The official adoption by a country other than the United States of the U.S. dollar as its local currency.
Widespread use, or routine official government use, of US dollars in a country in place of that country's own currency. Source: Officer, Lawrence H., 'Reviewof Kurt Schuler Currency Boards and Dollarization' Economic History Services, Nov 14, 2003, URL: http://www.eh.net/bookreviews/library/0705.shtml; http://www.dollarization.org;
the conversion of a country's currency system into U.S. dollars.