"Why the Dollar Became the Global Currency: The Untold Blood History and Power Struggles" | CA Sanjay Mehrotra
Connect Me on Instagram to ask your question-
[ Ссылка ]

Join My WhatsApp Channel-
[ Ссылка ]

Connect me on Linkedin-
[ Ссылка ]

Welcome to our deep dive with Sanjay Mehrotra Sir into the fascinating journey of the US Dollar and its rise as the dominant global currency. Have you ever wondered why the dollar is used in international trade, oil pricing, and global reserves? What historical events, wars, and policies solidified its position? And what’s the real price—economic and human—behind this dominance?
In today’s video, we’ll cover:
00:00 - Coming Up
01:43 - Introduction and Brief History
07:06 - Why the US Dollar Is a Strong Currency
08:05 - Economic Power vs. Military Power
10:03 - Bretton Woods System
11:26 - SWIFT Network and SWIFT Code
16:07 - Why Saudi Arabia Became So Rich
18:25 - Why Saddam Hussein Was Killed
20:56 - What If the USA Disowns the US Dollar?
21:44 - Petro Dollar
22:31 - Trump Effect on UPI Network

1. Brief History of the Dollar
To understand why the dollar became the global currency, we need to look back at history. Before the dollar’s dominance, the British pound was the world's reserve currency. But after World War II, the U.S. emerged as the world's leading industrial and military power.

2. Why Is the US Dollar So Strong?
The U.S. dollar's strength lies in:
- Global Trust: Nations trust the dollar due to the stability of the U.S. economy.
- Oil Trade: Most oil transactions are in dollars, thanks to agreements like the petro-dollar.
- Military Power: The U.S. ensures global compliance with its economic policies, leveraging military might.

3. Economic Power vs. Military Power
Economic and military power go hand-in-hand in maintaining the dollar's dominance.
💡 This section highlights how geopolitics and currency are intertwined, emphasizing key events.

4. Bretton Woods System
In 1944, 44 nations met in Bretton Woods, New Hampshire, to establish a global financial order.
However, in 1971, President Nixon ended the dollar’s gold convertibility due to inflation and economic strain, marking the start of a fiat currency system.

5. SWIFT Network and SWIFT Code
The SWIFT network (Society for Worldwide Interbank Financial Telecommunication) revolutionized global banking.
- It standardized international money transfers, and the U.S. ensured the dollar's dominance in SWIFT transactions.
- This control allows the U.S. to impose financial sanctions effectively.

6. Why Saudi Arabia Became So Rich
Saudi Arabia's wealth stems from its vast oil reserves and a crucial 1970s agreement with the U.S.:
- The U.S. would provide military protection.
- In return, Saudi Arabia would trade oil exclusively in dollars, creating the "petro-dollar."
This agreement enriched Saudi Arabia while cementing the dollar's dominance in global oil markets.

7. Why Saddam Hussein Was Killed
Saddam Hussein's decision to sell oil in euros instead of dollars challenged the petro-dollar system. This move was seen as a direct threat to U.S. economic hegemony.
- The Iraq War, under the guise of fighting terrorism, had deeper economic motives tied to maintaining dollar dominance.

8. What If the USA Disowns the Dollar?
If the U.S. abandoned the dollar or lost its global currency status:
- The global economy would face massive instability.
- The U.S. economy could suffer from hyperinflation due to reduced demand for dollars.
- Other currencies like the euro or yuan might rise, but with significant challenges.

9. Petro-Dollar Explained
The petro-dollar system is the backbone of the dollar's global dominance. It ensures:
- Consistent global demand for dollars.
- U.S. leverage over oil-producing nations.

10. Trump’s Effect on UPI Network

The U.S. dollar’s rise as the global currency is a story of strategic alliances, wars, economic policies, and raw power. Its dominance isn’t just about economics—it’s a tale of geopolitics, trust, and control.
The question now is: will the dollar maintain its supremacy, or will emerging powers and technologies challenge its throne? Let us know your thoughts in the comments below!

💬 *Don't forget to like, share, and subscribe for more insights into global economics and history!*

Follow Sanjay Mehrotra Sir
[ Ссылка ]

[ Ссылка ]

[ Ссылка ]

свернуть