Has the dollar’s hegemony come to an end?
After President Nixon formalised the end of the Bretton Woods Agreements, the dollar went from being a currency that based its value on the existence of a gold counterpart to a currency with no tangible value, known as fiat money. 11Onze agent Xavi Viñolas examines the process of de-dollarisation.
This new monetary framework established in the Bretton Woods Agreements was the basis for the creation of the petrodollar system, thus establishing the dollar as the de facto oil currency, giving the United States a privileged position, which it has often abused, a fact that has provoked the reaction of some countries.
In the video below, Xavi Viñolas explains why the trend to decouple the world economy from the hegemony of the dollar, known as the process of de-dollarisation, is increasingly being adopted by more and more countries, and the reasons behind it.
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De-dollarisation4 min read
The hegemony of the dollar as the reference currency in global trade.