I don't think that's true. In my understanding of this, the oil peg works for the world kind of like how requiring taxes to be paid in USD makes a paper currenc

I don't think that's true. In my understanding of this, the oil peg works for the world kind of like how requiring taxes to be paid in USD makes a paper currency "real". In our system, the money is effectively infinite until somehow the dollar is displaced from the reserve position.