Iron ore importers were the first to announce their intention to switch to the national cryptocurrency of China.
Importers of iron ore mined in China are ready to refuse USD transactions in favor of the national cryptocurrency of the country. The information was published in the China Economic Net.
The choice of a digital yuan (RMB) will allow China to reduce its dependence on America’s national currency. Previously, a well-known trader Glen Goodman spoke about the changes in the position of the US dollar in the international arena in case Chinese managers convince its partners to conduct trade deals in the national cryptocurrency. In his opinion, if such a scenario is implemented, America will “face trouble.”
It was also mentioned that the suppliers are ready to adopt the technology and acquire the necessary blockchain tools to conduct direct transactions without the US dollar.
It is noteworthy that this information appeared when the US national currency has updated its minimum value over the past two years.
There is no exact information about the date of China’s national cryptocurrency release. According to some reports, a digital asset may appear only by 2022. At the same time, market participants do not exclude that China will speed up its work on the project taking into account increasing sanctions pressure from the United States.
At the moment, Chinese regulators are testing a national cryptocurrency locally. However, they say about the intention to expand the area of the project.
According to the opinion of Chris Larsen, co-founder of the popular startup Ripple, the early release of the national cryptocurrency is not the only weapon against the United States. Another advantage of the country, according to the expert, is the active development of the blockchain industry. The country launched many initiatives on advanced blockchain technologies enabling local regulators to turn Beijing into a center for blockchain innovation by 2022.