Russia and others, move to use Yuan instead of dollar.

[pooya87]

To be honest, I don't think the Chinese currency has much future here in Latin America, historically we are under the sphere of influence of the American Dollar and the economic policies taken in Washington. I don't see why Brazil, Colombia, Peru or Chile would adopt the Yuan.

Dumping dollar doesn't mean replacing it with Yuan. It just means different countries would stop using dollar as reserve currency and that would in time destroy US economy. Countries like Brazil, Colombia, etc. are also not adopting Yuan, they are using Yuan to trade with China replacing dollar and they are using other currencies to trade with other countries again replacing dollar in all those trades.

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[Argoo]

I see that Russia and other countries switching to using RMB instead of dollars can be interpreted as wanting to reduce their dependence on the US currency and create diversification in international transactions. This can also help promote economic cooperation among regional countries and reduce dependence on Western Europe and North America. However, converting currencies is not easy and requires careful economic, political and legal preparation. In addition, the transition also needs to be done simultaneously with the agreement of the stakeholders and adjust the transition time to avoid adversely affecting the economies of the countries.

Russia had high hopes for Chinese support in its war to take over Ukraine, as well as for Chinese yuan to support the Russian economy, but these hopes were not destined to come true.

The results of Xi Jinping's visit to Russia turned out to be not even zero, but negative for her. China does not give Russia anything and will not even allow North Korea to help the Russians. Moreover, it became known that the Chinese Central Bank banned the import of cash yuan into Russia. Thus, Xi Jinping begins to slowly move away from the loser and criminal Putin, so as not to get himself dirty.

China is systematically distancing itself from the Russian Federation, cutting it off from itself, and the inhabitants of the Kremlin and ordinary Putinists are simply numb with horror looking at what is happening. Because all their hopes were connected with the People's Republic of China and some kind of lend-lease from there. In Russia, they said that without China it would be very difficult for them, in general, they would not be able to pull through without China. Now it turns out that they will not be pulled out.

[DrBeer]

Is Gay parade an advantage for a country?
Human rights laws is really messing up everything in this world. The gays got more rights to get fairness and justice and are allowed to party naked on the streets while people in Iraq can not even shout justice for those who are bombed.

Dedollarization is happening that even the NATO members are visiting China to make arrangements. Dollar is strong but its also the reason why they are ditching it.

In a way, the government will not force people to use CBDC after all, people would rather be using FEDnow or the CBDC than using the BRIC'S new currency.

Gay parades are not an advantage, I completely agree here. But their ban is not an indicator of greatness!
There are a lot of nuances in this subtle topic. For example, why does an open form of manifestation bother you, but, for example, hidden, but actually legalized pedophilia - no? Or, for example, are you not worried that many opponents of gay parades frolic with young boys in the baths?

By the way, this is also characteristic of those who squeal "give up the dollar", but at the same time stuff their pockets with dollars, hoping that no one will notice

For example, I'm more worried about moral monsters who are trying to get their ideas into my life, into my country, than people of a different orientation who do not force anyone to anything.

Concerning trips of representatives of NATO members to China. So their purpose of the trip is not about the dollar. Their purpose of the trip is to decide what to do with moral monsters, imposing their dubious values on neighboring countries, killing the population of these neighboring countries, under the idea of saving it is not clear what, and as a result, trying to unleash a third world war

[niko053]

how to legalize it through an individual entrepreneur?

[Ozero]

The process of dedollarization has been gaining momentum already. This doesn't look good for the US. The influence and power of the US dollar in global affairs is waning. The sad thing is that the strongest competitor is a currency of the enemy, not from an ally country. It would have been less troubling if the competitor is the euro or the pound or the yen, but it isn't.

The Chinese yuan is a considerable threat. Its growth is fueled not just by its strength but even more by its desire to dethrone the USD. Just recently, the BRICS alliance (Brazil, Russia, India, China, South Africa) will also start to replace the USD with the Chinese yuan.

In Russia, there is simply no other choice but to switch to Chinese yuan. In connection with the imposed international sanctions, Russia is cut off from the dollar and the euro. Rubles are no longer attractive to other countries and are even somewhat toxic. Therefore, Russia had to choose another currency. In this regard, they hoped for help from China, so the choice was made on the yuan. But in Russia with the Chinese yuan can lose. Let's see what will happen next.

[zasad@]

....
Thanks to diversification, I was left with the old British pounds. Now I admire them
All countries want to live at the expense of others, and China is no exception.

Based on what data do you talk about China's debt?
https://en.wikipedia.org/wiki/List_of_countries_by_external_debt
How far is Russia behind the US and Europe? Gay parades are banned in Russia. We don't need it in Russia  

I answer:


About diversification - you can expand more
Dollars, euros, Swiss francs (I like it very much), gold, crypto, liquid real estate, land. This is my take on this solution


1. China, public debt to GDP - 76.9%
2. In physical terms - 2452.8 billion USD

On the one hand, China's external debt has SIGNIFICANTLY decreased since 2109
https://en.wikipedia.org/wiki/%D0%A1%D0%BF%D0%B8%D1%81%D0%BE%D0%BA_%D1%81%D1%82%D1%80%D0 %B0%D0%BD_%D0%BF%D0%BE_%D0%B2%D0%BD%D0%B5%D1%88%D0%BD%D0%B5%D0%BC%D1%83_%D0%B4 %D0%BE%D0%BB%D0%B3%D1%83

On the other hand, he "transformed".
The total volume of loans in the non-financial sector of China in the second quarter of 2022 reached $51.87 trillion, according to the Bank for International Settlements (BIS). The level of debt is almost three times the country's GDP (295%) and is the highest for China since 1995.
https://stats.bis.org/statx/srs/table/f1.1

This, of course, is not correct to refer to the external debt of the state, but this is the DEBT of the Chinese economy.

At the same time, you probably know that in 2022, a huge scandal and crisis broke out in China in the construction sector, which led to huge problems in other sectors of the economy, the total amount of unfulfillable obligations for only 3 leading construction companies amounted to more than 13 trillion dollars.

If compared with the external debt of the United States, then it is very much leveled by the obligations of other countries to the United States, where the balance is in favor of the United States.

And again - the debts of an export-oriented economy, which depends on the Western consumer market, and Western technologies, it is not correct to compare with the debt of the world's leading country in all respects, I agree with the nominal size of the public debt too But the United States can "print" as many dollars as they need, the surplus will be consumed by the same China, India and many other countries, whose economy without the dollar will stagnate and degrade.

Here I will add - this is in a situation with a functioning US economy. If in 2019-2021, after the covid pandemic, the US economy really "sank", and the printing of money led to noticeable inflation, now the economy is on its feet, and there are no such problems.


Regarding gay parades banned in Russia. Are these all indicators of greatness? Does Russia have any other competitive advantages? It looks like it's the only one!

https://www.tripadvisor.ru/Attractions-g298484-Activities-c20-t103-Moscow_Central_Russia.html - these are those that are officially on tripadvisor, in fact - much more And this is the situation in all cities of Russia up to the far north: )

By the way, there were interesting statistics of PornHub - in the top three / top five in terms of visiting gay content, there were ... residents of Russia. Missed parades - pay attention

I'm tired of looking for proofs

https://www.chinabankingnews.com/2022/12/08/chinas-debt-ratio-rises-to-record-high-of-nearly-3-times-gdp-bis-data/
China’s Debt Ratio Rises to Record High of Nearly 3-times GDP: BIS Data
These are domestic loans, and according to the statistics of the situation in the US and Europe, the numbers are also large, but I agree that the US is in a better position.

the total amount of unfulfillable obligations for only 3 leading construction companies amounted to more than 13 trillion dollars.

Compare China's budget with this data. If this data is at the very top of the bubble, then it is wrong.

I even had to learn this shit. Where is Russia here?
https://www.pornhub.com/insights/2022-year-in-review#top-20-countries

[Alpha Marine]

This isn’t about only Russia and China, I don’t think Russia is moving towards yen to make it an international currency because it will be absurd to move from one countries currency to another. Rather this are just moves taken to dampen US dominance beyond economical control probably it is has to do with politics. With the effect of US sanction on Russia many countries are seemingly wary of such future occurrences and are opening ways to other currencies to reduce the US dominance. Even Saudi Arabia has open up a way to sell their oil and gas in currencies outside dollars. Even African union has had a plan to create its on central currency to use to transact within Africa as this could strengthen local currencies against the dollar.

I think Russia knows at this point not many countries will like the Russian Ruble to be a reserve currency so they are not even bothered about fighting for that. Their currency, economy, and political structure are not stable enough to sustain that. I mean, 1000 U.S. dollars is worth over 80000 Russian rubles. So yea I believe they're trying to move from one currency to another which is from the dollar to the yuan. They can achieve two things with one move; help depreciate the U.S. dollar and stop using the dollar for its international trade.

Nonetheless I don’t see the dollars losing much of its dominance just yet and this shouldn’t affect the country’s economy because it is not that US uses its Dollars as brokerage when every transaction takes to say that the lesser fee gotten from this brokerage will affect the economy.

If this goes on and more countries begin to buy into it, it might affect the U.S. dollar and furthermore the economy.
Demand for currency is one factor that affects the value of a currency. If a certain country exports what other countries demand, that country can ask for the other countries to pay in its local currencies. This will make that country's currency in demand on the international market.
The U.S. imports more than it exports, but its currency is the reserve currency, therefore it's always in demand on the international market so by the time countries no longer demand the dollar because they use yuan, the dollar value will drop while the value of the yuan will rise.

Anyway, I don't think this scheme of China and Russia will work because in this international politics they're playing, the U.S. ain't sleeping. They always find a way out of the corner.

[benalexis12]

This is what could be referred to in international politics as power tussle in terms of international levels of analysis. Haven such two conflicting countries like China and Russia coming together based on mutual economic interest against a common rival the USA is one that could be very frustrating for the US dollar with the unambiguous leverage and advantage the likes of Russia, China, Iran and Saudi Arabia have come together to give to the Chinese Yuan. With Russia in the forefront bent on the use of the Chinese Yuan instead of the US dollar in their country and in all of it's transactions and trades settlements with Latin America, Africa and Asia countries.
https://www.wsj.com/articles/russia-turns-to-chinas-yuan-in-effort-to-ditch-the-dollar-a8111457

What does this new development make for the US economy and the US dollar in the coming days and years to come.
Give your personal opinion on this development!

We all have the freedom to choose what currency we want to use when it comes to currency exchange. Because that's their choice we should respect. Maybe they saw something that wasn't good for the dollar so they did that. And if most countries will do that thing, I am pretty sure that it is not surprising that the value of the dollar will fall forever, and when that happens it will be a big crisis in the US because it is not supported by Gold unlike other countries country supported by gold.

[zasad@]

I do not believe that the ruble, yuan or any other currency can become a reserve. The USA consumes 2 times more than it produces, in Europe the situation is similar, although in other proportions, except for Germany and France. Japan has a similar situation.
This cannot go on for long. Either countries go back to gold or a new energy standard, or war will write off their debts.

[DrBeer]

In Russia, there is simply no other choice but to switch to Chinese yuan. In connection with the imposed international sanctions, Russia is cut off from the dollar and the euro. Rubles are no longer attractive to other countries and are even somewhat toxic. Therefore, Russia had to choose another currency. In this regard, they hoped for help from China, so the choice was made on the yuan. But in Russia with the Chinese yuan can lose. Let's see what will happen next.

The help and support of "fraternal China" is simply the best, according to Russia itself. Reality is always different
China is not siding with Russia in the Ukraine conflict, and some people are "deliberately misrepresenting" Beijing's stance due to the message of "borderless partnership" announced by the leaders of the two countries shortly before the start of the war. This was stated in an interview with The New York Times by Chinese Ambassador to the European Union Fu Kong.
He tried to make it clear that relations between Beijing and Moscow are not as close as is commonly believed, between Beijing and Kiev - not as far as supporters of Ukraine complain, and Europe should stop listening to the United States in everything and start pursuing an independent policy. Regarding the partnership between Russia and China, Fu Kong said:
"Boundless is nothing more than a rhetorical device." - he pointed out that China did not recognize Russia's annexation of Ukrainian territories, including Crimea and Donbass.

I immediately answer the question "so he could say that he was fit." NO. Autocratic China does not allow representatives of the country to say "anything for themselves." State officials say only what is agreed with the "party line"

https://www.nytimes.com/2023/04/05/world/europe/eu-china-embassador-russia-fu-cong.html

[darewaller]

What does this new development make for the US economy and the US dollar in the coming days and years to come

Maybe Dollar will be going to bankrupt?, but it looks impossible for the next 2 or 5 years because the dollar is ingrained in each country in the world. Other countries will not be easy to move or change the currency from Dollar to Yuan, As we know US won't just let those countries become world power to replace US hegemony so that mission will get obstacles from allies.

But if happen, and Yuan uses the same way (printing money without underlying) the result is the same as Dollar. there is no change whatsoever for developing countries.

I don't think this is the right term to use since they are not a business but they are only a currency although it's possible for it to become less valuable if many countries won't use it. It may take time because they will first consider if what are the consequences of doing it, if it's going to be beneficial in the long term or not and like you said, U.S won't let that easily happen.

The country might make some good deals about them only to remain on their side. If in case some will start using yuan, yuan might perform well but we don't know what can happen later on. Maybe what you said is true that they will end up like the dollar later on so it's still not beneficial in the long run. 

[Silberman]

Another not-so-good news for USD. An Asian country is Malaysia, after declaring that it does not want to depend on the USD, recently, they are also been negotiating with China on establishing the Asian Monetary Fund.

The US domination is coming to an end, I know there are many US and Western fanatics, but I would like to reiterate no empire can stand aloft forever. There will come a time when another force replaces it, and everything begins.

Humans have a short life span and as such they do not think on historical terms, while the US has been the most dominant country during the last century this was never meant to last forever, however US politicians seem to believe otherwise not realizing the US reached that position not only through a good management of its government, but also due to a very specific set of circumstances, but just as those circumstances can favor you they could also play against you, and it seems there is now enough interest from enough countries to try to challenge the hegemony of the US and the dollar.

[Wend]

Another not-so-good news for USD. An Asian country is Malaysia, after declaring that it does not want to depend on the USD, recently, they are also been negotiating with China on establishing the Asian Monetary Fund.

The US domination is coming to an end, I know there are many US and Western fanatics, but I would like to reiterate no empire can stand aloft forever. There will come a time when another force replaces it, and everything begins.
https://www.bloomberg.com/news/articles/2023-04-04/malaysia-china-to-discuss-asian-fund-to-cut-dollar-dependency#xj4y7vzkg

I also think that the US empire is entering a recession, they have stood on the top of glory for too long and it is time to give that position to someone else as they have taken from the British from 1920 to the present.
Recently, French President Emmanuel Macron, a close ally of the US, also made a statement that Europe should be less dependent on the dollar, not dependent on the US, and avoid following the US so as not to get caught up in wars that are not ours. They are slowly realizing how ridiculous and overbearing the US is in this crisis.
https://en.mehrnews.com/news/199275/Europe-must-reduce-dependence-on-US-dollar
https://www.reuters.com/world/macron-says-europe-should-not-follow-us-or-chinese-policy-over-taiwan-2023-04-09/

[el kaka22]

I wouldn't really debate which nation is doing better or worse, they are all doing terrible. It doesn't matter if it even looked better for a short period of time, it is always doing worse on the long run because inflation is a reality that we need to learn to live with. That's how we are going to end up with getting a better result in the crypto world and that's what we should do and that's what we should be approaching this issue as too.

Nations are bad, governments are bad, and crypto is better. Obviously not all crypto, there are some bad ones there too but if we focus on what we can do with bitcoin and eth and some other big good ones, then they are better than any government, USA or China, doesn't really matter.

[cafee_orange]

with the imposition of sanctions on Russia and the disconnection of almost all Russian banks from the SWIFT international payment system, from that moment Russia added to the attractiveness of the yuan, meaning that Russia is ready to turn away from the Dollar, but we need to know that Russia began to reduce its dependence on the dollar since 2014.
 https://www.wsj.com/articles/vladimir-putin-signs-treaty-to-annex-crimea-1395144516?mod=article_inline

[Silberman]

Another not-so-good news for USD. An Asian country is Malaysia, after declaring that it does not want to depend on the USD, recently, they are also been negotiating with China on establishing the Asian Monetary Fund.

The US domination is coming to an end, I know there are many US and Western fanatics, but I would like to reiterate no empire can stand aloft forever. There will come a time when another force replaces it, and everything begins.
https://www.bloomberg.com/news/articles/2023-04-04/malaysia-china-to-discuss-asian-fund-to-cut-dollar-dependency#xj4y7vzkg

I also think that the US empire is entering a recession, they have stood on the top of glory for too long and it is time to give that position to someone else as they have taken from the British from 1920 to the present.
Recently, French President Emmanuel Macron, a close ally of the US, also made a statement that Europe should be less dependent on the dollar, not dependent on the US, and avoid following the US so as not to get caught up in wars that are not ours. They are slowly realizing how ridiculous and overbearing the US is in this crisis.
https://en.mehrnews.com/news/199275/Europe-must-reduce-dependence-on-US-dollar
https://www.reuters.com/world/macron-says-europe-should-not-follow-us-or-chinese-policy-over-taiwan-2023-04-09/

It is going to be difficult for them to create a third block out of nowhere, western europe has been aligned with the interests of the US for far too long, so if they decide to try to move away from it then the US will retaliate with some of its economic weapons, after all for politicians there are no eternal friends, just eternal benefits, so the moment the governments of europe decide to take an independent stance that is the moment the US will change they way it treats them too.

[naira]

It is going to be difficult for them to create a third block out of nowhere, western europe has been aligned with the interests of the US for far too long, so if they decide to try to move away from it then the US will retaliate with some of its economic weapons, after all for politicians there are no eternal friends, just eternal benefits, so the moment the governments of europe decide to take an independent stance that is the moment the US will change they way it treats them too.

Then what will happen after policy after policy that President Biden has issued where they are actually soft in terms of economic strength? I know that the US will scare the global economic market like you said the weapon but unfortunately, the US is really running out of ways plus Europe is starting to look at the workings of the Russian alliance in solving the economy. We are talking about 26% of the world's GDP has now switched to the digital Yuan, and this will also reduce the demand for Dollars massively. It should be remembered that this is once again a challenge for the US, and if Biden thinks this is a joke, then the BRICS will have more freedom to control the global market, especially oil and gas imports.

[Sithara007]

I don't understand this. What is the point in using one manipulated fiat currency to replace another one? The only advantage is that China will end up as the major benefactor instead of the United States. Ideally for international trade, a neutral currency should be used and it should not be the national currency of any of the parties who are involved. In case of Chinese Yuan, it is known as one of the most manipulated currencies in the world. Every now and then, the Chinese government devalues the CNY, in order to help the exporters.

[Don Pedro Dinero]

What does this new development make for the US economy and the US dollar in the coming days and years to come.[/b]

What will happen if this trend continues is that the USA will no longer be able to continue to have the standard of living it has, which is based on exporting inflation to the rest of the world via dollars. Let us not forget that this departure from the dollar standard until not so long ago was life-threatening, like Gadaffi, who got into trouble when he said he would not accept dollars for his oil and wanted gold, and ended up dead. Or Saddam Hussein who started selling oil for euros.

I don't understand this. What is the point in using one manipulated fiat currency to replace another one? The only advantage is that China will end up as the major benefactor instead of the United States. Ideally for international trade, a neutral currency should be used and it should not be the national currency of any of the parties who are involved. In case of Chinese Yuan, it is known as one of the most manipulated currencies in the world. Every now and then, the Chinese government devalues the CNY, in order to help the exporters.

Well, it's not hard to understand. They are exchanging the fiat manipulated currency of others for their own. You really don't see it? I don't think there's much to explain here.

[Strongkored]

This change only changes the countries that benefit because their currency is used as a substitute for US Dollars and who is the winner of course China, not countries that change USD to Yuan, and China has succeeded in temporarily influencing these countries and because China has become a country with big trade, so like it or not these countries have to start using Yuan, this is just a form of Chinese invasion in the economy nothing else, but I doubt that they will fully use Yuan and leave the Dollar and when there is a change in world geo politics then everything will back to the origin that is USD.