The aim of the paper is to present processes of currency competition in the contemporary economics. The problem is of special importance, because such a competition has recently intensified to a large degree, mainly due to significant changes in monetary systems around the world.

The aim of the paper is to present processes of currency competition in the contemporary economics. The problem is of special importance, because such a competition has recently intensified to a large degree, mainly due to significant changes in monetary systems around the world.

This paper verifies strong and weak versions of the vanishing interim regime hypothesis (so-called bipolar view). It is shown herein that the strong as well as weak version of this hypothesis can be discredited. Empirical observations support the bipolar view only for the advanced countries, but...