Dedollarization or Redollarization?

The panel explores the future of dollar hegemony amidst a shifting global order, considering the impact of geopolitics and domestic policies on the dollar's dominance. The discussion highlights the erosion of confidence in the dollar due to the weaponization of the dollar-based financial system for geopolitical purposes, alongside concerns about the independence of the Federal Reserve. Despite these challenges, the dollar's resilience is noted, particularly in private sector transactions, due to its liquidity. Alternative currencies like the euro and digital currencies are examined for their potential but are currently limited by structural and political barriers. The panel also warns of a potential move out of currencies into assets like real estate and commodities, driven by concerns over US debt and political instability.