Dollar’s Dominance Crumbles: 8 Countries Pivot to Yuan in Historic De-Dollarization Shift

The greenback’s reign faces a mutiny as eight nations—including major emerging economies—dump dollars for yuan in trade settlements. Central banks are loading up on Beijing’s currency like it’s 2008-era quantitative easing.

The backroom deal you didn’t see coming: Swift alternatives gain traction as BRICS nations execute an end-run around Western financial infrastructure. Petro-yuan contracts now account for 12% of oil trades—up from 0% pre-2018.

Wall Street’s worst nightmare: The move accelerates China’s cross-border payment system (CIPS), which processed $12T last year. Meanwhile, the Federal Reserve keeps printing money like it’s going out of style—which, ironically, it might be.

One cynical take? This isn’t about yuan strength—it’s about dollar weakness. When even Argentina prefers Chinese liquidity over IMF bailouts, the writing’s on the firewall.

De-Dollarization Gains Steam: What’s Happening

The financial market is now getting ready to embrace a new change. This change is marked with the rise of the multipolar currency world, where other currencies are giving stiff competition to the US dollar. While the de-dollarization narratives have also existed in hindsight, these agendas are now gaining rapid popularity, especially now that President Donald Trump’s aggressive trade policies continue to batter established trade routes and mechanisms.

The US continues to impose fresh tariffs on nations, prompting them to rummage for alternatives. At the same time, these nations have also been putting active tariffs on the US, giving rise to a phenomenon dubbed the trade war. These fears are negatively impacting the US dollar, which is encountering sharp fluctuations in its valuation as of late.

Said Joe Brusuelas, chief economist at the consulting firm RSM.

Furthermore, the dollar’s dominance in the currency world is also wobbly, as its rapidly declining stance is weakening consumer interest in the currency.

.” Said Rogoff, a professor of economics and the Maurits C. Boas Chair of International Economics.

Which Nations Are Using Chinese Yuan?

With the world losing interest in the US dollar, the investor sentiment seems to be shifting towards alternative currencies like the Chinese Yuan.

Per SCMP, the yuan is rapidly rising on the world radar, emerging as the second most used currency after the US dollar. These 8 nations have also started to use the Chinese yuan, limiting the usage of the US dollar in the process. This development has prompted de-dollarization to take rapid hold amid rising pressure.

• Russia
• Saudi Arabia
• Argentina
• Brazil
• Bangladesh
• Pakistan
• Iraq
• Thailand