Last Updated on
The United States Dollar is one of the major currencies in the world. It is the official currency of the United States of America and other US territories. It is also the most used currency in international transactions. Hence, the United States Dollar is the primary reserve currency in the world. Aside from the US and its territories, there are also several other countries that use this particular currency. A few other countries refer to the US Dollar as its de facto currency. There are also British overseas territories that use the US Dollar as their main currency.
History of United States Dollar
The symbol for the dollar sign originated in the 18th century. It started with the scribal abbreviation for the peso, which is the term used to refer to the Spanish dollars. The Spanish dollars were widely circulated from the 16th to the 19th centuries. Over time, the p and s that were used as symbols and abbreviation for the Spanish dollars were written over each other to form the new dollar sign. Even the American dollar coin was also based on the look and value of the Spanish dollar. There are several denominations available for the United States Dollar currency. These coin denominations are as follows: 1¢ (penny), 5¢ (nickel), 10¢ (dime), 25¢ (quarter), 50¢ (half dollar), and $1 (dollar coin).
When it comes to bank notes, there are also several denominations available. These bank notes are as follows: one dollar (features George Washington), two dollars (limited circulation featuring Thomas Jefferson), five dollars (features Abraham Lincoln), ten dollars (featuring Alexander Hamilton), twenty dollars (featuring Andrew Jackson), fifty dollars (featuring Ulysses Grant), and one hundred dollars (Benjamin Franklin).
The United States Dollar is the world’s biggest currency due to its stability. Barring unforeseen catastrophes in the economy, it should be the basis for international transactions in the foreign exchange market. It is used and widely accepted in Canada and Mexico, along with major tourist destinations and retirement destinations.
Here is a list of countries that use the United States Dollar as their main currency, or de facto currency: