There has been a lot of recent speculation that the BRICS alliance (Brazil, Russia, India, China, and South Africa) poses a threat to the U.S. dollar position as the global reserve currency.
These countries certainly have ambitions to dethrone the dollar, and the recent peace agreement between Iran and Saudi Arabia (brokered by China) has increased momentum behind this speculation. Saudi Arabia has stated that it will start selling oil in Yuan. Russia was removed from SWIFT through the imposed sanctions, causing countries around the world to feel insecure in regard to their dollar dependence.
In this episode we go through the last 600 years of Reserve currency holders. Patrick shows which countries held this position, how they obtained it, and how they lost it. Then he gives the argument for and against the U.S. dollar being at risk of losing its status as the global reserve currency.
Most importantly, this content is not based on anybody’s opinion. It is strictly based on historical and current data.
After watching this episode, you will certainly have a much better understanding of the global financial system, the characteristics of a global reserve currency, and how likely or unlikely it is that that dollar is being dethroned.
One thing is for sure … you will be hard pressed to find a better breakdown of this complex issue than what PBD does here. Enjoy!
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