What makes the US dollar so powerful — and why does it remain at the heart of the global financial system, even as countries search for alternatives? My nonchalant answer is always “because the Americans don’t care” and I always follow that up with “the Chinese care too much.”
In this wide-ranging podcast with Manoj Kewalramani on The Great Power Show, that traces the dollar’s rise from post-war accident to geopolitical instrument, he gave me the chance to explain that by understanding how a global currency actually works we can identify the elements that have to be in place for the replacement dominant currency to come about.
Our conversation explored:
- Why the US dollar remains “sticky” despite alternatives like the RMB or BRICS currency.
- How the dollar’s dominance emerged without a master plan.
- The weaponisation of SWIFT and financial sanctions.
- Why stablecoins — not governments — are digitising the dollar’s reach.
- How grassroots innovation in digital assets is quietly reshaping global finance.
We also looked ahead to what comes next — and how financial power may shift in a world of fragmented trade, CBDCs, and AI-driven economies. Enjoy!
