The Growing Revolt Against the US Dollar
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Writing by Sam Denby and Tristan Purdy
Editing by Alexander Williard
Animation led by Josh Sherrington
Sound by Graham Haerther
Thumbnail by Simon Buckmaster
References
[1] webgate.ec.europa.eu/isdb_res...
[2] www.justice.gov/opa/pr/300-mi...
[3] assets.bwbx.io/images/users/i...
[4] asia.nikkei.com/Politics/Inte...
[5] www.telesurenglish.net/news/6...
[6] www.msn.com/en-us/money/marke...
[7] www.globaltimes.cn/page/20230...
[8] www.europarl.europa.eu/cmsdat...
[9] www.federalreserve.gov/pubs/b...
[10] www.bitcoinandmarkets.com/his...
[11] www.visualcapitalist.com/cp/h...
[12] www.atlanticcouncil.org/blogs...
If anybody wants to discard their stacks of worthless US Dollars, I am setting up a Dollar recycling service, and would be glad to collect them up. I just thought I'd put that out there. lol
You are going to have a lot of work in 5 years.
If you have limited storage space I'm also willing to offer customers room in my house, happy to hold onto the dollars
@@1Surge Said since 1970s
I can help in my area
Well in a few it would probably be worthless even though it's not worthless now.
You get roped in for 10 minutes before you find out Sam has bamboozled you into watching another video about bricks.
Guess who sponsored this video 📹
Best comment right here
lmao I didn't even think about that but yeah, I'm tired of hearing about BRICS. Stop trying to make BRICS a thing, its never going to happen. The idea that a coalition of nations that shoot at eachother, lack functioning democracies, and have minimal international influence will ever be a dominating force is an absolute joke.
The speaker is so stupid. LOL. I certainly sure that he is an American. The way he thinks confirms that.
That was obvious from the title
Three years ago, it was impossible to anticipate the current condition of the U.S. dollar. The United States persists in repeating the same errors responsible for the dollar's current predicament. Consequently, there's no certainty that the dollar's future will be as promising as anticipated.
These are the conditions in which life-changing money is made by those who remain calm, patients, and take controlled risks. Volatility goes both ways, the bigger the red candles, the bigger the green ones.
The dollar had a long and robust life. The U.S citizens are asking for close borders and less international interference, the World is tired of the "The U.S problem is the World problem; the World problem is the World problem" basically. After the pandemic everyone survived and learned. Almost everyone. So, the U.S should give to the citizens what they want. No more imports, no more exports, as far as I saw, many citizens agree they don't need other countries. So, close up, the world will keep spinning. Win/Win The U.S will be happy, the world will be better. Sounds like a dream to me honestly
What I like about Stacy is that THIS IS A BOT CHAIN, IT IS A SCAM, DO NOT TRUST THESE ACCOUNTS.
@@EthertonFOReverBot
I don’t think it’s accidental at all. It seems to be on purpose.
Things are strange right now. The US dollar is becoming less valuable because of inflation, but it's getting stronger compared to other currencies and things like gold and property. People are turning to the dollar because they think it's safer. I'm worried about my retirement savings of about $420,000 losing value because of high inflation. Where else can we keep our money?
Well I recommend you make a diversification plan because it's been harder to build a good financial portfolio since COVID. My colleague suggested I hire an advisor, and I've actually made over $120K with their help during this market crash. They used defensive strategies to protect my portfolio and make profits despite the ups and downs.
My Financial adviser is ‘’Margaret Johnson Arndt’’ she’s highly qualified and experienced in the financial market. She has extensive knowledge of portfolio diversity and is considered an expert in the field. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market
Please tell us who's turning to the usa dollar. Not South America . Not Africa. Not China and Russia. You better brush up on the BRICS
You should buy gold bonds from your trusted government as the money is stored in gold weight and you receive 2% intrest on it.
@@pervfoxtrusted govt lmfao
To whoever made the Reserve Currency Graphs, a tip that I would expect to be lesson 1: don't put indistinguishable colours next to each other, it is very difficult to differentiate between Japanese Yen and Other on the graphs.
Whoever made it got a D in their graphics design class
The person who made the graphic must be color blind
@@BnORailFan Color blinds still know the similar color. Their notation of color is just off from majority..
Few things in life bug me more than non-contrasting reference colors on a graph.
Exactly, I was stumped by this too.
Fun fact, the Byzantine currency was the longest stable currency in history. From 330 ac to its first devaluation at 11th century was almost for 700 years the US dollar of its era.
Lool. "The US dollar of its era". Thats like describing Messi as the Jack Grealish of Argentina".
@@dennohnjogu4028 Nice comparison
@@dennohnjogu4028 wait which country is messi in this football reference then?
and that great currency falls apart when you need to inflate it by 10,000,000% to be able to cover all the demand for it. the US dollar is already inflated to a level to cover all the worlds demand for it.
@@wraithcat76 ye, I mean, the entirety of the Byzantine empire's wealth valuation in over 500 years can be covered by someone like Elon Musk alone. I mean, just Lockheed Martin's r&d expenses in 5 years itself cover all of Byzantine's 500+ years worth of wealth lol
In spite of how everyone is frightened and calling the crash, there is already an excessive amount of demand waiting to absorb it, which is another reason it's less likely to happen that way. This forecast was not made in 2008, at least not by the general public, as I will explain below. The ownership rate peaked in 2004, according to the other comment. We reached a peak in the second quarter of 2020 and are currently at the median level. From 2008 to 2012, it fell by 3%, and in the second quarter of 2020, it dropped from 68 to 65. how can a young man with 200K survive?
Find stocks with yields that exceed the market and stocks that, at the very least, follow the long-term market trend. However, you should get guidance from a financial advisor if you want to create a successful long-term plan...
Yeah, financial advisors could make a lot of difference, particularly in a market such as this. Stocks are pretty unstable at the moment, but if you do the right math, you should be just fine. Bloomberg and other finance media have been recording cases of folks gaining over 250k just in a matter of weeks/couple months, so I think there are a lot of wealth transfer in this downtime if you know where to look. I have been using an FA since 2019, and I return at least $121k ROI, and this does not include capital gain.
Mind if I ask you to recommend how to reach this particular coach you using their service? Seems you've figured it all out unlike the rest of us.
-Have you heard of Kate Elizabeth Amdall"? She gets featured regularly on CNBC. I myself use tax-deferred accounts to hold my investments. That way I avoid capital gains taxes. There are other options your advisor could brief you about....
I just checked her out and I have sent her an email. I hope she gets back to me soon.
Well it's time for the BRICS- New World Order to come up with a default reserve currency or simply go back to gold as the reserve. It will be too chaotic for each country to trade in their respective currencies with the daily change in exchange rates.
All big corps are just a cohort of centralised system working together, and any damage to one can have a dangerous ripple effect on every other one. I learned a long time ago to not trust corporations. Most of my money is in the stock market and my businesses. I keep only what I need to spend in my checking account.
@@Karagoldberg7 Ironically, these are the conditions in which life-changing money is made by those who remain calm, patient, and take controlled risks. Volatility goes both ways. The banks are in a big crisis. The mar-ket looks very shaky. The bigger the red candles, the bigger the green ones. I have made over 280k in the last 4 months by invest-ing through my FA.
@@UshnicYuvnikof How can I reach this advisor of yours? because I'm seeking for a more effective investment approach on my savings
@@LeeWalton6 I personally work with “Colleen Janie Towe, she covers things like investing, insurance, making sure retirement is well funded, going over tax benefits, ways to have a volatility buffer for investment risk. many things like that. Just take a look at her full name on the internet. She is well known so it shouldn't be hard to find her.
@@UshnicYuvnikof She actually appears to be well-read and educated. I just did a Google search for her name and found her webpage, I appreciate you sharing. I will do my due diligence. If She seem proficient. I write her an email and scheduled a phone call.
If I had a dollar every time somebody predicted the collapse of the dollar, I’d have a lot of dollars.
If I had a rupee every time somebody mentions this in comments, I'd have a lot of Rupee.
Yes and I can't believe some people think RMB will replace it. Surely the Euro would be a better option even though it similarly is unlikely to ever replace the USD.
A Yank still in denial
lol. wait for the change in regime. What's so great about Rome these days?
@@RC-eb5hbiNcLuSiViTy and dIvErSiTy 😂😂
I interpret for a Vietnamese company a few weeks ago. They deal with wheels balancers and tire-rimming machine imported from China. Vietnam and China have a massive ammount of trade going on, shares a land border and have similar culture so it would be easy to quote the prices in yuan or VND right? Wrong. Everything is in US dollars and from talking with the Vietnamese company, dealing with Yuan is super difficult and rare, like 1% of deals they have. If the partners say it must be yuan the Vietnamese company have to use under the table means to settle the transaction. Same thing with the PC components industry. You barely see yuan uses here in Vietnam.
Not for long, thankfully. The trade is rapidly getting rid of the USD.
Is this why PC components are cheaper in the U.S than anywhere else even the UK and stuff?
@@StrangerHappened Nah as long as Vietnam and China is still an net export nation and export most of its stuff to the US then Vietnam and China would still have a ton of USD on hand. It would still be more convenient that way.
@@AMD_Fan_98 Higher VAT and taxes rather than currency tricks is the main reason I think.
Thank god someone has a Brain, people who think the DeDollarization is going to happen haven't actually looked into these other "competitive currencies"
A weak dollar can signal an economic downturn, making me to ponder on what are the best possible ways to hedge against inflation, and I've overheard people say inflation is a money-eater thus worried about my savings around $200k
in my opinion, the impact of the rise or fall of the U.S. dollar on investments is multi-faceted but learning how to grow your money has never been easier than now that you can explore and experience a truly diverse marketplace passively by using a well-performing portfolio-advisor.
I'm sure the idea of an invstment-Adviser might sound controversial to a few but based on firsthand encounter I can say for certain their skillsets are topnotch. I've accrued north of 580k within 16-months from an initially stagnant Portf0lio worth 105k.
@@MarkSlavin1 How did you achieve it? I been trying to stick with index funds. I feel this new interest rates hikes could crash this economy. I'm looking out for a better investing strategy, I have a lump sum that inflation is steady eating up.
@@DarleneMurphy774 Laura Marie Ray is the coach that guides, you probably might've come across her before I found her through a Newsweek report, she's quite known in her field, look-her up
@@MichaelDSteffan the above people are likely bots or the same person. All their accounts were created a month ago
Our economy struggling with uncertainties, housing issues, foreclosures, global fluctuations, and pandemic aftermath, causing instability. Rising inflation, sluggish growth, and trade disruptions need urgent attention from all sectors to restore stability and stimulate growth.
Well, I suggest you make a diversification plan because it's been harder to build a good portfolio that stays afloat since COVID. Personally, I garner knowledge from a brokerage Adviser whom I work with, and I've actually made over $350K with their help since February. Very effective defensive strategies are used to protect my portfolio and make profits despite the ups and downs.
My financial advisor is ' Vivian Carol Gioia'. I found her on an interview where she was featured Afterwards I reached out to her on her webpage. she has since then provided me with entry and exit points in securities I focus on.
SCAM CHAIN, DO NOT TRUST.
@@mikeroper353 why does this convo feel very scripted and fake lol 😂
@@hanu6158because it is.
I can only imagine how happy Sam was when he found out the organization was called Brics.
Usa has strategic partner in brics ,India India and China are enemies
It’s looking more and more likely the name will change to BICS.
@@MarcosElMalo2 If Russia is pushed out, maybe Rwanda can be invited into the group just to keep the acronym intact!😜
briCs
@@commandertaco1762 BRIcS
Funniest thing is that shots you've fetched for Sweden, showing Swedbank is actually from Kipsala in Riga, Latvia.
Mistakes like this make me think of this video as entertainment and not an actual documentary
@@harrisonmendes7505 Yeah that mistake is really important of course
Yeah, honestly this dude is not very good at portraying factual information. Hot takes to generate views with too much conviction with his words.
@@mwinsatt i’m sorry if this is stupid question but i can’t tell if ur joking
@@mwinsattAh yes, talking about global currency transactions is the hottest take out there. Nothing gets more views than a guy talking about the history of currency trading. Lmao. What a dumbass
Great video, just wanted to add that some of the jurisdictional links that the US employs to exert its authority upon foreign transactions are highly contested under international law and rejected by the vast majority of the international community of states (in particular currency-based jurisdiction).
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I have made more than 90K USD God bless Lucy Mary Liam God bless United Kingdom 🇬🇧
Thanks for continuing updates I'd rather trade the stock market as it's more profitable. I make an average of $34,500 per week even though I barely trade myself
Thank you Lucy Mary Liam $45,000 weekly Profit regardless of how bad it gets on the economy.
The 13 colonies using the Spanish Real for exchange even after becoming the United States is BLOWING MY MIND 😂
I'm pretty sure each "state" or colony at the time was still just trading in local currency.
Lmao
People used the peso and real domestically in the U.S. into the 1850s. The NYSE was denominated in eighths of a dollar (i.e. reales) until 1997.
What? Spain helped us gain our independence. We were just helping a homie out.
Why spend all the time and money making new coins when you don't have to?
I'd like to add that India actually trades with certain countries using the rupee, where it is cheaper. However we continue to trade with most counties in the dollar. Also I believe that the US is India's largest trading partner. Edit- India also said they won't support the BRICS currency.
That's fascinating, I would have thought that China still would be number one for India. I just looked it up, India exports more to the United States than it does to any other country, but it imports more from China than any other country.
@@musa7606they’re worthless unless they buy something from india. Countries just won’t accept them.
@@musa7606 the sudden oil imports were too large and russia accepted rupees just to avoid USDs, but they dont import much from India so essentially they just have ton of rupee reserves
@@raghavendrasingh5077 You saying russians cannot redeem the rupees?
@@Six_Gorillionthey can always buy other currencies with that rupee but they wont get rupee to rupee because they got to pay a vig on the transaction
I... hadn't realized that currencies had to actually change (proverbial) hands during an exchange. I figured they were directly transmuted somehow. But on second thought, banks and nations probably want to limit who can create and destroy currency at will.
They don't. It's all on ledger that's settled once per week.
Sam always finds a way to mention bricks in any video...!
@@paul.1337How dare you? Kazakhstan is well on its way to a spot in the top 5 economies. 😤
@@KLRH23 Nah, it's bricks. Because the entire concept is dumb as a brick.
Planks
@@jonc4403 denial
@@jonc4403pretty damn smart if you ask me. Russia and China alone have a larger population than the US and Canada easily- why stay a victim to fluctuating US debt at 32 TRILLION when those Brics can remove themselves from the US ability to weaponise the dollar?
If anyone is interested in a deeper dive into the topic, Patrick Boyle and Plain Bagel are both finance professionals and both have great videos on the topic. TLDW of which is no, dollar as a world reserve currency is not getting replaced by yuan or any other currency anytime soon.
It’s not getting replaced by it’s not going to hold the share it did as the world reserve. The goal is to create an alternative not overthrow it(something like the euro).
As of 2007, the mortgage backed security as an investment vehicle was not going to be undermined anytime soon. And as of 2021, inflation was transitory and would be dissipating shortly, and banks were completely solvent. You see, history always happens very slowly, then all at once. And "experts" are always faking it til they make it. Broken clocks and all.
Pretty much. The world runs on Western technology, computer chips, etc. Shut literally any country out of that, they're suddenly irrelevant in five years. Or in China's case, they'd just starve as they desperately need world trade/imports to even feed their own people, let alone run a manufacturing conglomerate. If say, NATO were to break up that would be different, but until that happens the Western countries can just shut out others from trade and watch them fall well behind the rest of the world very fast.
It need to be to over throw white supremacy
@@sharwama992 The $EUR continues to lose value against the $USD.
It is a government inspired crisis this time. The Treasury have to sell Bonds to cover the trade imbalance and the government spending imbalance. In order to sell them they have to raise interest rates and the old long-term, low risk, low interest, AAA investments (including Treasury Bonds), held by the banks (often due to government regulatory policy), become next to worthless. The next milestone is the 15th when the government issue a new batch of Bonds. I have approximately $350k stagnant in my port_folio that needs growth. What is the best way to take advantage of this downturn?
That’s right! Downturns provide plenty of opportunities for regular people to build wealth from the scratch. However, you may need to get some professional advice from an Invest-ment planner if you need an aggressive return.
Recessions are where millionaires are created. After my port_folio took a big hit in April, I was forced to employ the services of an Invest-ment-analyst who has not only accrued a profit of $250k for me since then but has also taught me how.
Please can you leave the info of your investment analyst here? I overheard someone talking about how a couple made $200k during this red season. I need such luck lol
Thank you for this amazing tip. I verified her and booked a call session with her. She seems Proficient.
I Researched her accreditation. She seem very proficient, I wrote her detailing my Fin-market goals and scheduled a call.
The first two minutes so neatly explained and summarized why the US dollar is such a big deal! I never really got that before.
Read about the bretton woods agreement. You will thank me later.
I'm a numismatist so this was fun to watch. Foreign coins like the Spanish reale (called a pillar dollar by Americans) were legal tender til thr 1850s
Wait, what? What mummies have to do with it? 🤔
@@nerenahd In the words of pulp fiction, English motherfucker do you speak it? Nobody said the word mummy
@@nerenahd A numismatist is someone who studies coins or medals
@@Time12366 Oh, damn. I misread it.
@@souventudu6154 😎
We also have to take note of the sheer size of the US economy as an independent nation. US Dollars are PUMPED in and out of other countries for goods and services. As stated in the video, it would take an absolutely massive and catastrophic event to dethrone the US dollar. An event so big, that the US would be just a shell of it's former self or even (dare I say) obsolete.
Or slow decay, as it happened to other empires and currencies.
yyes but no, for another currency to be used it would just need to be easier and more reliable than the dollar, that doesnt mean that the dollar has to dissapear or for the US to be in ruin, just that theres an easier option. look at the euro, the eurozone is great and super rich and productive, but the dollar is more convenient. but that doesnt mean that the euro sucks.
its former self not it's (=it is)
@@VeteranVandal The signs of which are very visible nowadays.
@@sergeigen1 US has enjoyed higher salaries because of fiat currency reserve. It isn't pegged to commodities and the trade can happen without US. US doesn't produce anything and only consumes what the world exports. The economy is around 26 trillion but the debt is even higher at around 31 trillion. It will collapse sooner or later. The BRICS nations can do without having US as a country on the map. There's no real value that US is adding. The services and IT sectors are over valued
Very well written, informative, and nice graphics! Keep it up.
Totally randomest observation: The B-roll shot at 1:39 is (most likely) of the Paris La Defense area. It's not one of the most striking areas in Paris, especially as it doesn't have the Eiffel in view. But I recognize it cos of the less striking Grand Arche in the middle of the shot.
its very beautiful! not as classic, but still very nice
1:25 In case anyone's wondering, 180 different currencies means 16,110 different currency pairs.
In reality it is much less because many currencies have a tied, fixed rate exchange rate. For example many European countries that don't use the Euro have a never changing exchange rate with the Euro. On a much smaller scale the Falkland Islands Pound is always worth the same as a British Pound.
@@Dave_Sisson That doesn't really change the number. It just means that certain exchange rates change very little.
An important thing not mentioned here is that there are countries, such as Saudi Arabia, UAE, and others that want to join BRICS, a list that could grow bigger the more successful the block becomes, and if that happens, that could really strengthen a BRICS currency. Still, as a Brazilian, I don't see the BRICS currency dethroning the US dollar any time soon, it's more of a second option to circumvent dollar dependency, like what recently happened in Argentina when they ran out of dollars.
Brics coruncy will never happen. India and China hte eachother and don't trust each other. I as an Indian know that most of us whould protest against it. We just don't trust those chig chogs.
Completely ignore the fact that Saudis currency is pegged to the USD.
There is really no BRICS, Brazil hovers above bankruptcy for maybe 30 years now. Their currency is pretty much worthless and exists in a small volume. Russian does not have economy or currency. India and China compete and are more likely to end up in war with each other than accept each other currency. China has two currencies, remimbi that can be used only by Chinese and in China. Cannot be exported or swapped, then Juan, which is centralised pseudo-currency of small volume and cannot used without prior approval from CCP representative. BRICS is not really a thing, it's from a paper from 1980 from a London econmist, it means nothing
Also an attempt to take away the dollar as a form of economic leverage. e.g. sanctions against countries. Not that any alternative wouldn't do the same.
Before any BRICS currency can ever even happen China first has to discard its two currency system, then get both China and India to agree on something
0:38 it is not the first time that I notice stock footage from Riga is used when speaking of Scandinavia, makes me kinda proud of my home country Latvia 🇱🇻 😅
The issue with other smaller currency bases is they are easier to manipulate. Further the US does not directly manipulate the currency like China or Russia. Further the size of backed currency is large enough to provide trade. The real reason China wants Yuan to be the global currency, they can decided the value.
Fact: The Chinese RMB has a significant capital flow control and currency exchange control, it is not easy to use and trade with internationally.
yes, practically impossible. You literally need China govt approval for every single transaction. I was in a top-dozen bank and when we wanted US$1billion worth of RMB around 2010 to invest in China we had to submit our entire company bona fides, balance sheets, P&L for five years, and wait months for permission for that single transaction.
Yup, because every time they open it up they get massive flows out of the country. The people with power and money within China don't even want the Yuan.
@@lqr824Exactly. If it was that easy to move money, Jack Ma would have been an American citizen by now. Haha
if only China had their own version of Bretton Woods Agreement after a massive victory over a war
@@sinoroman > if only China had their own version of Bretton Woods Agreement after a massive victory over a war Winning a war isn't sufficient. You also need an open society and open economy. The US has had an open economy since the US's founding (and the colonies before that). China has no such thing.
it's crazy how money is real. i'm trying to go live in the trees
money does not grow on tree, so you will not be bothered.
Go eat up that OF man
L
You'll be back.
you can live in a tree, until the money follows you and cuts it down.
Dope video and great insight as always, this really puts both perspectives into thought!
no man the video is $#!+
Very well written, informative, and nice graphics! Keep it up.. Very well written, informative, and nice graphics! Keep it up..
If USD falls, then the Euro has a massive head start on any new BRICS currency. Most of Europe uses it, and the European countries that don't use it will exchange it because their trading partners use it.
The Euro is also used in South America, in France, specifically French Guiana, which isn't a colony, or overseas territory, but a literal part of France.
Good point, just because BRICS takes the USD down doesn't mean they'll be the one to replace it. I think more countries would be comfortable switching to the Euro since the EU is much more stable than BRICS, plus there's more countries in that organization so the power is spread out a little bit more. Not to mention the US, despite losing their crown, would still be one of the top economies and would likely support the EU over anything else.
China on it's own is bigger than the EU economically and is more likely to get the gulf states over the EU so trade in oil would be in Chinese yuan over Euro's.
Yeahhh, no this just isn't true. This is an ignorant westerners' dream, if the Dollar-centric world we live in falls, in the world we live in right now, China wins by default. Currency matters specifically because it's one of the few ways China can topple the US global dominance without something more drastic taking place, like war or overt conflict. China has most of Africa bought and paid for. China controls 45% of global manufacturing. China has the entire ME and Gulf onboard because the US backs Israel, and occasionally comes and invades countries without provocation, and most of the Gulf isn't down with that. China's military, political, and economical might wipes the floor with the EU The only saving grace is what was referenced in the video. Chinese supremacy is limited to China because that's how they built their country, from the inside out, so quickly. Conversely, US supremach is defined by it's influence and control of the world outside it. The US loses that power practically overnight if it chooses to abuse it, which makes it a moot "trump card" to hold. And if China truly does find a way to weaponize its currency without shaking its powerbase internally, there is no country, or "Union" on earth that is standing against it. Today, on a de-facto basis, if the US isn't the US anymore, China wins. Nobody else can compete. The EU will very quickly bow down because it's nation states are dependent on Chinese imports.
@@Ushio01yeah but you know Europe does much more trade than china The EU has a legal system much better than china And the EU has a financial hub much larger than china
The dollar isn't going anywhere when you consider the capital restrictions imposed by many BRICS nations.
None one would use BRICS currency as they are not stable. Lebanon is in crisis and they switched to USD they would not think of CNY, USD will take many years to fall.
Bidens error in going after Russia's assets will be what crushes the dollar. BRICS is gaining and will continue to
Wouldnt be a problem even if the dollar were replaced
@@grimaffiliations3671 it would be a problem. What would you do with all the debt
@@desperado914 we can still service any debt denominated in dollars
Love the videos, man. Keep it up!!!
00:00 Currency exchange and trade logic 00:30 Challenges of trading less commonly used currencies 01:26 The dominance of the US dollar in global transactions 03:24 Historical examples of dominant currencies 06:29 The pound sterling as a reserve currency 07:34 The US dollar's role as the global currency 09:09 US sanctions and their global impact 10:06 The debate over the power of a single country in global finance 11:04 Russia, Iran, Argentina, and Brazil are progressively connecting their financial systems to reduce reliance on the dollar. 11:32 BRICS, a collection of fast-growing nations, is discussing the creation of a new international currency for dollar-free trade. 12:19 Economists believe a BRICS currency could pose a strong challenge to the dollar's reign. 13:15 There is evidence of a dedollarization trend, but it is uncertain if it will lead to the end of the dollar's supremacy. 14:03 BRICS currency and the yuan face obstacles in replacing the US dollar globally. 17:23 The end of the dollar's supremacy could occur through a massive economic collapse or overwhelming international consensus against the US. 19:21 The forces keeping the dollar in the top spot are strong, and its fall would require a fundamental shake-up of the world order.
Money and macro (a economist teacher) also has a great video on the subject. He concluded China still has a long way to go due to ease to obtain loans, trade imbalance, (importing more than exporting) and large free markets
If I had to pick a currency to be the global currency, I think I’d pick the Euro. It’s a proven model of different countries sharing the the same currency. I wouldn’t want any singular country’s currency dictate the global economy.
Until I can easily get my money out of China same day, it won't happen. No business wants to have large sums of cash locked up and held hostage in a banking system ruled by a totalitarian regime that changes its mind on things on a whim
Im sorry but you had to have misunderstood something since in what worlds does China import more than it exports. Or i misinterpreted what you said
@@lordhoden having a reserve currency means you import more than you export as you can no longer determine your saving rate of your nation at a macro level as demand of nation creates reason opposing nation would need said currency in the first place. not mentioned in this video is the pro's and con's of having a reserve currency as that's where things start getting highly complicated.
@@lordhodenChina and Japan are large exporters, they have massive USD foreign currency reserves (mostly in Treasury bills) because of this to "park" their trade surplus. This reinforces the USD reserve currency status.
It's also worth noting, that even in the highly unlikely event that the USD is credibly challenged, whether by a hypothetical BRICS currency, or more likely by a traditional currency, that the British pound remained the global reserve currency long after Britain stopped being the worlds strongest economy. It's as much a product of inertia as anything else, which was only really stopped by Britain being nigh bankruipted by two world wars. So not only does an economy have to become much larger than the USA. It also has permit transactions without crippling capital controls, unlike China who is currently the only real contender. After all, you can't be the global reserve if the globe can't reserve you. But it also has to stay that way for damn near 100 years. Or it has to wait for the USA to suffer an economic collapse, which as you note would almost certainly mean a global economic collapse.
A regulatory climate for credit expansion and exchange controls, and enforcement mechanisms require time to put in place. Any contender is imitating the US at this point.
Not to say this won't happen.
Britsh pound was THE strongest powerhouse until WW1. Then the dollar surpassed because it was actually backed by gold up to 1933, but there wasn't an easy substitute back then, even FORD tried to create a private one to no avail.
"It also has permit transactions without crippling capital controls". Yes , the currently demented USA government is crippling the Dollar with capital controls A.K.A Sanctions.
@@pcopeland15China's currency would only get to this point if the Chinese Communist Party falls...at that point I do believe China would outstrip the US, but with the CCP in charge it won't
Thank you for making a comprehensive video explaining reserve currencies! ❤️🙌 This video filled an important gap in my knowledge.
A unprovoked chance of currency 😂
Can I just say I really enjoyed the history lesson? Didn't realize that historical economics was so interesting
I'm an econ student, and I'm taking global economic history as an elective next year. To understand what is going on, I truly believe that we need to understand how we got here.
It's misleading in a sense though. Globalism wasn't a thing before WW2. So these strong currencies shown in the graphs are more like indications of strong global powers dominating by sheer trade volumes basically rather than the reserve currencies of US Dollar today.
word of advice, get your economic lessons from actual reputable sources/channels about economics and not this guy
@@kennyofbaja It doesn't take an expert to explain first year economics lessons
I recommend to you the book "The World That Trade Created: Society, Culture and the World Economy, 1400 to the Present" by Kenneth Pomeranz, it's a lot more detailed than the brief history lesson here.
To become the global reserve currency it’s generally assumed you need to satisfy 2 practical requirements for a good period of time. 1. You must be one of if not the largest buying of goods on earth. 2. You must have one of the if not the highest net imports. This allows you to force anyone who wants to sell the main customer goods to accept that customers currency. There is almost no other practical way to force a majority of the worlds suppliers to use your currency, thus becoming the global reserve.
crypto?
@@alexm7023 crypto is a security so it cant become a reserve currency. ;P
Countries don't like crypto whatsoever
@@alexm7023 that currency also has to be stable. Crypto is worthless on a global scale BECAUSE of the fact that it's decentralized. Not having it tied to a specific currency is what makes it unuseable.
@@alexm7023cryptocurrency is actually deflationary and you can't just make more of it
Great video overall. Neatly summarized.
Very well done. The fear about the dollar losing reserve status entirely ignores the utter lack of a desire by non-BRICS countries to choose the instability of Russia, Brazil, India, and to a lesser extent China - over the decades-long history of stability of the US Dollar.
How about we acknowledge the fact that none of the BRICS nations wants to overtake the USD? How about we start with that. Do they want to overtake the USD and the answer for all of them is the same answer that USA gives when they are asked if they want to be the reserve currency: no. Yes not even America wants that (in terms of economics). So why are we talking about a non-issue? It is just media hype, cucumber news as it is called here.
Not even BRICS countries want to replace the dollar, at least in the way this video talked about, it is all about having cheaper exports between themselves and other smaller countries.
The dollar is really that stable? We already had a couple of crises involving the dollar. Furthermore, we had the Bancor by Keynes and Schumacher; it was an interesting idea proposed in the 1940s.
No currency is stable. Its all about reducing the risk. Economics 101!!
@@icarovenzon7246It's a lot more stable than Ruble, Renminbi or Rupee, that's for sure.
Anyone who dethrones the dollar will just end up doing the same thing... power is always abused.
If another fiat currency takes over sure but if a physical commodity or a currency with a fixed supply replaces USD then no it won't
@@Spider-Man-2099 ElonDogecoin., To the Moon!!!
Lol, common currency of BRICS backed by Gold and other precious metals and backed by manufacturing power of China, abundant resources of Russia and Independent and Transparency of India can easily cut through this claims.
@@Spider-Man-2099gullible or hopeful. No way of knowing that with any certainty. However, our history does point to somebody will find a way to exploit anything.
I think that's because the sort of person who feels the need to rule over everybody is exactly the sort of person you don't want ruling everybody.
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The high rate of living currently requires a new dimension of profit, even though the fall in the price of Bitcoin will not prevent me from investing.
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This is not the first time I've heard of Ms_francisca and her exploits in the business world, but I have no idea how to contact her. 0:00
TE LE GRAm👇👇👇👇
He mentioned the florin and the guilder, the two nations from The Princess Bride.
I think it's wrong to say that Euro won't challenge the Dollar just because adoption plateaued. The global currency needs to be trustworthy, and you build trust over years and years. Therefore, more accurate statement would be "euro didn't have the miraculous performance everyone expected"
Looking at Europe right now being a leftie shitshow we can rest assured that "challenge" isn't coming.
Didn't the Euro replace the dollar in Europe and it's vicinity? Perhaps that is the possible future: not a single global currencies, but several regional currencies.
It also is just more untenable because the ECB policy has to deal with a wide variation in local economies. The Fed can just act alone without too much worry about anything but the US economy
Bretton Woods established the current monetary system. The Euro, Yen, etc. are all intricately linked with the USD because of the debt situation after WW2. The Euro, in essence, is just another extension of the United States Dollarization
USA kills its currency every day with the stupid nonstop money printing press. It’s your own fault if your money dies out of lack of confidence. Euro and BRICS money will take the dollar place.
Sam, I’ve been watching your videos for years and wanted to finally say thanks. Keep doing what you do, and please give an update on the extremities channel too. You inspired me to go to school for multimedia journalism, so you’ve literally changed my life. Thanks!
so how does it feel giving your money away to a millionaire?
@@skeetrix5577the same as paying your credit card to the elite I guess
@@skeetrix5577He may be a millionaire, but he still provides value to people’s lives. Showing a small amount of appreciation doesn’t immediately make you a shill.
@skeetrix5577 it feels like an experience that nearly every single person can relate to. You think you're apart from that?
@@luckedude_4781so it's better to pay for Nebula. It's his creation and will probably have a higher margin for him than this donation
The other option that wasn't mentioned is the possibility of a tie of the exchange notes to a portion of gold convertibility. BRICS nations are large players in international gold markets. The convertibility creates a link that reduces the incentive to inflate the value and central banks for the countries could easily exchange gold for energy commodities to re-balance the accounts. There's no need to physically exchange gold, you just simply credit other things the governments trade against the imbalance.
There is nowhere near enough gold on the planet to ever make such a system workable. This has been the problem with the gold standard for the last century, and what led to its collapse.
@@PhysicsGamer Absolutely none of that is true. There's no "amount of gold needed". By definition prices are relative. You can price things in anything, in any amount. A barrel of oil could be worth a grain of gold or 5000 kilos of gold. It doesn't matter. Only the relationship. There used to be one good objection to a gold standard, but it's no longer relavent. What "broke" the gold standard was politicians who did not want their spending constrained. They wanted to be free to inflate the currency and hide the resulting devaluation. And no, the neo-Keynesian / MMT economist you're going to want to cite is wrong. Those branches of "economics" are completely bankrupt, as evidenced by their inability to have any predictive value from their theories. It's equivalent to citing scripture to explain how rivers are formed.
@@johnblaker2454 A barrel of oil can only be "worth a grain of gold" if you can find someone willing to give you a barrel of oil in exchange for that grain of gold. Same thing in the other direction - a barrel of oil can only be worth "5000 kilos of gold" if you can find someone willing to give you 5000kg of gold in exchange for a barrel of oil. In reality, nobody wants gold badly enough for the world's supply of gold to be enough to express the value of global trade. Hence, it's not a suitable choice for a currency you expect to use for global trade.
@@PhysicsGamer You just described pricing in terms of anything. Clearly you don't understand the basic aspects of what makes a currency develop. Currencies exist in the absence of governments for a reason. Once you understand that, you'll get why nothing you've said makes sense in terms of basic monetary theory.
@@johnblaker2454 Basic monetary theory is incapable of truly modeling a complex modern economy. Which is why it is only _basic_ monetary theory. In reality, if you need enough currency to express a quantity of economic activity worth X but the amount of gold in the world is below that value... then a genuine gold standard is impossible. The only meaningful compromise is a horrible combination of fractional reserve banking and a gold standard, where each unit of currency is somehow only worth some fraction of its face value in gold, presumably with a floating rate based on market forces. And congratulations, at that point you've reinvented the gold market with fiat currency, just with extra steps. This isn't a new idea. It's been brought up a number of times, especially around when we abandoned the gold standard - a lot of people were very invested in hanging onto at least a semblance of it. Every time it gets laughed out of the room, because it really doesn't accomplish anything except make more paperwork for everyone.
One thing I didn’t hear you mention is a big reason the US dollar is a leading reserve currency is because the US is a huge net importer. Goods sold here are paid for in US dollars and that sends US dollars abroad which means other nations will almost inherently have a reserve of them. This makes many of the currencies you mentioned unsuitable as a reserve, among other reasons like pegs, lack of robustness of financial institutions, etc.
One important thing not mentioned is the amount of global debt denominated in USD. Whatever currency comes around will need to be exchanged for USD for service/repayment. It would take a generation for this debt to be unwound and to be issued in a new currency.
It is not. It is displayed in USD as per conversions for US news for ease of understand. Likewise you will be told about the size of a Cricket stadium in New Zealand in feets instead of meters. Also, the biggest creditor of the debt is China which deals in Yuan
@@rockcliff1930No, you are severely misunderstanding. A lot of unstable economies issue debt in USD because that's what investors trust in, they don't want to buy a 20% coupon Argentine bond only to be hit by 100% annual devaluation. Thus, 55% of Argentina's debt is denominated in USD.
@@strilight Youre absolutely wrong! 😊
I dont think its ultimately necessary for them to *replace* the dollar. So long as there exists an alternative to the dollar, that alone immensely diminishes the effect of sanctions and its teeth. Countries get a lot more leverage to develop their markets to better suit their own domestic needs over international ones
Yes, that's true
Countries already have alternative to he dollars, they just CHOOSE to use the dollar like europe.
@@snoopysnoops007 They been doing that since 2007 yet still hasn’t achieved a single thing even during the great recession of the US. India is trading with the U.S. in dollars, china trades with US in dollars, guess who runs chinas economy the US. Also the russian ruble just crashed 🤣
I believe we call this alternative currency the “Euro”, not the BRICS currency.
I think ultimately we have yet to reckon appropriately with the consequences of BOTH fiatisation and the nationalisation of wealth and trade. which none of these things are _bad_ per se… but it is lot more complicated then weighing pallets of gold. I think in the least, both by virtue of BRICS members being adequately incentivised and the multilateral setting being most appropriate, i’m happy we get the chance to look like this again from first principles. that’s my take 🤷🏾
In 2003 a downtown condo in Toronto ran for $200,000 CAD. A common office worker pay was about $35K/year in 2003. In 2023, a similar condo will run for $800,000 CAD. $50K/year (same position as before). Do you see the problem with run-away inflation?
the problem in toronto is that it's the economic capital of canada and the liberals have decided to increase immigration to 1 million per year . most of those people go to toronto. inflation is not even in the room. it's supply and demand.
I'm not worried about the collapse of the dollar, but I am excited about a possible alternative to it
Extremely well made video. Loved the history part of it. Learned so much about something i thought i knew really well. Thank you
bad bot
I'm pretty sure 0:37 - 0:38 is Riga, Latvia, not Sweden, we just happen to have a big Swedbank building xD
Yep, riga just has a big swedbank building LMAO
@0:39 this footage is from Latvia, not Sweden
Just like the euro zone uses the euro predominantly to trade, BRICS countries will use BRICS currency to trade with one another, USD will still be used in other parts of the world, fragmenting international trade even more. Making 3 trading Blocs that will exist in the world, Euro bloc, BRICS bloc and USD bloc
Explaining why the dollar plays an important role in foreign currency exchange kinda sounded like "the dollar is the money of money".
This is the best fucking quote
Until there is a currency that can buy anything, anywhere, at anytime, while maintaining its value( at least relative to other currencies), and being available in volume the US Dollar will remain. Also any country that replaces the dollar will have to be able to deal with massive trade deficits. It always struck me as weird that people worried about the trade deficit since that was how dollars entered the international market. e.g. China needs to sell more to the US than it buys in order to have dollars to buy oil from Saudi Arabia who then needs those dollars to import food, weapons, and the like from the US among others. If the US has no trade deficit the dollar cannot be the world's currency as there'd be no way for most countries to acquire it other than buying bonds( which you need dollars in the first place to buy) or exchanging gold or other resources with US institutions for dollars.
Because people are too used to household-level finance concept of “debt bad”.
@@bubbledoubletrouble Well debt, and other liabilities are a problem for any entity, households or businesses that have to be concerned with making a profit, maintaining cashflow, and whatnot. They aren't a state, which can snap their fingers and magically create more money in an instant through the power of monetary inflation to buy whatever they want, or just raise taxes. Could you imagine what household finances would look like if people could tax or print currency?
Bs. America did really well with trade surplus. Learn your history
Thank you for your great videos!
Summarised from 14:00, this is exactly why a new reserve currency wouldn't work, plus all the speculation one would make if they bet on financial markets, would also add to this. Well done mate! good stuff.
B-roll of the Swedbank building is in Riga LT not anywhere in Sweden😅
Did you know there are more $100 dollar bills, than $1s or $20s; but they mostly exist outside the USA.
Such a well made video, I have been following your video for years and seeing the improvment in quality over time is so good! Keep up the good work
“International consensus “ when it’s just g7 and parts of the west 😂😂😂
Btw, the Swedbank building at 0:38 is located in Riga (the capital of Latvia) and not Sweden.
This is a really cool video about a topic that I didn't know much about before, but now i have another question: how did the global economy operate through the cold war, where I assume similar financial tactics would have been used?
Two parallel systems, Western one pretty much the same as it is now and weird bs in Soviet Union and its colonies. Exchange was Barter like, Soviets sold oil and metals in exchange for food or machines.
Due to Lend-lease, the Marshall-plan, its holding of gold, and other economic aid and commerce the US provided to win WWII, the world became became dependent on the dollar over the British pound. This led to the Bretton-Woods Conference and subsequent agreement in 1944 where all 44 Allied nations, including the Soviet Union, met to set the global financial system for the post-WWII era. This established the IMF and emphasized free trade but the part that angered the USSR was the US Dollar was to becoming an international standard for exchange rates as well as gold. Their delegates ultimately signed the agreement but the USSR never ratified it by contributing to the IMF. But because the Soviet Union usually focused on self-sustainability and only had usually less that 5 percent of its GDP resulting from foreign trade, it didn't impact foreign markets that much.
This documentary has a huge hole in it. Nowhere is Bitcoin or Crypto mentioned even though it is fast becoming the go to standard for international purchases. My company has been importing Chinese made goods since 2017 and the overwhelming preference amongst Chinese companies is for payment using either Bitcoin, Litecoin or Ethereum. They don't seem to want US dollars as payment because of the difficulty receiving US dollar wire transfers and they don't want to take credit cards because of the high fees.
Hahaha, hope they aren't still holding any of that crypto today!
So, what about Saudi Arabia's push to end the "petro dollar" and aligning more closely w/ Russia lately? Will that have much effect on the dollar?
This was a very good video on this topic. Thank you. Many of these videos on this subject are basically clickbait or hype/hyperbole, and extremely unreliable. You managed to lay out all of the facts and go through many of the iterations, as well as give a short but good explanation of how reserve currencies work and their history. You also actually discussed, accurately, where BRICS is and the factors that make it unlikely they will ever even adopt a group currency, let alone that it will challenge the dollar.
How is it reliable when he didn't mention how the US forced countries to use the dollar? It's a rather important fact to be left out, particularly because it means certain countries would be eager to leave their abusers.
@@noticiasinmundicias The lack of fictions like that makes the video more reliable, not less.
7:12 How can the Euro be on the chart in 1980 when it didn't even exist until 1999?
0:00: 🌍 Currency exchange depends on trade relationships between countries. 6:05: ! The pound sterling became a global reserve currency due to its reach, steady value, and convenience. 09:24: 💰 The US implemented massive financial penalties against Russia, seizing billions of dollars in Russian money and assets. 12:10: 🌍 BRICS countries are discussing the potential of creating a new international currency for dollar-free trade, posing a challenge to the dollar's reign. 15:18: 💰 The yuan has potential as China continues its march towards world's largest economy status, but the country's economic system makes it incompatible for further integration with much of the rest of the world. 18:20: 🌍 The majority of the world's economy agrees that the weaponization of the dollar is primarily being done for good, and the US can only use its economic weapon so much because it is granted by the rest of the world. Recap by Tammy AI
Sam, you make really great videos. I'm thankful for the information I have learned from you.
I saw somewhere else in this comment section that the reason the Euro did not become the default global reserve is because it never federalized. I take this to mean there is no singular economic policy maker like the federal reserve in Europe. Decisions made in economic policy within the EU have multiple nations, each with their own share of often competing interests. If a group of nations which largely border each other and have strong historical, cultural and political ties cannot come together on a currency, I have a suspicion a BRICS currency would have even more trouble. This is why the USD is so powerful and stable, there is only one party dictating policy so only one interest is considered. If we are talking about the dominant global reserve currency, the reason the USD is in that role is because the US is the largest economy in the world. Almost every nation on Earth does business with it in some way. BRICS economies all together barely exceed the nominal GDP of the US and adding those others like the UAE, Saudi Arabia, Uruguay, Argentina etc would barely move that needle.
It is crucial to differentiate between fiscal and monetary policy. Europe does have separate fiscal policies, aka governments collecting their own revenue and spending it at their own discretion. But Europe does not have a separate monetary policy, the European Central Bank controls interest rates, open market operations just as the Federal Reserve in the US. Depending on how you look at it, Europe is closer to the US than one might think.
Even if the US weren't the dominant power in the world, people would still use the Dollar as the reserve currency (at least for a while). People still used the Pound for quite some time after Britain had been eclipsed by the USA in terms of economic output. The only nation which really threatens US hegemony is China, and people don't trust Yuan since it's heavily manipulated, so it's not like people are going to swap to Yuan the second they officially eclipse the USA.
Well, the importance ofSaudi Arabia and UAE is not their GDP but their oil exports. We all know the demand for dollar is high as the oil is traded with it and if it quits being necessary to trade oil, well, it will devalue pretty fast.
The euro is just a derivative of the dollar. it does not exist separately from the American financial system.
@@ttuliorancaoseems like no one is taking into consideration of Oil rich countries moving away from the dollar will be massive..and Saudi Arabia and UAE wants to join BRICS including Iran also
It would take an extraordinarily event like WW3 to BRICS currency to displace USD any time soon. The world economy is so dependent and interlinked now it will take a while to rewire the system with a different currency.
That's right, as it took WW2 to make the US dollar the current king of currencies
It's not about replacing the dollar, it's about having an alternative. Using CNY in Argentina has helped us greatly with the MASSIVE IMF debt our US-backed president acquired.
Incidentally, the view at 0:40 ish is actually not in Sweden. That's the Swedbank building in Rīga, Latvia
Great summary of possibilities! I agree with the ultimate conclusion though. The USD isn't going anywhere and the media always tries to hype sensational stories like this. Remember in 2008-2009 when the media narrative was that the US financial system was done for?
Of course, but that's because it was intentionally stopped from happening after the media cried wolf
The question is if the USD will still be the main world currency in 50, 100, 150 years time. Nothing lasts forever. The Spanish imperial currency was used as the world currency for hundreds of years. There was a time when people considered that currency to last forever
@@boilingwateronthestovewhy is that question there? The planet could be destroyed by a comet in a 150 years and you’re worried about dollar being the reserve currency?
we can still try anyways of course it will fail the question is when but more importantly it is up to us to make it happen in any way we can
I mean yeah but in every huge catastrophic financial event the US bails out corporations and banks so it’s hard to say how many times more they can afford to before it collapses for good… not desiring it myself, I don’t want suffering for any person in any country, but I’m skeptical that bailing out huge risky institutions every time they overdo it is a strategy that can work long term.
Love the footage of Riga, Latvia to represent Sweden 😂
finally, things are starting to look up
I am not quite certain whether the information at 16:20 is accurate. I have been told that Chinese firms' profits in the US market cannot be spent outside the US market. If that is true then it should imply dramatic restrictions on any currency exchange that operates through USD unless latter is not considered an element of the US market.
The BRICS currancy is not about removing the dollar complily, it is about having an option for the dollar. I don't think it would be the strongest currency but if the BRICS currency removes 30%-40% of dollar transaction will be already a massive success
If it was possible to a dictatorship as Rússia and China have a world currency, takes 30% of the dollar market would Kill the U.S imediately.
This video shows what we really liked about these geopolitics videos and why a lot of other channels just seem like nerdy documentaries
0:40 where is that swedbank located?
we’re been hearing the *Demise of US Dollar* in the last 50 years lol
You should have mentioned Tolar (Tahler). This silver currency minted in bohemia became the international standard due to high abundance. Gold coins held too high value for most trades (like 12 cows = 1 ducat).
ok
What about crowns? Weren’t they an international currency at some point or am I wrong? I’m just going off of all the international trade that happened in the middle ages and renaissance.
this coin is called the _Maria Theresa thaler_ and this coin remains popular in North Africa and the Middle East to this day in its original form: a silver coin with a portrait of the ruler on the front and the Habsburg Double Eagle on the back
On your point about the declining share of reserves held as dollars - this is partially true BUT (a) global reserves have greatly increased in absolute terms over time, and (b) when you look at which currencies have increased (euro, yen, franc etc) its those whose central bank have swap lines with the Fed, meaning they can rapidly be swapped for dollars, meaning people are rly looking for the next best thing to dollars. The outlier is ofc RNB but thats to be expected given the massive increase in chinese trade.
Absolute terms are useless when you consider inflation.
@@noticiasinmundicias but we're not?? The point is people are still holding the same amount of dollars, and adding dollar equivalents to an extent
12:18 FYI, the 15th BRICS Summit happened just yesterday.
"the majority of the worlds economies agrees that the weaponization of dolar is primarily being done for good" yeah, gonna go ahead and call a "citation needed" on that one, mate
@wendoverproductions btw the stock footage is of the bank headquarters in Riga Latvia, not Sweden lol
As a Nigerian with dealing with declining currency valuation, this seems extremely interesting.
As a brazilian, dealing with the same problem,its veery interesting.
Would be nice if Nigerians and Brazilians had more ties with each other. I mean Nigeria has an ethnic group called Yoruba which also exists in Brazil. Maybe these people can be a bridge to each other nations?
You cant be delusional enough to believe your currency will not devaluate in relation to whatever replaces the usd? Lmao
@@thetaomega7816 At the time. We are exchanging our goods with China in our own currencies. Which does not devalue the Real. It's really bad to pay a tax to the greatest military power in the world to commercialize anything
@@Birthday92sex i would love to. the global south must unite
I can't believe Sam finally made a video about BRICS...
This is so western centric... When the florin and ducat were dominat in the West, in Asia, the Song dynasties and in india, they were much bigger economies...
Then go watch eastern centric videos. I get that it would have been interesting but ultimately we needed to get to the dollar and they are limited in time
Wait? Dutch Guilders are no longer the universal reserve currency? Why did everyone forgot to tell me
It's interesting how the US status as an economic superpower is more or less supported by the rest of the world. They definitely have what it takes to stay a relevant global power no matter what happens in the future, but to be a SUPER power, you need allies / partners.
and a lot of military bases in those countries.
Yep, like any super power in history. One is propped up for as long as others (and your own people as a nation) are willing to keep you up.
Many of the US allies would be really screwed if the USA was not a superpower, as they subsidize and secure important parts of the global system, like our shipping lanes. South Korea for example is surrounded by nations that do not view them favourably, and could hinder their entire economy very easily if the USA wasnt involved to ensure stability.
its funny how some people portray us bases as a huge negative to a country. If there is a russian army behind the border, trust me, its not a negative
@@ironbolt2678it's just sketchy to have a foreign power's finger in your own country.
The Pound as the world reserve currency was not replaced by USD, it was replaced by gold-backed USD, which is a different currency than the current fiat USD that took over. It will take 1-2 decades before the US dollar peaks, but it wont be toppled by a pure fiat currency like RMB, but rather by a type-2 gold/commodities backed currency