Here is Why the U.S. Dollar is Crumbling – Elon Musk
On Tuesday, the CEO of Tesla and SpaceX responded to a video by economist Peter St. Onge in which Onge stressed that "de-dollarization is real and happening fast."
In addition to de-dollarization, the economist commented on the dollar’s movement over the years. He said the currency’s share in 2020 was 55% compared to 73% in 2021. He added that since the sanctions against Russia began, the dollar’s share has dropped from 55% to 47%, and now the de-dollarization is 10 times faster than in the previous 2 decades.
In response, Musk said:
If you weaponize currency enough times, other countries will stop using it
— Elon Musk (@elonmusk) April 25, 2023
Musk is believed to have been commenting on the decline in demand for dollars in quite a few countries since the US used the currency in the form of financial sanctions against countries such as Russia and China, particularly by freezing their dollar reserves or actions related to their exclusion from the SWIFT system.
The dollar, gold, and the BRICS
Many believe that in 2023 the US dollar will face a growing movement against it and a growing interest in gold from the BRICS group, which includes Brazil, Russia, India, China, and South Africa. Some other countries, including Saudi Arabia, Argentina, Iran, Indonesia, Turkey, and Egypt, have expressed interest in joining the alliance.
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Gold has risen nearly 20% since last year, and its price is steadily increasing. The dollar, in turn, is losing value due to the build-up of debt and the movement against it that the BRICS is spearheading.
The BRICS group is steadily increasing its gold holdings. Moreover, there is now talk that the countries want to create new alliance currency to replace the dollar as the precious metal will back the world’s reserve currency.
Alexander Stefanov
Reporter at CoinsPress
Alex is Editor-in-Chief of Coinspress and co-founder of Millennial Media Group, with nearly a decade of experience covering financial markets - crypto first, then everything else. It started in 2016 with Bitcoin. Like most people at the time, he didn't fully understand it - so he kept digging. Blockchain, tokenomics, the projects, the cycles. That curiosity never stopped, and eventually pulled him into traditional markets too: equities, commodities, macro. Not because he left crypto behind, but because you can't properly understand one without the other. What drives him is straightforward: he wants to know why something is happening, not just that it's happening. Most market coverage stops at the headline - price up, price down, here's a chart. Alex finds that kind of reporting actively unhelpful. If you walk away from an article without understanding the mechanism behind the move, what did you actually learn? He holds a degree in Tourism from New Bulgarian University - not the most obvious path into financial markets, but markets have a way of pulling in people who are simply too curious to stay out. He has authored over 200 in-depth analyses and more than 10,000 articles across crypto and traditional finance. He still thinks every day in markets teaches him something new. That's probably why he hasn't stopped.
