China’s Digital Yuan Will Not Topple the Dollar, SEC Official Says

The Epoch Times

LONDON—China’s planned digital yuan will not dethrone the dollar, a top Securities and Exchange Commission official said on Thursday, citing the growth of so-called stablecoins backed by the greenback.

The world’s biggest central banks, including the People’s Bank of China and U.S. Federal Reserve, are stepping up work on issuing digital cash, eyeing improvements to payment systems and looking to pre-empt the rise of cryptocurrencies.

The PBOC’s work on a digital yuan—part of a push to internationalize the currency—is far ahead of similar initiatives in other major economies.

That has led some analysts to question if the faster pace from the globe’s second largest economy could lead the yuan to gain dominance over the dollar, which remains the world’s dominant reserve currency.

Yet Hester Peirce, a Republican commissioner at the SEC, said the rise of stablecoins—privately issued cryptocurrencies often backed by the dollar—would maintain the U.S. currency’s status.

“Even in 2021, there’s been a tremendous growth in stablecoins—these are essentially private digital dollars,” she said. “That, effectively, may be our answer to the Chinese CBDC (central bank digital currency). It may be just private stablecoins.”

“If they’re dollar-backed then I think that the dollar will still be quite relevant,” said Peirce during a digital currency event.

Federal Reserve Chair Jerome Powell said on Wednesday China’s digital yuan plans would not push the Fed to rush its own digital dollar plans, emphasizing that its primary goal was not speed to market but to avoid any misstep in digitizing the dollar.

Stablecoins are a fraction of the size of bitcoin, the largest cryptocurrency.

The biggest, Tether, has a market capitalization of about $51 billion, compared to bitcoin’s $1 trillion. Like bitcoin, it is still little used in commerce.

By Tom Wilson

Read Original Article on TheEpochTimes.com

The Thinking Conservative
The Thinking Conservativehttps://www.thethinkingconservative.com/
The goal of THE THINKING CONSERVATIVE is to help us educate ourselves on conservative topics of importance to our freedom and our pursuit of happiness. We do this by sharing conservative opinions on all kinds of subjects, from all types of people, and all kinds of media, in a way that will challenge our perceptions and help us to make educated choices.

Columns

Viewers like you

There is no constitutional authority for any spending on public broadcasting – period. Any questions: See Article 1, Section 8 of the U.S. Constitution.

Trans-wormal

No worm ever said "I am anthropomorphizing, I am a butterfly" to a toad or flock of geese and expected acknowledgement and support.

In Greenland’s Icy Capital, Past Troubles Haunt Hopes for the Future

As geopolitical realities and ongoing economic growth raise the stakes, U.S. interest in Greenland and the dream of independence may change things in a big way.

How a Chinese Government Statistician Was Forced to Report Fake Data

Chinese local govt employee produced a non-authorized report on bees and was visited by police and threatened with being sent to a mental hospital.

‘This One Time, at Groomer Camp’

All Camp Brave Trails programs focus on helping LGBTQ+ youth find what they need most to thrive: their people, their place, and their passion.

News

Kilmar Abrego Garcia Returns to US to Face Criminal Charges

Kilmar Abrego Garcia, a citizen of El Salvador, is on his way back to the US, where he will face criminal charges for allegedly smuggling illegal immigrants.

White House Adviser Gives Update on DOGE’s Future Amid Musk–Trump Spat

A top White House adviser said DOGE’s work will likely continue amid a spat between its former chief, Elon Musk, and President Donald Trump.

Trump Administration Asks Supreme Court to Allow Dismantling of Education Department

Trump admin asked Supreme Court to allow it to resume dismantling U.S. Dept of Education, following a lower court’s previous order halting process.

FTC Warns of Rising Student Loan Scams, Says Fraudsters Took Millions From Borrowers

FTC is warning borrowers to steer clear of student loan debt-relief scams, after shutting down group of companies that allegedly charged millions in illegal fees and left customers worse off.

Walmart’s Drone Delivery Coming to 5 More US Cities

Walmart is set to launch its drone delivery service in five more U.S. cities: Atlanta, Charlotte, Houston, Orlando, and Tampa, the company.

Court Orders Trump Administration to Restore AmeriCorps Funding to States

Federal court ordered Trump admin to restore AmeriCorps funding to states. The ruling comes as part of a lawsuit filed by 24 states and DC.

Tax Deductions You Can Take Without Itemizing

It’s not always beneficial to itemize. With IRS’s current standard deduction for 2025 most Americans who can’t itemize go with standard deduction.

Bernard Kerik, NYPD Commissioner During 9/11 Attacks, Dies at 69

Bernard Kerik, a former New York City police commissioner who was hailed as a hero after the Sept. 11, 2001, attacks, has died at 69, according NYPD.
spot_img

Related Articles