The Dollar Is Facing an End to Its Dominance

The dominance of the US dollar in global trade is facing increasing challenges as emerging economies explore alternative currencies and payment systems. The shift is driven by the US dollar's diminishing role in global trade and finance, with countries like India, Russia, and China increasingly using their own currencies for trade settlements. The rise of digital alternatives, such as stablecoins and new cross-border payment systems, further threatens the dollar's dominance. These developments are accelerated by the US's fiscal deficits, current-account gap, and the overuse of monetary policy tools, which are eroding global confidence in the dollar.