Throughout history, dominant global reserve currencies have come and gone. None lasts forever.
And we haven’t been shy about predicting the same fate for the US dollar.
In today’s letter, we do a deep dive into exactly why we believe this transition away from the US dollar will accelerate in the coming years.
As usual, we start by drawing from history, from the original reserve currency thousands of years ago, to the rise of the US dollar 80 years ago this summer.
But most importantly, we get into why it is such a privilege to have the global reserve currency, and what will happen when the US loses this status.
And of course, at the end, we discuss ways to ensure you do not suffer from the negative effects of this transition.
The First Reserve Currency As a boy, Alexander the Great grew up learning about famous battles between the Greeks and the Persians, including the legendary Battle of Thermopylae, in which a few hundred Greek warriors fought off an entire Persian army… and he swore that one day he would take revenge. Bear in mind that,…