Why The Global Reserve Currency Won't Be Replaced Anytime Soon
Many seem to feel that if a couple governments get together and decide on another currency, then it magically appears. This is not how it works.
In this video I discuss why the eurodollar (not USD) is not going to be replaced by as the global reserve currency anytime soon.
▶️ 3Speak
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STOPAs the only person who listened to your video (granted at x2 speed) I must agree that they can’t just magically create a currency and expect it to take off. Lack of infrastructure is the main thing but also those countries don’t really get along too well to come together and create something new.
On a side note can you teach me how to get so many votes posting a video that only I watched
Only one? No I also watched.
They don’t need trust. Just need mutual benefit system where it makes sense for all nations involved. I’m s already happening. Japan is buying oil in Russian currency, Saudi in multiple. 3 years ago nobody would believe this. It’s already happening and indeed will move slow to start but the dollar isn’t king in seven years unless it’s dusting throne. The east will certainly have a new system in place by 2030 that has more citizens outside dollar as we know it system than those still in it.
Competition isn't necessarily a bad thing. Also creates a lot of opportunities for a whole new set of trading pairs and liquidity worldwide
By 2030 it will be… at least have an equal competitor.
Also the EU CBDC is now active as of this week official. Any thoughts?
It will take a ton of infrastructure to implement a system to replace the euro dollar and for sure the rest of the world is not ready.
Of course we know crypto solves this, but it cannot be manipulated by the banking cartel which is what they fear most.
Summary:
In this video, Task discusses the Eurodollar system and why it has not been replaced despite its flaws. He explains that the global reserve currency is not the US dollar but the Euro dollar, which was established by banks and financial institutions in the 1950s. Task emphasizes that while many acknowledge the Eurodollar system's inefficiencies, there is currently no viable alternative due to the complex infrastructure and global reach it provides. He argues that even digital assets are not a suitable replacement at the moment due to the lack of necessary infrastructure.
Detailed Article:
The video delves into the intricacies of the Eurodollar system, challenging the common belief that the US dollar is the global reserve currency. Task points out that the Euro dollar system, evolving from the 1950s, plays a crucial role in global finance as it offers ledger-based money and relies on digital networks for communications. He highlights that this system was created to circumvent the limitations posed by traditional central bank systems following the Bretton Woods era.
Task emphasizes the complexity and depth of the Eurodollar system, showcasing how financial institutions, primarily banks, manage ledger systems and facilitate transactions. He notes that the key players in this system have been investment banks, enabling transactions worth trillions of dollars daily, showcasing the system's magnitude and relevance globally.
Moreover, Task underlines the challenges in replacing the Eurodollar system, especially in the aftermath of the 2009 financial crisis. Despite acknowledging the system's flaws and the discontent voiced by entities like China and the BRICS nations, he argues that finding a suitable alternative is a monumental task. Task elucidates that transitioning to a new monetary system demands comprehensive infrastructure, technology, and interoperability between various financial institutions on a global scale, which is currently unachievable.
Task dismisses the notion of digital assets serving as an immediate replacement, citing the lack of infrastructure required to support such a transition. He optimistically speculates about the future potential of digital assets but concludes that, at present, there is no viable solution to replace the Eurodollar system.
In conclusion, Task's analysis of the Eurodollar system and the challenges of finding a replacement provides a thought-provoking insight into the complexities of global monetary systems and the barriers to revolutionizing them.
Notice: This is an AI-generated summary based on a transcript of the video. The summarization of the videos in this channel was requested/approved by the channel owner.