Wrong way around

Money and Banking blog gets the world backwards.  They claim government gets a free ride when crooks hold large amounts of cash.  Not so, crooks hold large amounts of cash because they know government cannot survive without seigniorage. Hence, the perpetual demand that government has for money.

Notably, a large chunk of the 12¾ billion $100 bills is outside of the United States. Estimates of the share abroad range as high as three-quarters (see Linda Goldberg here and here, and Ruth Judson, here) Lower estimates, such as those of Edward Feige, suggest that the share is closer to one-quarter. The Financial Accounts of the United States (line 36 of table L.204) put the total value of U.S. dollar currency held outside the country at $676 billion. Assuming this is almost entirely in the form of $100 bills, it represents about one-half the number in circulation.Regardless of who holds all this currency and whether the crooks are inside or outside the country, the growth is a significant source of revenue to the U.S. Treasury. How does the government obtain this seignorage? To get the notes into circulation, the Fed issues them as liabilities and buys Treasury securities that the public would otherwise have to buy. So, in this case, the government really is printing money and spending it!