How is this different from the 52 states (plus the rest of the world) borrowing dollars from the Federal Reserve, dollars, which too get printed out of thin air?
It's same everywhere, but before 1971 fiat money were backed by gold, so they were not printed out of nothing
It's like a magic, you built the second floor of a house and removed the first floor, and the second floor just floated in air. But for how long will it float there?