I think the downvotes are mostly due to the gold thing.
it sounds...deranged
FDR used a similar trick to devalue the dollar, allowing him to expand the money supply. Of course this was when the value of the dollar depended on the value of gold, so the motivation and the effects were different.
Domestic debt mostly matters in that it represents money that is “tied up” rather than circulating within the economy for more productive use. It’s a little more complicated since 20% of the “owners” are internal to the government, such as Social Security. And there’s also institutions like mutual funds. But half is domestic private ownership.
If anything, the size of the deficit simply indicates that USD should be valued lower than it currently is, as there’s too many existing claims on future dollars. People bought those claims assuming that the dollar wouldn’t continue to weaken, but that was apparently a mistake.