Once in a while, you will see people post saying how the US dollar will fail and bitcoin will take over.
Before I explain further, we need to understand the history of how all currency is pegged against the US dollar.
see Around 1970, a lot of countries are withdrawing their gold from the US but the problem is the US dollar value did not drop as fast as it should. If the withdrawal continues like this, the US dollar will soon crash once the gold reserve is low. At the time, the U.S. also had an unemployment rate of 6.1% and an inflation rate of 5.84%.
To stop this withdrawal from destroying US economy, President Nixon removes the gold standard.
To make the long story short, since before the gold standard is removed every country already pegged against the US dollar, everyone just continues to pegged again'st US dollar. That is how the US dollar become the main currency in world market .
The US dollars had somehow become the measurement of wealth for the world because it was the first country to ditch away from the gold standard.
Looking at the current economic power, it is easy for China if they want their Renminbi(RMB) as the main currency. However, China did not do it because I don't think they even want to as there is a downside in becoming the main currency of the world.
Because now every currency is pegged to the US dollar, making the US dollar easy to be manipulated by other countries. Because the more US dollar is sold due to countries wanting to increase their reserve, the higher the US dollar will go up. This will make the US dollar overvalue because the US dollar did not increase due to its own economic capability. This is actually very bad for the US economy, making the US economy hard to move. With high US dollar value, the US export business is having a hard time because the local factory was unable to compete oversea due to increasing the operation cost just because of the US dollar increase in value.
I remember there is one time President Trump said he is going to decrease the US dollar value, so that job can come back to the US. President Trump is a businessman. he understands if this continues on, the US will be in a bad position.
When a great civilization fall, it's fall of currency will also affect other countries as well. It will be as devastating as a nuclear bomb. Try to read some history books about the effect after a great empire fall. The question for everyone is if the US dollar falls, how are we to measure the wealth? bitcoin? how are we to measure an apple worth how much if the US dollar falls?
Those are the question you need to ask yourself before wishing for it.
In my opinion, the US dollar will not fall but rather exist with bitcoin in the future. The two systems will keep each other in check, which is a good thing. If a failure in the centralize banking were to happen, it will start with the country that ditch the gold standard later than United States.
Good