Will China take over the world with the Digital Yuan?

[Dilerium90]

I think, that many countries will follow with curiosity the Chinese experiment with digital currency, and if this is successful, they will immediately follow the example of China. I think in 50 years almost every country will have its own digital currency.

[yhiaali3]

I have previously talked about this elsewhere, there is a cold economic war between China and the United States, and of course the digital field is a very important element in this cold war, there is a hidden race between the United States and China to acquire digital currencies, I think that Libra was part of a project The United States to defeat China, but Libra failed.
Now China has succeeded in issuing its digital currency (the digital yuan) while the United States has not yet done so, so I think that the next step will be either the United States seeks to issue its own digital currency or obstruct the Chinese project to control digital currencies.

[Hydrogen]

The problem with initial proposals for china's yuan CBDC I've seen is it fails to offer advantages to cash or other forms of digital payment. While penalizing end users with significant disadvantages such as expiration dates forcing users to spend digital yuan within a certain timeframe to avoid having the money expire.

It took sailors 10 years to accept the explanation of fruits and vegetables curing scurvy. Many years before people were willing to trade horses for horseless carriages. There is usually a transition period associated with the adoption of new technology and inventions. They can choose to speed the adoption process by offering attractive terms to consumers. Or perhaps slow the adoption process with the opposite. At the moment, the latter appears more likely. But perhaps we'll see a shift in policy.

[lalabotax]

I am not sure enough about the future prediction.
However, if China really can develop the digital Yuan, make it globally, and also focused on using and increasing the utility, it may have chances. However, now, USD is still the king that most currencies now depend on that currency

[jaysabi]

It looks like China wants to stay ahead of the game by launching its own digital currency before the rest of the world does. If it becomes the pioneer of "Central Bank Digital Currencies", it might become the largest economy in the mainstream world. This means the US Dollar will no longer be the world's reserve currency, as China gains strength with the Digital Yuan. Low fees and blazing-fast settlement speeds will make China's digital currency much more attractive than existing currencies. If the US fails to launch the "Digital Dollar" before China, it could lose its supremacy over the mainstream economy.

What are your thoughts? Will China take over the world with the Digital Yuan? Or will everything else remain the same? Do you think China's Digital Currency will force other countries to launch digital currencies of their own? How long do you think the transition will happen from paper money to digital Fiat? Your input will be greatly appreciated. Thanks in advance.

I don't think China's move will force other countries to launch a digital currency of their own as many other countries will not have the technological proficiency to do so. What it will do is create a global currency to challenge the USD and provide a way for rogue nations to avoid US sanctions, which will tie those nations economically and militarily closer to China, which is will be a major foreign policy challenge for the United States.

[conected]

I am not sure enough about the future prediction.
However, if China really can develop the digital Yuan, make it globally, and also focused on using and increasing the utility, it may have chances. However, now, USD is still the king that most currencies now depend on that currency

- I am quite wondering why they don't use traditional currencies but develop digital yuan, the nature of both currencies does not seem to make much of a difference, conversion is sometimes not problematic even at a far range. There is a speculation that China wants to develop networks in crypto but it is quite difficult to conquer when the recent pandemic has caused China to almost ostracize its neighbors, the United States in particular is a country that has declared that it does not want to continue cooperating with China

[7788bitcoin]

The problem with initial proposals for china's yuan CBDC I've seen is it fails to offer advantages to cash or other forms of digital payment. While penalizing end users with significant disadvantages such as expiration dates forcing users to spend digital yuan within a certain timeframe to avoid having the money expire.

Do they really have a time frame before the Yuan CBDC will expire, if that is the situation then it will fail to win investors as no one wants to be bound to a certain timeline and no one will be willing to spend money with a timeline in place and hence we can say that it is bound to die off in a few years.
Some countries will try this route as well and why would anyone invest in anything that does not provide any advantages over regular monetary system.

[Abiky]

Everything will remain the same because all this digital money thing was just a way to drive attention from crypto so that the government doesn't lose control over their population IMO. What's the point in all this? Everyone is already using digital for payments, people use cards and phones, mobile apps, I barely see anyone with cash nowadays.
Yes, they might remove cash and coins from circulation, but why would that make them superior? Maybe other countries will follow the lead and do the same, though I don't see much point in it. But instead of using Yuan, they'll definitely make a digital currency of their own.

That's certainly true, mate. People are already accustomed to digital payments, so a new CBDC wouldn't make any difference other than eliminating paper money for good. China is still struggling to become the world's largest economy, probably because of its policies. The United States is much more flexible in this regard, which is why many countries trust the US Dollar. It doesn't matter which digital currency comes first, but rather which one remains the leading currency for global commerce. Rest assured that if China launches the "Digital Yuan" first, other countries will quickly follow. I believe the United States won't take long enough to launch the "Digital Dollar" in order to stay ahead of the game. Like it or not, paper money will soon fade into oblivion. This will become a reality faster than we've previously imagined, as COVID-19 forces people to rely on digital payment methods to avoid any physical contact.

Nonetheless, no one knows what will happen in the future. China's economy is growing at a fast pace, so anything can be expected with the launch of the "Digital Yuan". While China taking over the world is not feasible at the moment, it could be if it continues to expand its influence worldwide. The US should do everything at its disposal in order to prevent losing its supremacy in the future. At least, we don't have to worry about the USD losing its status as the reserve currency of the world for a long, long time. Just my thoughts

[Kamarah]

China is being said to be the world leader in digital money development. Currently China is issuing digital yuan to replace circulating cash. This is a booming progress that promotes digital development. It also positive impact on Bitcoin electronic money. Chinese relatives can use electronic money in circulation.

[DrBeer]

For the digital yuan to replace the US dollar, the global economy must have a need or interest. At the same time, there should still be understandable risks of using the new world currency. The question is - how do you think - is the current situation in the world economy in order to create a need to change the international currency of mutual settlements? Is there an assessment of the risks of working with a digital currency that is completely controlled, let's say honestly, by the ruling elite of the country, where there are a lot of nuances, underconfusions, information hiding, and hidden goals? For example, the United States cannot immediately stop or somewhere ban the circulation of the dollar. In a digital exchange protocol, this can be done quite easily, but I am sure that many of the technologies underlying the digital yuan will be classified and remain proprietary.

[zanezane]

Bitcoin can't even do it in ten years, how do you expect China to do a different thing with their subpar CBDC, plus China has a very exclusive economy so I don't think that it is going to get out of their market or economy.

[(o)(o)ilikeboobs(o)(o)]

China is just pioneering in technology and creating a national digital currency. They cannot make the yuan the number one currency in the world because countries like the US, the European Union, the UK are fighting against China.
To turn the digital yuan into an influential currency in China requires many economic agreements, with financial networks in all regions around the world.
The 1973 Petro Dollar Treaty is making the dollar more liquid than any other currency. The digital yuan is just one solution in China and it doesn't mean much compared to the world monetary system.

[ashmodeus]

on my perspective , the reason china created digital yuan is just for centralizing their money perfectly , they just want control their citizen money out, i even don't understand to a video on youtube explain chinese digital yuan will kill bitcoin, its totally no sense.

[DrBeer]

China is just pioneering in technology and creating a national digital currency. They cannot make the yuan the number one currency in the world because countries like the US, the European Union, the UK are fighting against China.
To turn the digital yuan into an influential currency in China requires many economic agreements, with financial networks in all regions around the world.
The 1973 Petro Dollar Treaty is making the dollar more liquid than any other currency. The digital yuan is just one solution in China and it doesn't mean much compared to the world monetary system.

The biggest problem for the Digital Yuan is China's opacity as a partner. They can declare one thing and do another, they can hide or distort some data. This makes this asset, managed by the Chinese government, high-risk, low-predictable, which does not allow it to be used as a stable, secure solution.

[electronicash]

we dont know yet the real deal with digital yuan  but we already know they are becoming richer than ever and the US economy is shrinking. China is expandi and thsy even want to unify Taiwan. they are making friends to countries to be ally with.

the CBDC Yuan will be released to everyone who will be there in China in the coming Olympics too. i guess thats the time we will know exatly how their CBDC wallet works.

[sapnu]

Regardless of how powerful the digital yuan being proposed by China is becoming, there are still a lot of flaws that may hinder it from becoming exclusive and attractive digital currency in the making. Most of the countries in the world would not want to get involved in a currency being runned down by the government for it would mostly benefit the other side than to them. Maybe inside their country, things may work out but for sure, not everyone will support and tolerate the use of it, most will still stick on other cryptocurrencies where they can find freedom and gain much more benefit compared to the digital currency being promoted by their country.

[Cling18]

Well, China can be the pioneer with digital yuan but developed countries (especially the Western) will not accept it. ETF maybe follow their lead. This will make the currency usable only within China. The government can encourage their allies to use the Digital Yuan but I doubt that the facilities of those countries are strong enough to maintain it.

So the answer: China cant take over the world with The digital Yuan

It will even be hard for them to replace dollar. As for me, it will be hard for some countries to trust Yuan because of the issues that China has been facing due to territorial issues and recklessness that spread the pandemic. They can control their people with their currency but it won't take over the world.

[BrewMaster]

Makes no sense, settlements speeds or low fees are not the pros of a reserve currency, it's not called reserve because you spend it daily 

it is not about the price or low fees or speed or anything else apart from who controls that currency. USD is not used globally because it is a good currency, etc. it is only used because of the big bad bully that controls it called United States of America!
now China has been replacing US for some time now and they have been trying to become the new world power. one front to replace US is replacing US dollar. Yuan and digital Yuan is a step in that direction.

[(o)(o)ilikeboobs(o)(o)]

China is just pioneering in technology and creating a national digital currency. They cannot make the yuan the number one currency in the world because countries like the US, the European Union, the UK are fighting against China.
To turn the digital yuan into an influential currency in China requires many economic agreements, with financial networks in all regions around the world.
The 1973 Petro Dollar Treaty is making the dollar more liquid than any other currency. The digital yuan is just one solution in China and it doesn't mean much compared to the world monetary system.

The biggest problem for the Digital Yuan is China's opacity as a partner. They can declare one thing and do another, they can hide or distort some data. This makes this asset, managed by the Chinese government, high-risk, low-predictable, which does not allow it to be used as a stable, secure solution.

China is known for its sly contracts that benefit them. they are no different from the capitalist governments I know of. Their influence comes from expansion. I am seeing China invest in Africa, they come to take the resources of the countries and bring little value. The most recent is the belt and road projects. These countries are indebted to China. The consequence of the default is the price that must be paid to national territorial sovereignty.
I believe that one-day African countries will use their digital yuan for transactions instead of their country's fiat currency.

[Nanda Dewi277]

China probably is one of the big countries with many influences to the world. But, taking over the world with their digital currency. I don't think it can be. For, this is the world and many people are here involved. Moreover, the US will not probably allow it and there will be economic or financial wars between the two and also other developed countries around the world. And we as common person just watch and see what will happen.