The United States dollar is the official currency of the United States and its insular territories. It is divided into 100 smaller cent units. The circulating paper money consists of Federal Reserve Notes. The U.S. dollar is fiat money. It is the currency most used in international transactions and is the world’s primary reserve currency. Several countries use it as their official currency, and in many others it is the de facto currency. Besides the United States, it is also used as the sole currency in two British Overseas Territories in the Caribbean: the British Virgin Islands and Turks and Caicos Islands.


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