{"id":53009,"date":"2020-05-06T07:35:39","date_gmt":"2020-05-06T12:35:39","guid":{"rendered":"https:\/\/olduvai.ca\/?p=53009"},"modified":"2020-05-06T07:35:43","modified_gmt":"2020-05-06T12:35:43","slug":"get-ready-for-the-next-game-changer-the-digital-yuan","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=53009","title":{"rendered":"Get Ready for the Next Game-Changer: the Digital Yuan"},"content":{"rendered":"\n<h3 class=\"wp-block-heading\"><a href=\"https:\/\/www.strategic-culture.org\/news\/2020\/05\/05\/get-ready-for-the-next-game-changer-the-digital-yuan\/\">Get Ready for the Next Game-Changer: the Digital Yuan<\/a><\/h3>\n\n\n\n<p>A new, radical paradigm shift is in progress. The U.S. economy may shrink as much as 40% in the first semester of 2020. China, already the world\u2019s&nbsp;<a href=\"https:\/\/www.statista.com\/statistics\/270183\/countries-with-the-largest-proportion-of-global-gross-domestic-product-gdp\/\">largest economy by PPP<\/a>&nbsp;for a few years now, may soon become the world\u2019s largest economy even in exchange rate terms.<\/p>\n\n\n\n<p>The post-Planet Lockdown world \u2013 still a hazy mirage \u2013 may well need a post-Planet Lockdown currency. And that\u2019s where a serious candidate steps into the fray: the fiat digital yuan.<\/p>\n\n\n\n<p>Last month, the&nbsp;<a href=\"https:\/\/www.caixinglobal.com\/2020-04-18\/china-starts-trial-of-digital-currency-in-four-cities-101544126.html\">People\u2019s Bank of China (PBOC)&nbsp;<\/a>confirmed that a group of top banks started trials in electronic payment in four different Chinese regions using the new digital yuan. Yet there\u2019s no timetable yet for the official launch of what is called the Digital Currency Electronic Payment (DCEP).<\/p>\n\n\n\n<p>The man with the plan is&nbsp;<a href=\"https:\/\/www.caixinglobal.com\/2020-05-02\/chinas-recovery-from-coronavirus-epidemic-better-than-expected-pboc-chief-says-101549408.html\">PBOC governor Yi Gang<\/a>. He has confirmed that apart from the trials in Suzhou, Xiong\u2019an, Chengdu and Shenzhen, the PBOC is also testing hypothetical scenarios for the 2022 Winter Olympics.<\/p>\n\n\n\n<p>While DCEP, according to Yi, \u201chas made very good progress,\u201d he insists the PBOC will be \u201ccautious in terms of risk control, especially to study anti money-laundering and \u2018know your customer\u2019 requirements to incorporate in the design and system of DCEP.\u201d<\/p>\n\n\n\n<p>DCEP should be interpreted as the road map for China leading to an eventual, even more groundbreaking replacement of the U.S. dollar as the world\u2019s reserve currency. China is already ahead in the digital currency sweepstakes: the sooner DCEP is launched the better to convince the world, especially the Global South, to tag along.<\/p>\n\n\n\n<p>The PBOC is developing the system with four top state-owned banks as well as payment behemoths Tencent and Ant Financial.<\/p>\n\n\n\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Get Ready for the Next Game-Changer: the Digital Yuan A new, radical paradigm shift is in progress. The U.S. economy may shrink as much as 40% in the first semester of 2020. China, already the world\u2019s&nbsp;largest economy by PPP&nbsp;for a few years now, may soon become the world\u2019s largest economy even in exchange rate terms. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2,5],"tags":[130,4955,29428,2914,2615,4076,8203,827,839],"class_list":["post-53009","post","type-post","status-publish","format-standard","hentry","category-economics","category-geopolitics","tag-china","tag-digital-currency","tag-lockdowns","tag-pboc","tag-peoples-bank-of-china","tag-pepe-escobar","tag-strategic-culture-foundation","tag-united-states","tag-us-dollar"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/53009","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=53009"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/53009\/revisions"}],"predecessor-version":[{"id":53010,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/53009\/revisions\/53010"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=53009"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=53009"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=53009"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}