The instability of the Eurozone laid bare, as Euro hits 5 year low against USD on Swiss action.

The Euro hit a five year low against the dollar this week. The step taken by Swiss National Bank (SNB) resulting in massive pressure on the Euro is only the tip of the deep faultlines among the Eurozone countries. As the Greek elections loom, there could be proposals to break the Euro after the results.

As per the book 'he End of the Euro: The Uneasy Future of the European Union' by Johan van Overtveldt,Minister of Finance of Belgium, the Euro is clearly unstable. As the world's powerful economies collaborate to establish closed transaction channels among themselves by passing the USD and any other currency, There is increasing risk for Eurozone to face pressure if the currency becomes unreliable due to volatility.

If the breakup of the Euro takes place abruptly, it will lead to greater pain. A better approach can be a gradual, controlled breakup of the Eurozone into two blocks as suggested by several economists including Philip Booth, Institute of Economic Affairs.

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How many currencies will exist in the area now called the eurozone by the end of 2012? How effectively can the UK insulate itself from the eurozone?