The super powers begin their latest chest beating performances for a grasp toward a firm hold on global dominance
- Foreign Policy Test
- Sabre Rattling
- A Task “Bigger Than Ben Hur”
- Currency Strategy
- Underestimated The Market
- Change of guard
- USDC
Foreign Policy Test
Up to now, we witnessed The “America First” Foreign Policy, resulting in sanctions placed on trade from China. After the washout from the Iraqi weapons of mass destruction era, America continues to create havoc in the middle east, as it concentrates on underpinning its stronghold on the petro-dollar (Dollar pinned to the price per barrel of oil). However, the inscrutable oriental (China) continues its pressure with its “Belt And Road” initiatives and noticeably sabre rattling in the South China Sea, clearing the way to securing a fresh trade route and finding new partners.
As we have reported previously, China is currently in no position to wage war. However, as time passes, China is increasing in muscle mass and is still as inscrutable as ever. Reports abound of manoeuvering Pakistan in the playground adding power to China’s momentum placing them in a higher ranking of armed forces.
There is speculation of China encouraging the synergy of Pakistan and India which would be the icing on the cake for China. However, considering the unrest between Pakistan and India, this may be a task “bigger than Ben Hur”. So if this was to occur, then America will no longer be the top dog in the global economy. Meanwhile, China seeks to create space for Pakistan and include Pakistan’s inherent nuclear powers. Strategically, this shows China intending to eventually dominate world currency and underpin its bargaining power.
With all of this going on, along with the deliberate release of disinformation on the Pandemic and human trafficking from both sides, if we are lucky enough to be in a safe environment, then we are spectators that can only look on, and are left to guess their next moves. In the coming months, we will see these two world leaders manoeuver their currency strategy over the global chess board.
Both Leaders have underestimate the current climate of unrest in the centralised finance markets. While America grapples with glaring corruption within its own ranks and the looming race to control the White House, China is the first out of the two dominating powers to slowly draw the sward from its scabbard to reveal how sharp china can be by accepting the overwhelming trend toward a global take up of available Cryptographic currency activity. China’s Centralised RMB currency, is now e-RMB, which is set to be the first digital crypto-currency operated by a major centralised economy.
The words… “Slowly draw their sword” meaning carefully moving forward but with determination with its momentous intentions, one step at a time though, so as not to startle the chickens that are productively laying in the hen house.
As America slips its hands off the global economic steering wheel, China seizes its opportunity to release their next change in finance policies that will strike another timely blow in its quest for financial dominance. On October 31, 2019 China chose to embrace the blockchain technology and introducing the shiny new digital Yuan. The adoption has been gradual and the roll out of the new centralised Crypto Yuan which is pinned to (RMB – China’s legal tender) was not expected to take place so soon. The original Yuan is the basic unit of the soon to be superseded Renminbi (RMB) from it original form to e-RMB.
Not so long ago on 30th November 2015, the IMF (International Monetary Fund) voted to designate China’s Renminbi as one of several main world currencies, like the US Dollar, British Pound and Japanese Yen. This recognition by the IMF places the Chinese Renminbi as a Global currency and including it with the special drawing rights SDR exchange. This then opens the way for China’s gradual introduction of a Cryptographic currency adoption.
The interesting bit is that in China’s effort to assert global control, and with minimal disruption, they are now launching an electronic transaction system called the “DCEP” . This move on top of accepting Cryptographic Currency by China is set to revolutionise the Electronic Banking system. China enters a new phase in the finance market with an electronic payment system known as DCEP. This new DCEP system may also eliminate fees in transactions.
The rising questions are … Will America now push the USDC (United States Digital Currency)? And what will the USA come up with as a similar system to compete with the PBC (Peoples Bank of China centralised system) and China’s DCEP (Digital Currency Electronic Payment) system?
Finally, What is Australia about to respond with?
