The dominance of the US dollar: Is it still a global ATM or a vampire?

The global economy is like a big supermarket, with the dollar as the only usable shopping voucher. Since its inception, this system has firmly tied all countries together. When the Federal Reserve presses the cut or hike interest rate button, global wealth fluctuates accordingly.

Why can't we escape the dollar? Three reasons hit hardest:

**First, pricing power is in their hands.** Oil, grains, gold, chips—these global hard currencies are all priced in dollars. Even if you settle transactions with other currencies privately, you still have to convert back to the dollar exchange rate to determine the true value. The dollar is the yardstick that measures everything.

**Second, it has the strongest liquidity.** With dollars in hand, you can buy goods worldwide. Conversely, small countries' currencies become worthless once they leave the country; no one wants them. This is the dollar's monopoly position.

**Third, it is a lifeline for countries.** Every nation accumulates dollar reserves to stabilize exchange rates and fight inflation during economic crises. Dollar reserves are like an insurance fund for countries.

**How ruthless is the Federal Reserve's game?** Just look at this cycle—when interest rates are cut, cheap dollars flood emerging markets, asset prices bubble up, and countries follow suit by borrowing; when interest rates rise, dollars flow back to the US, capital in other countries flees wildly, exchange rates collapse, and they are forced to sell core assets to survive. This is the so-called "three-step fleece": first lure you into borrowing → then drain your liquidity → finally buy your good assets at low prices.

Even more incredible, the US relies on $34 trillion in Treasury bonds to perform "money-printing magic." Printing money dilutes the actual value of debt, exporting inflation worldwide, effectively making the entire globe pay for US spending. The Federal Reserve's logic is straightforward: "The dollar is our currency, but you must bear the consequences of dollar devaluation," revealing the true face of hegemony.

**The tide is turning.** Countries like China, Russia, and Brazil are now promoting local currency settlement and frantically stockpiling gold, essentially bypassing the dollar to build backup channels.

In this era where dollar hegemony begins to loosen, can crypto assets become another safe haven against dollar fluctuations beyond gold? This question deserves deep reflection from all investors.

#数字资产市场动态 $SCRT