I was pleasantly surprised, recently, to discover that this term exists to describe what I have long felt was necessary if our own monetary system was to be kept afloat a while longer. Two Latin American countries have already officially adopted the dollar as their currency. They are El Salvador and Ecuador. Argentina and Mexico are considering it. For instance, they point out that one obstacle to dollarization is the loss of seigniorage to the dollarized country.
Seigniorage is the profit resulting from the creation of money.
But the very concept of seigniorage is ill-understood. This sounds like a polite term of accepting a bribe, but that shouldn't be surprising. Writers also point out that the adoption of the dollar will prove a sort of discipline for the newly dollarized countries. They will no longer be able to finance government spending by simply printing money. Nor will they be able to bail out locally failing banks by printing money to do so.