Dollarization means that the currency of a country or region is replaced by the dollar and becomes the main reserve currency or payment currency. As one of the most important reserve currencies in the world, the US dollar plays an important role in international trade, financial transactions, investment and other fields. Therefore, many countries and regions will choose to link their currencies with the US dollar to improve their credibility and competitiveness in the international market.

Many countries began to consider dollarization, mainly because of their distrust of American economy and foreign policy. Some countries believe that the US government's economic policy is not stable enough and will continue to speculate, leading to global financial turmoil. At the same time, American foreign policy may also bring risks and pressures to other countries. The influence of dollarization is also significant, including reducing the status and influence of the dollar and changing the entire international economic structure.

De-dollarization is not an easy task. Challenges that many countries need to face include political risks, currency conversion costs and insufficient foreign exchange reserves. In addition, the US dollar has high convenience and liquidity in the field of international trade and finance, and it is difficult to convert it into other currencies. However, dollarization also has its prospects. Some countries have been actively promoting the use of multiple currencies for trade settlement, thus reducing the dependence of commodity prices such as oil on the US dollar and realizing currency diversification, which also provides opportunities for dollarization.