I am from Venezuela and I can assure you that the USD here is more recognized and stronger than ever... It has reached to a point where it has been replacing our local currencies these lastest years. Nowadays it is common for people to handle USD in cash and there have been banks which offer accounts in that currency. People have turned to Bitcoin, but mostly also stable coins pegged to the dollar.
I have not seen a single Yuan bill being used in a transaction in my life, and yet even though the USA is mostly hostile to us, we have embraced their money, so you can rule out Venezuela for now (and in the mid term) when talking about de-dollarization.
I have not seen a single Yuan bill being used in a transaction in my life, and yet even though the USA is mostly hostile to us, we have embraced their money, so you can rule out Venezuela for now (and in the mid term) when talking about de-dollarization.
It's difficult to move away from the USD. The currency is still a "force to reckon with". Even though some countries expressed their intentions to move away from the USD, they haven't been able to achieve it yet. It's likely the USD will stay with us for a few decades from now. Nothing lasts forever, so we should expect another currency to replace the USD in the future. Once the US is no longer the leading force of the global economy, it'll be game over for good. I think that would mark the end of the US as a superpower.
As far as crypto is concerned, I think it will continue to increase in price for years on end. A US downfall would certainly boost crypto markets all the way to the moon. But I doubt BTC or any other crypto will become the world's reserve currency because of their decentralized nature. Governments simply won't allow this to happen. Who knows what the future holds for our society? Just my thoughts
However, here's where my skepticism creeps in. Saying that a downfall of the US would boost crypto markets to the moon seems oversimplified. While it's true that instability often leads to increased investment in alternative assets, the transition from fiat to crypto won't be a walk in the park. Moreover, a global economic shift as big as the US losing its leading position would cause ripples across all financial markets, not just cryptocurrencies.
As for Bitcoin or any other crypto becoming the world's reserve currency, I concur with your reservations. The decentralized nature of cryptocurrencies, while attractive to some, is a hurdle too high for governments worldwide to jump over - at least in the foreseeable future. It's a wild west out there in crypto land, and I don't see governments handing over the reins anytime soon.