How the US Dollar Became a Global Weapon

The U.S. dollar isn’t just the world’s most common money—it’s a chokepoint in the global economy. A new book, *Chokepoints*, explains how the U.S. has turned financial tools into weapons, using sanctions and dollar cuts to influence other countries. Think of it like a financial chokehold: if a country can’t access dollars, its economy struggles to survive. This tactic became especially powerful after the Cold War, as the world grew more connected.

Countries like Iran, Russia, and China have felt the squeeze. When Iran restarted its nuclear program in 2005, the U.S. slapped it with sanctions that cut off its access to dollars. The goal? Slow Iran’s nuclear ambitions. But the results were mixed—while Iran’s economy suffered, the nuclear program still advanced. Similarly, when Russia invaded Ukraine in 2022, the U.S. froze its dollar reserves and cut off banks from global payments. The move crippled Russia’s economy but didn’t stop the war.

The book warns that economic warfare is a gamble. It’s cheaper than a real war, but outcomes are unpredictable. Sometimes, it hurts the wrong people or pushes targeted countries to find workarounds. For example, Russia and China are now working to ditch the dollar entirely, creating their own financial systems. The lesson? Financial power is real—but it’s not a magic bullet.

For the rest of us, this matters because the dollar’s dominance affects everything from gas prices to your savings. When the U.S. flexes its financial muscle, the world feels it—and often, we all pay the price.