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Home » China and 8 other countries strengthen trading bloc to dethrone dollar

China and 8 other countries strengthen trading bloc to dethrone dollar

Important facts:
  • China would consider paying in yuan for the oil it trades with Saudi Arabia.

  • The yuan, the euro and bitcoin are candidates to oust the US currency.

The government of Saudi Arabia announced today that it has made the decision to join the bloc of countries that have formed a China-led trade alliance whose primary goal is to reduce international dependence on the US dollar.

Saudi Arabia is now joining the Shanghai Cooperation Organization (SCO) as a dialogue partner.

It is a political, security and trade alliance in which, alongside China, Russia, India, Pakistan and four other nations are listed as full members from Central Asia.

The organization also has four observer states, including Iran. Also There are nine dialogue partners, including Saudi Arabia, Qatar and Türkiye between them acc published from CNBC.

The integration of Saudi Arabia into the trading bloc is complete a key element in favor of China’s interestsbecause the Middle Eastern country is one of its most important suppliers of hydrocarbons.

Strengthening trade ties between the two nations, in yuan rather than dollars, represents a new opportunity China’s efforts to break the US currency monopoly.

In fact, China has recently signed several trade deals in yuan, reflecting its iInterest in de-dollarization of international relations.

As CriptoNoticias reported a few minutes ago, Chinese state oil company CNOOC and French company TotalEnergies have completed the first international purchase of an oil item in yuan rather than dollars.

Separately, the Presidents of Russia and China, Xi Jinping and Vladimir Putin, announced a new trade deal a week ago distances itself from the US dollar and focuses on the yuan as the main currency for trading various items.

Yuan, Bitcoin, Euro or Rupees Which Currency Will Displace the Dollar?

It is clear that a rebellion against the dollar is underway and that the Chinese yuan is trying to oust it as the world’s reserve currency.

But other currencies, such as The euro, Indian rupee and bitcoin are also entering the competition Let’s see who gets the crown.

The United Arab Emirates will soon be able to Join 18 other countries who agreed to trade Indian rupees with the idea of ​​abandoning the dollar as a means of payment for cross-border transactions.

Meanwhile, Bitcoin’s acceptance continues to grow, accounting for the increasing number of Bitcoin addresses.

Although the number of bitcoin addresses does not translate to the number of users, the number can serve as an indicator of overall growth.

Unique addresses with bitcoins have increased as new users acquire the cryptocurrency.

With this in mind we can see the fact that in 2012 it was just under 1 million and recently the number has increased to almost 42 million unique addresses, from which it can be concluded that Bitcoin has conquered users over the years.

Meanwhile, the yuan or China are not the US dollar’s only rivals, rather the Federal Reserve’s monetary policy is its own enemy.

Based on the saturation of inorganic money flooding the economy of this nation and which, in the eyes of analysts, heralds the end game of the dollar.

Given this scenario where all fiat money depreciates over time, Bitcoin performs stronger as it is one of the assets that has appreciated the most over time as we have seen. show graphic its price development.

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