China to dump their US treasury holdings for BTC.

[xvacator]

The war between China and US becoming "hot" so other countries need to be careful because there will be an impact on the global economy. But we don't know if China really want to do that or that is just a fake news and make the market worry. And yes, if China really want to move into Bitcoin and gold, that will increase in institutional holdings in Bitcoin. That will make more eyes will open and see that Bitcoin is the best choice to hedge their funds. We can wait what will happen later related to that news and before that is happen, we need to prepare ourselves for the worst thing.

[0t3p0t]

Could this be classified as a retaliative measure from the Asian economic giant?. Such a significant treasury holdings sell for bitcoin can shake the US economy triggering higher rates.

But here's the interesting part of the news:
It means an increase in institutional holdings in bitcoin, therefore increase in bitcoin growth.

More investors will be pilling towards bitcoin as an asset they can trust to hedge their funds against any uncertainty that may arise.

We can anticipate another significant ATH all things being equal.

Well, for me it is no doubt a retaliatory act for China because there is no other reason they are doing that. They want to dominate and become the most strongest economy and therefore they want the world in their hands as for the US interests. These two competing countries not only affect their own economies but the whole world is suffering to this and I do hope they will not end up the worst.

[allensig3654]

I thought China banned bitcoin. There's no way to know what the CCP actually does. I wouldn't bank on that

[bitLeap]

I still remember when China closed bitcoin mining in the past, and now we are matched with China positive action towards Bitcoin buying. Try to be suspicious of what they do and with an economy as big as China any kind of market can be shaken on a bigger scale. Of course we can't prevent it from happening but at least don't trust institutions too much just because they have attracted attention to bitcoin.

[Josefjix]

But here's the interesting part of the news:
It means an increase in institutional holdings in bitcoin, therefore increase in bitcoin growth.

Certainly every crypto enthusiast will think that for feeding their fate and believe in Bitcoin for as long as their position is sit tight hoping for sudden profits in future. Yeah, that's absolutely proper.

More investors will be pilling towards bitcoin as an asset they can trust to hedge their funds against any uncertainty that may arise.

Every new investors are been introduced to Bitcoin everyday and I can say that approximately 2% of them are acquiring some quantity of Bitcoin to test the ecosystem, and that's right for sure. Come what may, people's interest in getting Bitcoin keeps increasing daily and that has been the culture from it's the days of her existence till today.

Either big institutions comes in or not, it reaches where it needs to be at the right time also.

We can anticipate another significant ATH all things being equal.

Big institutions acquiring isn't 100% assurance of new ATH, the movement is more than that.

[EarnOnVictor]

The reason for this proposed sell off by China must be following to the actions of Donald Trump's in his tarrif war with China. Could this be classified as a retaliative measure from the Asian economic giant?.

You don't need to think twice, it's retaliatory against the US. China needs the US to respect it, so it is passing a strong message. Trump is indeed a fool, he thinks everybody would bend the knee to the US, but how? The world made the US what it is today, and the founding fathers carefully built it through mutual respect, alliances, investors' confidence, and political and economic diplomacy.

But Trump is destroying everything in a few months and causing ridicule to the United States.

Such a significant treasury holdings sell for bitcoin can shake the US economy triggering higher rates.

Definitely, it will!

[Free Market Capitalist]

I usually take these news with a grain of salt. Rather than getting excited about what will happen, when it happens, if it does happen, that China starts buying bitcoin, I will be happy, but for now I remain skeptical.

I thought China banned bitcoin. There's no way to know what the CCP actually does. I wouldn't bank on that

Same here. However, the CCP will do what is in its best interest. Despite having banned mining and subsequently all cryptocurrency transactions, if it sees it suits it to dump US treasuries to buy bitcoin, it will do so. Nor would it be surprising if they do that and keep the ban for the population. That's why I don't trust anything about China either.

[batang_bitcoin]

IIRC, they've bought a lot of US stocks during the start of the covid-19 pandemic. And it has probably matured already and they're already in profit. It's a good decision to just move the money with the profit they have to another stable and better asset. With the tariff that has been imposed to them, this is actually a good answer that China has done for that decision Trump made. While us in the Bitcoin community, we're always happy if any of these big boys comes in to the market and buys more BTC as it will create more demand and means better price.

[kotajikikox]

China plans to dump part of its US Treasury holdings and move into Bitcoin and gold, according to BlackRock.

China held $784.3 billion in Treasuries, $229.6 billion in gold, and 194,000 BTC worth $18 billion as of early 2025.

This might be China's response to Trump's tariff war yes but honestly I think this is a good move from China anyway. Right now US dollar is still quite strong but until when? Seems like some countries are already turning their backs on USA and soon the dollar. Bitcoin is the more profitable investment anyway. Now FED will surely just counterattack whatever results to this move from China.

But here's the interesting part of the news:
It means an increase in institutional holdings in bitcoin, therefore increase in bitcoin growth.

This is not news but more of like speculation. Bitcoin still has not risen that much. It sits at $95k at time of writing. It could happen later on but for now it is not yet happening.

[DanWalker]

Just a sensational headline from an unreliable newspaper. All of these rumors stem from a CNBC interview with Jay Jacobs, chief investment officer of ETFs at BlackRock.

If you watch that interview, you will see he never mentioned that China has any intention or plan to sell US treasury to buy bitcoin and gold. He only talked about geopolitical instability and central banks diversifying their reserves and reducing their dependence on the dollar. He mentioned bitcoin as a viable option for them, but did not specifically mention China or any central bank buying bitcoin.

Everyone can watch the video here or in the article OP provided.
https://www.youtube.com/watch?v=GLSEVOQZSsk

In addition, mainstream newspapers such as Yahoo have also corrected and clarified this misunderstanding.


https://finance.yahoo.com/news/china-may-shift-bitcoin-thrives-212800348.html

[Smartprofit]

In my opinion, China will not be able to sell its US Treasury bonds quickly.

The problem is that China has too many of them, and it did not plan to sell them quickly when it bought them. With the amount of US Treasury bonds that China currently has, it is impossible to find a buyer for such a large amount of bonds.

After Donald Trump started the trade wars, all countries are looking at US dollar-denominated assets with caution. Investors are looking at other assets. For example, recently, when the US stock market was falling, the European stock market, on the contrary, was growing.

Yes, China may want to exchange its US Treasury bonds for gold or bitcoin. But in practice, this is not possible to do quickly.

[dezoel]

Well, if you piss off your enemy, do you expect them to just apologize and move on? Of course China would do something and this seems like the best way they could go with a retaliation without hurting their own citizens. They could just sell whatever they have, buy btc and gold, and that way USA and the rates will be screwed because of it.

I have no idea who they will sell to, but they would have to make a discount to sell it, so they are going to lose some money in the short term but they will make that back if bitcoin price goes up like we imagine it would. It is scary to think a nation would have that much bitcoin, because they can sell it all at once if they want to and that would crash the market price a lot, so while this is good for China, it is bad for bitcoin and the USA.

[X-ray]

Honestly, sounds like too good to be true, if china can have a deal with the US, it's more likely that they gonna buy US treasury bonds again.

Nobody know what's gonna happen with next few months, for all I know, it can be that the US and China finally make a deal and the conflict is settled.

[Iranus]

In my opinion, China will not be able to sell its US Treasury bonds quickly.

The problem is that China has too many of them, and it did not plan to sell them quickly when it bought them. With the amount of US Treasury bonds that China currently has, it is impossible to find a buyer for such a large amount of bonds.

It would be naive to think that if China sold its US Treasury bonds too quickly, there would be no buyers. In case, if no country or institution buys, the US Treasury or even the Federal Reserve will buy it back on the secondary market or try to stabilize the market at all costs. They can't refuse to buy back because if they do, the world will lose faith in the dollar and that will only make their collapse faster. It can be affirmed that: there is no concept of refusal to buy or inability to sell in this case.

But this scenario is not going to happen, China is devaluing the yuan to ease pressure on its export industry. A massive sell-off of US Treasuries would weaken the dollar and strengthen the yuan, which would not benefit them.

[nemesis_incarnate]

Honestly, sounds like too good to be true, if china can have a deal with the US, it's more likely that they gonna buy US treasury bonds again.

Nobody know what's gonna happen with next few months, for all I know, it can be that the US and China finally make a deal and the conflict is settled.

Big games that affect smaller people.

I too think it's a bit too optimistic for China to go for BTC, but hey - never say never.