what is the dollar backed by

The US dollar is not backed by any physical commodity such as gold or silver. Prior to 1971, the US dollar was backed by gold held in the US Treasury at a fixed rate of $35 per ounce of gold. However, the gold standard ended completely in 1971 when the US stopped issuing gold to foreign governments in exchange for US currency. Since then, the US dollar has been a fiat currency that is backed by the faith and credit of the US government, rather than by gold or any other tangible asset. The value of the US dollar is determined by a variety of factors, including economic fundamentals, geopolitical developments, and market sentiment.