Topic: China Digital yuan vs US dollars - page 2. (Read 430 times)
The competition of China and America in many different fields, they all want to become the hegemon of this world. With the economic field from my observation point of view in recent years China is more dominant and they are also on the rise to continue to maintain this new power status. However I question myself as to how the CBDCs will play out in this competition, there is really no point where I can compare them.
The high rate of internet usage, a supportive regulatory framework and the government's push for a cashless society with COVID-19 as the impetus to introduce the digital yuan to replace physical bank notes all contributed to the success of mobile payments in china. China is rapidly developing into a cashless society using a new digital currency, called the digital yuan or the digital RMP to overthrow the US dollar and challenge other crypto currencies like Bitcoin. But unlike blockchain technology, China's digital currency will lead to a new era of surveillance and control over the China economy .
FIAT is already 90% digital. Making it 100% digital won't really change anything.
The Chinese YUAN is already a powerful currency because it is backed by the Chinese manufacturing while the US dollar is backed by the US military. For now USD is slightly more powerful but this might change very quickly. I would say CNY deserves to be the world reserve currency more than the USD now because it is China that makes most stuff for us, not any other country.
A currency is and should be only as powerful as the manufacturing power it is backed by and CNY just delivers that unlike the USD.
90 percent really? I think that's too much or too quick knowing that the digital currencies like the CBDCs have only been invented recently. They aren't the same with the cryptos which were already known long time ago so the dominance of crypto over them is still big but if ever the fiat will turn 100 percent digital then it can make a lot of changes but I think not all are going to be happy about that as they find it inconvenient especially to those who are poor people who have less knowledge and resources to run a digital currency. If in between the China and US currency wars, I think the US will remain to be the leader for both digital or local.The Chinese YUAN is already a powerful currency because it is backed by the Chinese manufacturing while the US dollar is backed by the US military. For now USD is slightly more powerful but this might change very quickly. I would say CNY deserves to be the world reserve currency more than the USD now because it is China that makes most stuff for us, not any other country.
A currency is and should be only as powerful as the manufacturing power it is backed by and CNY just delivers that unlike the USD.
This got me thinking.
Isn't it interesting how China have managed to implement their own digital CBDC so shifty in comparison to the United States and other western powers?
It is just a take on how autocracy works, the CCP do not care the opinion of the people and the privacy of others, those who have read a bit about the surveillance in China knows how bad things are.
Added to the control of the population, they also did this so they can go ahead the implementation and massive adoption of the digital dollar, to protect their own interests, both economical and political.
Isn't it interesting how China have managed to implement their own digital CBDC so shifty in comparison to the United States and other western powers?
It is just a take on how autocracy works, the CCP do not care the opinion of the people and the privacy of others, those who have read a bit about the surveillance in China knows how bad things are.
Added to the control of the population, they also did this so they can go ahead the implementation and massive adoption of the digital dollar, to protect their own interests, both economical and political.
FIAT is already 90% digital. Making it 100% digital won't really change anything.
The Chinese YUAN is already a powerful currency because it is backed by the Chinese manufacturing while the US dollar is backed by the US military. For now USD is slightly more powerful but this might change very quickly. I would say CNY deserves to be the world reserve currency more than the USD now because it is China that makes most stuff for us, not any other country.
A currency is and should be only as powerful as the manufacturing power it is backed by and CNY just delivers that unlike the USD.
90 percent really? I think that's too much or too quick knowing that the digital currencies like the CBDCs have only been invented recently. They aren't the same with the cryptos which were already known long time ago so the dominance of crypto over them is still big but if ever the fiat will turn 100 percent digital then it can make a lot of changes but I think not all are going to be happy about that as they find it inconvenient especially to those who are poor people who have less knowledge and resources to run a digital currency. If in between the China and US currency wars, I think the US will remain to be the leader for both digital or local. The Chinese YUAN is already a powerful currency because it is backed by the Chinese manufacturing while the US dollar is backed by the US military. For now USD is slightly more powerful but this might change very quickly. I would say CNY deserves to be the world reserve currency more than the USD now because it is China that makes most stuff for us, not any other country.
A currency is and should be only as powerful as the manufacturing power it is backed by and CNY just delivers that unlike the USD.
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Fiat Yuan or digital Yuan there's nothing different between the two and the only difference is one will be easy for border-to-border payment and that's if the world trading world chooses to accept it which I do not see it happen.
Having said that, if the CBDC is not managed properly it will only lead to the devaluing of the Yuan cause the government will have easy access to mint more CBDC.
I believe the world should know by now that the only influence of the Chinese government is to provide aid as a loan to the lower class countries so they can use them in a modern slavery way. Apart from that, other countries will never support the global use of CDBC as payment and this is the reason why a lot of government agencies, the SEC, etc are against DIEM then.
Having said that, if the CBDC is not managed properly it will only lead to the devaluing of the Yuan cause the government will have easy access to mint more CBDC.
I believe the world should know by now that the only influence of the Chinese government is to provide aid as a loan to the lower class countries so they can use them in a modern slavery way. Apart from that, other countries will never support the global use of CDBC as payment and this is the reason why a lot of government agencies, the SEC, etc are against DIEM then.
China is sprinting its testing on the digital yuan. It will not take too long before the digital Yuan is executed and it believes China will become less independent of the US Dollar.
Being independent from the US Dollar is a good thing and many countries are trying to achieve it. The question is how well the digital yuan is going to be accepted by investors. Merchants are probably happy about the digital version as it's going to make international trade more easy. But I don't think that any of the companies will sit on the digial yuan. Most of the international companies will switch back into their own fiat money quickly. As for investors I don't think there is a strong demand to invest into the Chinese currency at the moment. Tensions are high between China and USA, and if there is going up be a military conflict with Taiwan China could be isolated very quickly like Russia now. The Chinese economy still depends heavily on export and if there are disruptions the currency could collapse.
China is sprinting its testing on the digital yuan. It will not take too long before the digital Yuan is executed and it believes China will become less independent of the US Dollar.
Is this a good thing or will China become even more economically powerful and therefore a threat? https://www.worldcoinindex.com/nl/news/chinese-central-bank-deputy-governor-wants-china-to-accelerate-pboc-rollout
And We already know that China is aiming for global domination specially in terms of economy, and I am sure they are seeing this digital yuan as a possible many tools they can use to entice more countries to go away from the domination of the US Dollar in international commerce. However, many countries right now are also starting to get wary of the intention of China, at least in part this is exposed with the pandemic. Many countries are now starting to resist the influence of China. Many are now seeing that China can be a trap. Personally, I don't see China to be the one to dominate of the vacuum that will be left by USA in the global commerce, that position is reserved for another (still emerging) entity.
Is this a good thing or will China become even more economically powerful and therefore a threat? https://www.worldcoinindex.com/nl/news/chinese-central-bank-deputy-governor-wants-china-to-accelerate-pboc-rollout
And We already know that China is aiming for global domination specially in terms of economy, and I am sure they are seeing this digital yuan as a possible many tools they can use to entice more countries to go away from the domination of the US Dollar in international commerce. However, many countries right now are also starting to get wary of the intention of China, at least in part this is exposed with the pandemic. Many countries are now starting to resist the influence of China. Many are now seeing that China can be a trap. Personally, I don't see China to be the one to dominate of the vacuum that will be left by USA in the global commerce, that position is reserved for another (still emerging) entity.
FIAT is already 90% digital. Making it 100% digital won't really change anything.
The Chinese YUAN is already a powerful currency because it is backed by the Chinese manufacturing while the US dollar is backed by the US military. For now USD is slightly more powerful but this might change very quickly. I would say CNY deserves to be the world reserve currency more than the USD now because it is China that makes most stuff for us, not any other country.
A currency is and should be only as powerful as the manufacturing power it is backed by and CNY just delivers that unlike the USD.
There is speculation that the Chinese digital yuan is seen as a potential rival to the US dollar as a global reserve currency. It is expected that the digital yuan will be used more widely in international trade and could potentially reduce the US dollar's dominance in the global financial system.
And another reason is to increase efficiency and reduce the cost of international trade which could be a threat to the US.
if indeed China will develop a digital yuan, it is not impossible and it is clear that it can be done and it will definitely be a very reliable prospect because almost world trade in the production sector is controlled by China, and they can just set everything with payment using digital yuan and all will certainly want to do that.
whether it will become a threat to the US, from the past until now they have always been a business competitor and clearly will be a threat that cannot be ignored.
As we have been hearing on the news, a multipolar world is going to happen. There will be no single power globally dominating the world but a division of east and west. China is rich though, they have been lending for years and helping developing countries everywhere.
The US government is on the brink of default and they have to raise the debt ceiling or they are going down a risky path. Asking countries to buy US government bonds will be good to keep the interest low. However, many countries are also aware of how risky to hold US government bonds because they see them could be seized as well just like Russia's reserves that were seized.
China is sprinting its testing on the digital yuan. It will not take too long before the digital Yuan is executed and it believes China will become less independent of the US Dollar.
Is this a good thing or will China become even more economically powerful and therefore a threat? https://www.worldcoinindex.com/nl/news/chinese-central-bank-deputy-governor-wants-china-to-accelerate-pboc-rollout
And We already know that China is aiming for global domination specially in terms of economy, and I am sure they are seeing this digital yuan as a possible many tools they can use to entice more countries to go away from the domination of the US Dollar in international commerce. However, many countries right now are also starting to get wary of the intention of China, at least in part this is exposed with the pandemic. Many countries are now starting to resist the influence of China. Many are now seeing that China can be a trap. Personally, I don't see China to be the one to dominate of the vacuum that will be left by USA in the global commerce, that position is reserved for another (still emerging) entity.
Is this a good thing or will China become even more economically powerful and therefore a threat? https://www.worldcoinindex.com/nl/news/chinese-central-bank-deputy-governor-wants-china-to-accelerate-pboc-rollout
And We already know that China is aiming for global domination specially in terms of economy, and I am sure they are seeing this digital yuan as a possible many tools they can use to entice more countries to go away from the domination of the US Dollar in international commerce. However, many countries right now are also starting to get wary of the intention of China, at least in part this is exposed with the pandemic. Many countries are now starting to resist the influence of China. Many are now seeing that China can be a trap. Personally, I don't see China to be the one to dominate of the vacuum that will be left by USA in the global commerce, that position is reserved for another (still emerging) entity.
FIAT is already 90% digital. Making it 100% digital won't really change anything.
The Chinese YUAN is already a powerful currency because it is backed by the Chinese manufacturing while the US dollar is backed by the US military. For now USD is slightly more powerful but this might change very quickly. I would say CNY deserves to be the world reserve currency more than the USD now because it is China that makes most stuff for us, not any other country.
A currency is and should be only as powerful as the manufacturing power it is backed by and CNY just delivers that unlike the USD.
There is speculation that the Chinese digital yuan is seen as a potential rival to the US dollar as a global reserve currency. It is expected that the digital yuan will be used more widely in international trade and could potentially reduce the US dollar's dominance in the global financial system.
And another reason is to increase efficiency and reduce the cost of international trade which could be a threat to the US.
Well in terms of currency dominance, the Chinese yuan cannot challenge the USD on the international market, however the idea of introducing a digital yuan is a welcome development, because it will help in improving China's economy. But the notion of a certain currency wanting to fill in the vacuum of the USD shouldn't be encouraged for now, because nations are still trying to stabilize their economy.
China is sprinting its testing on the digital yuan. It will not take too long before the digital Yuan is executed and it believes China will become less independent of the US Dollar.
Is this a good thing or will China become even more economically powerful and therefore a threat? https://www.worldcoinindex.com/nl/news/chinese-central-bank-deputy-governor-wants-china-to-accelerate-pboc-rollout
And We already know that China is aiming for global domination specially in terms of economy, and I am sure they are seeing this digital yuan as a possible many tools they can use to entice more countries to go away from the domination of the US Dollar in international commerce. However, many countries right now are also starting to get wary of the intention of China, at least in part this is exposed with the pandemic. Many countries are now starting to resist the influence of China. Many are now seeing that China can be a trap. Personally, I don't see China to be the one to dominate of the vacuum that will be left by USA in the global commerce, that position is reserved for another (still emerging) entity.
Is this a good thing or will China become even more economically powerful and therefore a threat? https://www.worldcoinindex.com/nl/news/chinese-central-bank-deputy-governor-wants-china-to-accelerate-pboc-rollout
And We already know that China is aiming for global domination specially in terms of economy, and I am sure they are seeing this digital yuan as a possible many tools they can use to entice more countries to go away from the domination of the US Dollar in international commerce. However, many countries right now are also starting to get wary of the intention of China, at least in part this is exposed with the pandemic. Many countries are now starting to resist the influence of China. Many are now seeing that China can be a trap. Personally, I don't see China to be the one to dominate of the vacuum that will be left by USA in the global commerce, that position is reserved for another (still emerging) entity.
FIAT is already 90% digital. Making it 100% digital won't really change anything.
The Chinese YUAN is already a powerful currency because it is backed by the Chinese manufacturing while the US dollar is backed by the US military. For now USD is slightly more powerful but this might change very quickly. I would say CNY deserves to be the world reserve currency more than the USD now because it is China that makes most stuff for us, not any other country.
A currency is and should be only as powerful as the manufacturing power it is backed by and CNY just delivers that unlike the USD.
@pooya87, you are asking questions in vain, because the OP got a permanent ban for plagiarism, and even if he hadn't, I sincerely doubt that he would be able to answer your questions.
China is one of the biggest players globally, and whether someone likes it or not, the world needs their cheap labor and logistics. It is true that some countries have been wary of technology coming from China for a long time, because it is nothing new that they install spy equipment in some products - and some even say that in this way they are literally spying on the world on a level that is hard to describe.
China is one of the biggest players globally, and whether someone likes it or not, the world needs their cheap labor and logistics. It is true that some countries have been wary of technology coming from China for a long time, because it is nothing new that they install spy equipment in some products - and some even say that in this way they are literally spying on the world on a level that is hard to describe.
The digital yuan is something that will have more internal impact over China, rather than external impact over the global economy.
I don't think that China is being really "dependent" on the US dollar. USA is dependent of the countries, that are buying US dollars and US government bonds. I know that the Chinese want to receive payments in yuan instead of USD for the goods they are exporting. Also China wants to buy oil and gas from Saudi Arabia by paying with yuan rather than USD. The Chinese don't necessarily need a digital yuan, in order to achieve such "independence" from the US dollar. The competition for global dominance will continue, but I don't think that China is in a good shape, both financially and demographically.
I don't think that China is being really "dependent" on the US dollar. USA is dependent of the countries, that are buying US dollars and US government bonds. I know that the Chinese want to receive payments in yuan instead of USD for the goods they are exporting. Also China wants to buy oil and gas from Saudi Arabia by paying with yuan rather than USD. The Chinese don't necessarily need a digital yuan, in order to achieve such "independence" from the US dollar. The competition for global dominance will continue, but I don't think that China is in a good shape, both financially and demographically.
China is sprinting its testing on the digital yuan. It will not take too long before the digital Yuan is executed and it believes China will become less independent of the US Dollar.
What do you mean by "executed"? e-CNY is already released and is being used. They passed some crazy number of transactions a while ago too.Quote
Is this a good thing or will China become even more economically powerful and therefore a threat?
China is already a massive economy, and it didn't become this big by creating centralized shitcoins. They became big by having an economy that is based on production not fake one based on credit and debt. As long as China keeps flooding other countries with their various products at much cheaper prices, they will continue growing economically.Which again has nothing to do with their CBDC or Dollar.
Quote
Many countries are now starting to resist the influence of China.
Do you have anything I can read on this?
There are a couple of nuances:
1. The Chinese economy cannot exist without .. dollars
As well as without US technology
2. The digital yuan is more needed for total control of financial flows within the country and control of the population. The economic situation and internal tensions, as well as the growing dissatisfaction with the "CCP party's course" are the reasons why China is preparing in advance the means for total control.
3. Replacing the fiat yuan with a digital yuan is just a paradigm shift of money, plus a little more control, but no impact on the dollar, the western economy or anything else, it will not affect
1. The Chinese economy cannot exist without .. dollars
As well as without US technology2. The digital yuan is more needed for total control of financial flows within the country and control of the population. The economic situation and internal tensions, as well as the growing dissatisfaction with the "CCP party's course" are the reasons why China is preparing in advance the means for total control.
3. Replacing the fiat yuan with a digital yuan is just a paradigm shift of money, plus a little more control, but no impact on the dollar, the western economy or anything else, it will not affect
What do you mean by less reliable? The volume of China's debt to the United States is more than a trillion dollars, and the trade exchange between the two countries is very large, so all that is happening is attempts to make the dollar weaker, but without a world war, the dominance of the dollar will not end.
The economic war during the Trump era was the beginning for China to diversify its investments away from the US dollar.
The economic war during the Trump era was the beginning for China to diversify its investments away from the US dollar.
I like past proposals invoking the yuan.
Gold backed yuan.
Then they touted petrol gold backed yuan.
That was back in 2015 and 2017 respectively.
There has never been a shortage of good ideas for the evolution of the yuan. For whatever reason, they simply never pulled the trigger.
I think digital yuan and CBDCs would become natural competitors to paypal, mastercard, visa card and 3rd party payment processors like apple pay. That is the segment of the market they would be targeting.
CBDCs would bash heads with credit cards and paypal much more than they would conflict with BTC.
Gold backed yuan.
Quote
China plans yuan-denominated gold fix this year -sources
FEBRUARY 26, 2015
SINGAPORE, Feb 27 (Reuters) - China plans to launch a yuan-denominated gold fix this year to be set through trading on an exchange, sources familiar with the matter said, as the world’s second-biggest bullion consumer seeks to gain more say over the pricing of the precious metal.
https://www.reuters.com/article/gold-china-fix/china-plans-yuan-denominated-gold-fix-this-year-sources-idUKL4N0W04Z220150227
FEBRUARY 26, 2015
SINGAPORE, Feb 27 (Reuters) - China plans to launch a yuan-denominated gold fix this year to be set through trading on an exchange, sources familiar with the matter said, as the world’s second-biggest bullion consumer seeks to gain more say over the pricing of the precious metal.
https://www.reuters.com/article/gold-china-fix/china-plans-yuan-denominated-gold-fix-this-year-sources-idUKL4N0W04Z220150227
Then they touted petrol gold backed yuan.
Quote
Game Changer: China to Buy Oil With Gold-Backed Yuan
SEP 5, 2017
The world’s top oil importer, China, is preparing to launch a crude oil futures contract denominated in Chinese yuan and convertible into gold, potentially creating the most important Asian oil benchmark and allowing oil exporters to bypass U.S.-dollar denominated benchmarks by trading in yuan, Nikkei Asian Review reports.
https://goldbroker.com/news/game-changer-china-to-buy-oil-with-gold-backed-yuan-1183
SEP 5, 2017
The world’s top oil importer, China, is preparing to launch a crude oil futures contract denominated in Chinese yuan and convertible into gold, potentially creating the most important Asian oil benchmark and allowing oil exporters to bypass U.S.-dollar denominated benchmarks by trading in yuan, Nikkei Asian Review reports.
https://goldbroker.com/news/game-changer-china-to-buy-oil-with-gold-backed-yuan-1183
That was back in 2015 and 2017 respectively.
There has never been a shortage of good ideas for the evolution of the yuan. For whatever reason, they simply never pulled the trigger.
I think digital yuan and CBDCs would become natural competitors to paypal, mastercard, visa card and 3rd party payment processors like apple pay. That is the segment of the market they would be targeting.
CBDCs would bash heads with credit cards and paypal much more than they would conflict with BTC.
Slowly China Are fast becoming independent on the US dollars. And this progress from them would always continue. And not only China many countries Are valuing their currency locally and in local trades than any other countries currency.
But the hard truth is that US dollars still comes ahead of any other currency on the list of ratings and rankings that’s for sure.
But the hard truth is that US dollars still comes ahead of any other currency on the list of ratings and rankings that’s for sure.
Unless the majority of the world abandons the US Dollar, China will still be dependent in using it for foreign trades. Only a few select countries are willing to trade goods in exchange for CNY, and the rest of the world still deals with USD a lot. Even if they were the first one to introduce the digitization of their currency, most of the success of their CBDC will still be dependent on the amount of people willing to use and receive it. They can force their people to use it as long as they like, but outside of China, it'll be a hard task to do that since there really isn't any incentive to use digital Yuan just yet.
Doesn't seem to me there'd be any benefit of holding digitalized Yuan ever unless China compelled bilateral transactions be conducted in their own currencies (at which point countries would just conduct commerce elsewhere).
This just seems like a move to introduce more fiscal control over Chinese citizens. I wouldn't expect the global commerce sector to pick up worthless digital tokens that are controlled on a whim by the communist Chinese party. It's taking a large gamble.
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