Great to be picked up in this article in the Epoch Times!
One key point to make is that none of these changes are going to happen quickly. Noone, especially China with its huge US dollar reserves, desires sudden movements in the composition of currencies used in global trade. Instead, look for a very slow process, so slow that many will deny it’s existence. Another key point to make is that this is not about “replacing” the dollar.
The e-CNY is welcome here.
Many articles talk about the impossibility of “replacing” the dollar. I agree, because the dollar is used not just in trade but a cornerstone of global investing. Instead of replacement, think of an end of the dollar’s monopoly. Most trade today is automatically assumed to be in dollars, but we are fast approaching a world where there will be a “second choice.” What happens if that alternative is cheaper and faster?
Some key quotes:
According to Turrin, the digital yuan “will directly challenge the U.S. dollar’s domination of international trade settlements in the next decade.”
By 2032, at the very latest, the digital yuan will likely have played a “significant role in reducing the dollar’s usage in international trade,” said Turrin, a former banker who once spearheaded IBM’s fintech team.
Turrin encouraged viewers to remember that China, the most populous country globally, also happens to be “the largest trading country” in the world. He said we will slowly but surely witness the digital yuan “supplant the dollar.”