• HumanPenguin@feddit.uk
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    3 days ago

    Countries that value financial sovereignty.

    Keep it by storing a tradeable reserve in other currencies. And or gold and silver but that has become less common.

    The doller has won purely because it is respected around the world. Because most nations have some desire to trade with the US.

    As that desire weakens sovereignty or your own currency is less strong if you are holding less stable currencies. And the doller is looking less and less stable every time trump talks.

    • PolandIsAStateOfMind@lemmy.ml
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      3 days ago

      The doller has won purely because it is respected around the world

      That is not correct, dollar won because US, being the economical winner of WW2, made all other notable capitalist economies dependent on it in Bretton Woods accords and effectively hegemonised oil trade in much of the world.

      • HumanPenguin@feddit.uk
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        3 days ago

        Well yes. That is why it was respected. America used it’s delayed entry to build it’s reduction capability. Used that to help win. Then not having exhausted it took advantage.

        But while correct. It’s a more accurate way of saying the doller was respected. As a strong trade currency other nations could use.