Yes I've also heard about people 'renouncing' their American nationality to foreign governments, not informing the US, keeping their passport, and not having an

Yes I've also heard about people 'renouncing' their American nationality to foreign governments, not informing the US, keeping their passport, and not having any issues. I've also heard about people exaggerating facts to ensure their children (born abroad) obtain US citizenship (possible if the parents are American and have lived in the US for some amount of years - there's the catch). The problem is that you really don't want to be in a limbo state with your citizenship. Some politicians or bureaucrats in the future could decide that there are a lot of people abroad collecting social security, let's audit their citizenship.