Nixon's 1971 decision to untether the dollar from gold ended the Bretton Woods exchange rate system

Many years ago, the US dollar became the world's primary reserve currency

In 1944, 44 nations gathered in Bretton Woods, New Hampshire, to rebuild the global economy. The result? The US dollar became the world’s reserve currency, backed by gold.

The US dollar has served as the world's reserve currency for 80 years—but is its dominance coming to an end?

Since the establishment of the Bretton Woods economic system, about 90% of global foreign exchange transactions have involved USD. Although no viable alternative exists yet, the dollar's share of central bank reserves has decreased from 73% to 58% from 2001 to 2024, and President Trump's 2025 tariffs have sped up this trend.

Some scholars consider the Bretton Woods system one of the best foreign policy decisions in US history

A survey of historians by the Council on Foreign Relations ranked the creation of the Bretton Woods system among the top 10 foreign policy decisions in US history, highlighting its role in establishing postwar stability, prosperity, and decades of economic growth.

Harry Dexter White outmaneuvered Keynes to make the dollar the center of the new global monetary system

The chief US Treasury economist at the conference, White, advocated for a dollar-centered exchange rate system over Keynes' competing idea of a new global currency, shaping the postwar economic order for decades.

British economist John Maynard Keynes originally proposed a global currency called the bancor

Keynes—one of the chief architects of the Bretton Woods system—proposed establishing a global central bank that would issue a new international currency, the bancor, to settle trade imbalances. The idea was rejected in favor of the US dollar serving as the main currency of the international system.

The US dollar is the most widely circulated currency in the world, and is involved in nearly 90% of global transactions

Throughout most of the 1800s, US currency was backed by silver and gold

In post-Civil War America, the government moved to use only the gold standard. This was how US currency was backed for decades in the US. You can read a comprehensive explainer on the gold standard and its history in the US to learn more.

A gold standard is a system in which a country’s currency is pegged to, and can be converted into, a fixed amount of gold

In principle, this provides price stability as the amount of gold (and therefore the value of the currency) is limited, but also restricts the ability to modulate the money supply during economic downturns.

How former President Nixon's visit to China shifted geopolitics

While Richard Nixon may be best remembered for Watergate and the disintegration of his presidency, his visit to China in 1972 stands as a triumph of his administration. Learn about the president's visit to Beijing (then referred to as Peking), his methods and approach, and the subsequent opening of diplomatic ties with China.

The US dollar's value weakened significantly in 2025 amid tariffs

Experts at US Bank predicted in August 2025, that the downward trend was likely to continue, although they acknowledged that uncertainty remains high. As tariffs moved to the center of the White House’s agenda, all G10 currencies grew stronger against the dollar—the Swiss franc even posted double-digit gains.

Central bank independence is correlated with lower inflation on average

Executives may seek to influence the central bank to reduce interest rates for political points. Since its creation in the early 20th century, the US' Federal Reserve saw the most interactions from the president during the Nixon and Ford administrations.

Fort Knox was built to be a secure facility for the US Treasury's gold reserves

The gold reserves were previously used to back the US dollar under the gold standard. Although the US went off the gold standard in 1971, Fort Knox continues to store a large portion of the nation's gold reserves.

President Trump ordered an end to US production of the penny in 2025

The US will stop producing pennies after more than 233 years in 2026, though they will still be considered legal tender. It takes roughly three cents to produce a single penny, with an annual price tag of nearly $100M.

In the 1970s, the US experienced a period of stagflation

It was characterized by high inflation, slow economic growth, and high unemployment. The crisis was triggered by a combination of factors, including loose monetary policy that spurred excess demand and spiraling oil prices caused by an OPEC embargo in 1973.

Nixon argued that the War Powers Resolution unconstitutionally restricted his authority

In his veto message, Nixon argued that the resolution would dangerously curtail the president's ability to respond to international crises and that only a constitutional amendment could properly define the limits of executive war powers. Congress disagreed and overrode the veto.

The Kennedy-Nixon debates marked the presidency's entry into the television era

In 1960, John F. Kennedy and Richard Nixon faced off in the first televised presidential debates. Kennedy's calm, telegenic presence contrasted with Nixon's uneasy appearance, showing how the new medium could shape voter perceptions and modern campaign strategy.

Why people hated permanent daylight saving time in 1974

Messing with the amount of daylight each day has consequences, as America found out in 1974 when it first passed all-year daylight saving time. See why it was revoked less than a year later.

Colonial Americans used tobacco, wampum, and land-backed notes to solve a chronic coin shortage

British coins rarely circulated in the colonies due to an unfavorable trade balance, forcing colonists to improvise. They traded in Spanish dollars, Native American shells, tobacco warehouse receipts, and eventually paper money backed by land rather than gold.

In 1979, Iranian students seized the US Embassy in Tehran, holding 52 Americans hostage for 444 days

Outraged by the US decision to allow the exiled Shah to enter the United States for medical treatment, student protesters stormed the embassy in November 1979. The crisis paralyzed the Carter presidency and ended with a negotiated release on the day of Ronald Reagan's inauguration.

Watch a news clip from the evening of 'the Saturday Night Massacre'

On Oct. 20, 1973, President Nixon ordered the firing of Special Prosecutor Archibald Cox—prompting the resignations of Attorney General Elliot Richardson and Deputy AG William Ruckelshaus. This NBC News Special Report shows the immediate aftermath of the decision.

In the aftermath of the 2008 financial crisis, the Fed began a program of quantitative easing

This program injected trillions of dollars of new money into financial markets to stimulate the economy. The move catalyzed an 11-year bull run and was repeated during the pandemic. Experts argue such power could worsen wealth inequality and contribute to bubbles in housing and finance.

Ray Dalio considers betting against the US debt load in 1982 among his biggest failures

In the early days of his hedge fund, Bridgewater Associates, Ray Dalio calculated that the US had accumulated more debt than it was possible to repay. He took short positions in the market that backfired when the Federal Reserve cut interest rates and avoided a global economic collapse. Dalio lost everything and even had to borrow $4K from his dad—but often describes this experience as one of the most pivotal moments in his career.

The US handed control of the canal back to Panama in 1999

This was the result of two treaties signed during President Jimmy Carter's presidency, one shifting control to Panama and the other declaring the canal zone neutral. In recent years, US officials have suggested the US may retake control. Experts agree that the only viable way would be through military force.

The US government has shut down 22 times since 1976

This resource breaks down every federal shutdown since 1976, showing how long each lasted and the budget disputes that caused them—revealing how routine funding failures have become in modern US politics.

Andrew Jackson was the first and only president to eliminate the national debt

After Jackson slashed spending and began selling federal land, the government was accumulating more money than it was spending. The situation was unprecedented, but it didn’t last. Too much money was being printed and land prices rose to unsustainable levels. Within a year, the economy tumbled into a depression.

FDR's Good Neighbor policy reversed the interventionism that had grown from the Monroe Doctrine

Franklin Roosevelt pledged in his 1933 inaugural address to be a "good neighbor" to Latin America and to oppose armed intervention by American forces. His administration withdrew troops from previous occupations and signed a multilateral agreement stating that no state has the right to interfere in another's affairs.

The idea for the Federal Reserve was conceived in secret in 1910—with bankers donning duck hunt gear for disguise while traveling to a remote country club on Georgia's Jekyll Island

Some coin denominations have ridges etched on their sides, partly to prevent counterfeiting, in a practice called 'reeding.'

The United States has had a tumultuous relationship with Cuba since its 1959 revolution, highlighted by a nuclear crisis and a decades-long trade embargo.

Before the current East Wing ballroom project, only two White House renovations in the past 100 years cost more than $10M.

While the first exchange-traded fund (a 'basket' of different assets that can be bought and sold on a stock exchange) in the US only launched in 1993, the global ETF market has grown to more than $10T in the short time since.

Jimmy Carter signed a 1978 bill that legalized home brewing, a move credited with kick-starting the craft beer industry.

Watch contemporary footage covering the US-backed Shah of Iran fleeing the country in the face of the 1979 Iranian Revolution

The USPS spent $3.97B in 2024, accounting for .058% of the federal budget.

Warren Buffett's former professor Benjamin Graham is known as the 'father of value investing,' a strategy in which investors seek to buy stocks trading below their intrinsic worth.

The American Society of Civil Engineers' infrastructure report card gave the US a C in 2025, its highest grade since the project launched in 1998.

Apollo astronauts left items in the moon's 'toss zone,' including golf balls, family photos, and bags of human waste, to make room for lunar rocks.

70 years ago today, city officials in Santa Cruz, California, banned rock 'n' roll to protect its youth from corruption after witnessing a 'provocative' concert the night before.

Brandi Chastain, the star of the 1999 US victory over China in the 1999 Women's World Cup, was a last-second choice to take the penalty kick that sealed the victory.

For centuries, it was common to sleep in two shifts: a few hours at the beginning of the night, and a longer period beginning around midnight

When a Paris department store hesitated to sell Estée Lauder's perfume, she 'accidentally' broke a bottle, causing the smell to spread throughout the store and shoppers to start asking to buy the scent.

Use this tool to calculate the dollar value of your parental mental load, from meal planning to coordinating after-school care, then see resources that help generate solutions.

US housing costs have risen by roughly 175% between 1991 and 2026—but a growing number of Gen Zers are becoming homeowners anyway. In 2025, 4% of homebuyers were Gen Z, up from 3% the year before.

Explore chaos in this simulation of two double pendulums, where small differences in the release angles produce wildly different outcomes.

Dorothy's famous entrance into Oz in 'The Wizard of Oz' relied on analog tricks, including a body double and sepia-toned paint, as much as it did on technology

20,000 letters to the advice columnist 'Dear Abby' provide insight into prevailing sex, religion, and LGBTQ fears, anxieties, and concerns from the 1950s onward.

The hormonal disorder PCOS was renamed PMOS in 2026, a move designed to improve care and research by shifting the focus to the hormonal causes of this condition that affects 1 in 8 women.

Domino's Pizza's 30-minute delivery guarantee was responsible for the chain's 1980s surge, but it was discontinued after the company was found liable for delivery driver accidents.

While El Niño moves warm Pacific Ocean waters east along the equator, La Niña moves them west, shifting where rainfall will become more common for months.