Former president Donald Trump warned that the U.S. currency was crashing and wouldn’t be the world standard any longer. He may have been onto something. Recently, Russia, China, and Brazil have been part of the growing list of countries that have embarked on policy of de-dollarization.
Understanding dollarization and how it affects both the United States and other countries is prudent. And it’s important to know why more countries are calling for de-dollarization and how that affects the U.S. economy.
Worldwide Dollarization and How It Works
The U.S. dollar is part of 88 percent of all international transitions. It is the dominant international reserve currency. The result is that every central bank and major firm worldwide keeps U.S. dollars among their foreign exchange holdings….