Jeffrey Tucker has declared that the era of the United States dollar as the global king is coming to an end. "The dollar's just not going to be king," he has warned, emphasizing the growing de-dollarization trend as evidence of this shift. Additionally, Tucker has stated that history will mark recent events as the turning point for the dollar.

Jeffrey Tucker on De-Dollarization, the Turning Point for the USD

During an interview with NTD News on Wednesday, Jeffrey Tucker, a prominent author and publisher who has previously worked with former U.S. Representative Ron Paul and the Mises Institute, shared his thoughts on the growing trend of de-dollarization and its impact on the U.S. economy.

In response to a query about the actuality of de-dollarization and its timeline, Tucker explained that the U.S. has been dominant in the global currency market since 1944, allowing it to influence policies worldwide. However, he expressed his belief that the turning point for the dollar has been reached, citing the attack and sanctions imposed by the U.S. government on Russia in response to the Russia-Ukraine war as a game-changer. He stated,

"History will record that was the turning point for the dollar. Since 1944, the dollar has been dominant even after the end of the gold standard in 1971...That has really changed with the attack on Russia and the sanctions because a lot of those assets that were confiscated by the U.S. just arbitrarily were denominated, of course, in dollars."

“If America bases its political power on the back of other people’s willingness to hold their currency and attack them and attack them and criticize their policies and actually seize assets, it discourages people from holding dollars. So, all of a sudden we’ve got a situation where all these very powerful, important countries are saying: ‘We need to do something about this. Let’s dump dollars. Will have to go to other things. They can do that and it is starting to happen.

Noting that the BRICS countries (Brazil, Russia, India, China and South Africa) are starting to “marginalize” the USD, he asserts that this will affect the US debt situation in a way that could actually deter the Federal Reserve. Could

Inflation Is ‘Sticky’

According to Tucker, de-dollarization will not have a significant impact on Americans in terms of a potential recession. However, he warned that domestic de-dollarization, which is inflation, is a serious concern. Tucker emphasized that inflation is a persistent issue that the Federal Reserve has failed to address. He pointed out that the USD has lost 15 cents of its value over the past two and a half years due to the Fed's mismanagement.

Tucker also discussed the impact of de-dollarization on international travel and business. He noted that the dollar's status as the preferred currency for travel in the U.S. will come to an end, and international businesses that are domiciled in the U.S. will be severely affected. In conclusion, Tucker stated that the long-term trajectory suggests that the dollar is no longer going to be the dominant currency. He said,

"The dollar's just not going to be king. This isn't going to happen tomorrow or next year or even the next five years, but looking at the long-term trajectory, I think we are at a turning point."

source: news.bitcoin.com