data. Additionally, most people doing business internationally speak English and use dollars, Krugman said, which is likely to discourage the use of the yuan in global trade.
The dollar also has some advantages over rivals by being the incumbent dominant currency in financial markets, which boosts its liquidity. China's yuan, meanwhile, is limited by"Who will want to hold lots of assets when they never know whether they'll be able to withdraw them as needed?" Krugman said.
Other economists have agreed that de-dollarization fears are largely a myth, though the dollar's dominance could potentially be replaced by a rival decades from now. But even then, that and stocks, experts told Insider, since de-dollarization is largely reflected on the balance sheets of foreign banks, which are disconnected from the US financial ecosystem.