The US Dollar

Dolar

The main world currency

The Dollar (USD) is one of the main currencies, if not the main global currency, occurring in more than 34 countries around the world. It has been the official currency of the United States since 1785. The US Dollar has been the world’s reserve currency for over 70 years. Although the US is no longer at the same level of hegemony as it was in the mid-20th century, its currency is one of the most important in the world. As of 2019, 61% of all known central bank foreign exchange reserves are denominated in the US Dollar. For this reason, it is called the global currency.

US Dollar only?

The Dollar is the official currency of the United States. Countries where the Dollar is legal tender also include: Puerto Rico, Micronesia, Ecuador, Palau, El Salvador, East Timor, Marshall Islands, Zimbabwe, Northern Mariana Islands, Bonaire, Saint Eustatius and Saba. In addition to the USD, there are many other Dollars, such as the Australian, Canadian, East Caribbean, Bahamian, Barbadian, Brunei, Fiji, Guyanese, Jamaican, Tuvaluan and Surinamese Dollars.

Where did the name “green” come from?

The name Dollar comes from the old silver coin minted in Europe – the thaler. The currency was originally marked with the symbol “8”, because 1 Dollar was worth 8 Reales (a coin minted in Spain and Portugal). Dollars are colloquially called “green” because of their color. This is due to an attempt to protect against counterfeiters, in the early 20th century there were photocopiers that could only copy in sepia or black and white. Changing the color to green blocked the possibility of counterfeiting banknotes. From then until today, American banknotes have a similar color scheme regardless of the denomination, unlike other currencies.

What is printed on the Dollars?

The banknotes currently issued are decorated with postcards of Americans who have served the country. On each banknote we can see the inscription: “In God we trust”. It is also featured in the last verse of the US national anthem. American banknotes change their design from time to time. This is primarily to better protect against counterfeiters. However, regardless of the degree or nature of the changes, in accordance with the policy adopted by the US government, every Dollar printed so far remains in circulation indefinitely.