burning money, the amount of cash in circulation is being lowered, albeit by a few dollars, which is a negligible amount. In a way, the money that is still in circulation is holding a slightly higher value than before.
Some experts in the economy are of the opinion that the destruction of money is similar to offering a tiny present to the community as a whole; you are sacrificing your slice of the economic pie. Pretty crazy, isn’t it? However, when we are talking about the whole economy, it is just a tiny drop from the bucket that hardly makes any difference.
