US biggest export is under attack… the dollar

• Iran is pushing Hormuz-related trade into yuan
• Offshore yuan issuance surged ~3x in March YoY
• China is already settling ~40% of its trade in yuan

That directly threatens the foundation of the US financial empire… its ability to fund endless deficits through global dollar demand.

The yuan operates within a semi-closed capital account, but China is effectively opening it through gold. Trade gets invoiced in yuan and any surplus can be settled in gold.

That’s why China is aggressively positioning itself as a global gold hub.

By building storage facilities abroad, China can even ensure gold is held within friendly jurisdictions… Russia already learned the hard way: not your custody, not your assets.

There’s more:

• China can issue USD-denominated debt at US rates
• China 10-year yield: ~1.8%
• US 10-year yield: ~4.4%

So China, the world’s factory base, is dishing the whole menu:

• Need USD liquidity… no problem
• Want to borrow at ~60% lower rates… use yuan
• Don’t trust fiat… settle in gold, stored locally

In a world where trust is in perpetual decline, China is leveraging gold’s millennia-old credibility to gradually dedollarize global trade.