De-Dollarization Is an Illusion, Says Citigroup - Here’s Why They’re Wrong

Wall Street's old guard just declared the dollar's dominance unshakable. Citigroup's latest report claims de-dollarization is pure fantasy - but they're missing the tectonic shifts happening right under their noses.

The Digital Revolution They're Ignoring

While traditional banks cling to 20th-century frameworks, blockchain technology bypasses legacy systems entirely. Cryptocurrencies don't ask for permission to challenge dollar hegemony - they're building parallel financial infrastructure that operates 24/7 across borders.

Global adoption metrics tell the real story. Institutional money keeps flowing into Bitcoin ETFs, stablecoins process more volume than some national payment networks, and emerging markets embrace crypto as dollar alternatives. Yet Citigroup analysts apparently still measure financial evolution using fax machine metrics.

Wake-Up Call for Traditional Finance

The real illusion? Believing that the financial system that collapsed in 2008 remains fundamentally sound fifteen years later. Central bank digital currencies now scramble to replicate what decentralized networks achieved years ago. Talk about being fashionably late to your own disruption party.

Digital assets don't need Citigroup's approval to reshape global finance. They're doing it anyway - one blockchain settlement at a time. Maybe that's the report Wall Street should actually be reading.

De-Dollarization Has No Impact on US Dollar’s Decline: Citigroup

The performance of the US dollar is not connected to de-dollarization, wrote Citigroup’s note to clients. Both are separate from each other with no interconnection in the broader markets. However, the strategists remain bearish on the US dollar and predicted that it could decline further. The US dollar could fall to $1.20 per euro and also weaken against the Japanese yen, falling to 135. The analysts wrote that the USD could fall to 135 vs the yen in 2026, which is a steep 9% decline.