How Did The US Dollar Become The World Reserve Currency?

There's a big difference between an American dollar, a Canadian dollar, a British pound, a Kenyan shilling, and all other currencies around the world. It's no shock that the US dollar is the strongest currency (not in terms of its literal value and how expensive it is, but in terms of global power and dominance).

The US dollar is what’s called the ‘world reserve currency’, which means that banks around the world keep more USD on hand than any other foreign currency, and it’s used to measure the value of their own currency. So instead of constantly exchanging multiple currencies, all countries pretty much default to using USD.

And this has been really beneficial to the United States. I was really curious about how this actually started - as long as I’ve been alive, I’ve known the US dollar to be the strongest currency in the world - but how did they get that position? That's what we explore in this video - how the USD got to where it is, and the benefits it gives to the United States.

0:00 The US Dollar is the ‘world reserve currency’
1:01 How the USD swooped in and took over
3:17 The ‘Gold Standard’ is out, ‘SWIFT’ is in
5:16 The US utilizes the USD for global power
7:15 Countries around the world aren’t happy

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