Since the end of World War II, the US dollar has been hegemonic as the world's single currency for nearly 80 years. Criticism of this large role of the US dollar has become more vocal in recent years, especially against the backdrop of geopolitical tensions. By controlling the currency, the US government facilitated this, for example, in Russia's war against Ukraine, by blocking access to the SWIFT cross-border interbank transfer system.

It is no coincidence that the countries that speak most about reducing the role of the US dollar in the global financial system are the countries that tend to be its geopolitical rivals. But some countries with less acrimonious relations with the United States, including Malaysia and Brazil, are also seeking to diversify. There was even a plan to revive the idea of an Asian Monetary Fund, first proposed by Japan during the Asian Financial Crisis.

During the past month, there were discussions about the transition of the "BRICS" union to a common currency system, and even a new banknote was shared. Thus, all countries of the world thought that the dollar would be overthrown from its 80-year throne. But we can tell how impossible this is with the recent events in China.

From the beginning of August to the present day, the process of sharp devaluation of China's national currency is underway. Several experts opposed to the USA thought that all the countries of the world from A (mainly the USA) to Z are in debt to China, and this will make it possible for the dollar to dethrone. But the weakening of the Yuan has shown that dethroning the dollar is not as easy a process as it is said to be.
The US economy is not only the largest economy in the world, it is also diversified, dynamic, innovative and the most flexible currency. Although its share in global GDP is decreasing, this is due to the increase in the shares of emerging markets. In particular, this does not mean that the dollar should be rejected.
China's financial system, however, is a closed system, and the Chinese government is unlikely to liberalize financial markets in the short to medium term—at least under the current administration, whose priorities are moving in the opposite direction. If countries want to avoid using the US dollar because of potential sanctions, they will likely be uncomfortable with exposure to China or other Organization for Economic Co-operation and Development (OECD) countries as China also imposes sanctions and has been accused of "debt trap diplomacy".

While politics in the United States is more turbulent, the government is stable and its monetary authority has a solid reputation despite worsening fiscal policy. International actors continue to find it a safe and secure place to invest.
Considering that China is also a BRICS member, the activity of the alliance varies depending on the strength of the countries within it. A non-compact organization like the EU can never issue a common currency. Even if that currency enters the market, its value will change depending on the current state of the US dollar.
The US dollar is more than just a piece of paper carried around in pockets.

Akbar Novruz