{"id":19243,"date":"2023-03-29T00:32:37","date_gmt":"2023-03-29T00:32:37","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/former-treasury-official-warns-of-complete-economic-implosion-if-us-dollar-loses-global-reserve-currency-status-economics-bitcoin-news\/"},"modified":"2023-03-29T00:32:37","modified_gmt":"2023-03-29T00:32:37","slug":"former-treasury-official-warns-of-complete-economic-implosion-if-us-dollar-loses-global-reserve-currency-status-economics-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/former-treasury-official-warns-of-complete-economic-implosion-if-us-dollar-loses-global-reserve-currency-status-economics-bitcoin-news\/","title":{"rendered":"Former Treasury Official Warns of Complete Economic Implosion if US Dollar Loses Global Reserve Currency Status \u2013 Economics Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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Former Assistant Secretary for Public Affairs for the U.S. Department of the Treasury Monica Crowley has warned of \u201ccatastrophic\u201d consequences if the U.S. dollar loses its status as the world\u2019s reserve currency. \u201cThat would mean the end of the U.S. dollar,\u201d she said, predicting that \u201cthere would be a complete implosion of the global economic system.\u201d<\/strong><\/p>\n

Crowley Warns of \u2018Catastrophic\u2019 Consequences if the U.S. Dollar Loses Global Reserve Currency Status<\/h2>\n

Monica Crowley, former Assistant Secretary for Public Affairs for the U.S. Department of the Treasury, explained on Fox News Saturday what would happen if emerging economies move away from the U.S. dollar towards the Chinese yuan and the USD is no longer the world\u2019s dominant currency. She stressed:<\/p>\n

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It\u2019s really hard to overstate exactly how catastrophic the abandonment of the U.S. dollar would be as the world\u2019s global reserve currency.<\/p>\n<\/blockquote>\n

Crowley explained that since the end of World War II, the dollar has been considered a safe haven. Initially, it was backed by gold, but after President Nixon took the U.S. off the gold standard, there has been no hard asset backing the dollar for the last 50 years. Instead, it has been backed by \u201cthe strength and economic power\u201d of the U.S., she said.<\/p>\n

The former Treasury official added that another important factor is \u201cthe fact that oil has always been traded in dollars,\u201d warning:<\/p>\n

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If that were to end, that would mean the end of the U.S. dollar.<\/p>\n<\/blockquote>\n

Emphasizing that the U.S. dollar having the world\u2019s reserve currency status \u201chas been a real privilege,\u201d she expressed: \u201cWe\u2019ve abused the privilege by wholly reckless monetary and fiscal policy for so many years, certainly over the last couple of years, which has really devalued the dollar.\u201d<\/p>\n

Crowley continued: \u201cOn top of that, now you do have this perfect storm of Biden\u2019s weakness, his war on American domestic energy production, the Ukraine war \u2026 Because of all of these things, we\u2019ve got America\u2019s enemies, led by China, forming a new economic bloc.\u201d<\/p>\n

The former Assistant Secretary for Public Affairs added that since we are at a pivotal moment, \u201call it would take at this point \u2026 is for Saudi Arabia, who has indicated that they are open to this, to say: \u2018You know what, we\u2019re going to be open to considering other currencies to trade in oil.’\u201d Crowley warned:<\/p>\n

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If that were to happen, there would be a complete implosion of the global economic system, but certainly the American economic system. And if that were to happen, you\u2019d be looking at sky-high inflation just raging, Weimar Republic kind of inflation. If you think inflation is bad right now, just wait.<\/p>\n<\/blockquote>\n

\u201cBut more importantly, we would lose our economic dominance and we would lose our superpower status,\u201d she noted.<\/p>\n

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China<\/a>, Chinese Yuan<\/a>, Dollar dominance<\/a>, economic implosion<\/a>, end of petrodollar<\/a>, global reserve currency<\/a>, Monica Crowley<\/a>, petrodollar<\/a>, Russia<\/a>, Saudi Arabia<\/a>, US Dollar<\/a>, US loses status reserve currency<\/a>, usd global reserve currency<\/a>, worlds reserve currency<\/a><\/div>\n<\/div>\n

Do you think the U.S. dollar will lose its world\u2019s reserve currency status and do you agree with Monica Crowley about the \u201ccatastrophic consequences\u201d? Let us know in the comments section below.<\/strong><\/em><\/p>\n

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\nKevin Helms <\/h6>\n

\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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