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by Josh Rezvani
A native of Los Angeles, Josh Rezvani is an American neo-conservative political commentator, event producer and entrepre...

The People's Republic has grand desire to dethrone the US dollar. It may come as early as this year.

  • It may make a powerful move this year to move against the dollar's global dominance. 
  • Gold backed future contracts in Shanghai will go down a path long and arduous

Beijing's decision to launch the petro-yuan, alongside with Moscow will be backed by goal, and Beijing's goal to blow the petrodollar will be a risky pathway for its "yuan-dominated" project. 

What's the risk?  As long as PRC is able to oversee its financial stability and development, Beijing will be able to swim this one out. 

With the recent purge of high-level officials, it looks like President Xi will not tolerate any interference with his Chinese Dream vision.*

  • The Anti-Corruption campaign, or also known as, China's patriotic crackdown, is a far-reaching, anti-graft effort to crank down "tigers and flies", or high level public officials accused in the past for bribery and abuse of power. 

It is reported that the Riyadh may be compelled to join the yuan pricing of oil.  However, Saudi Arabia currently remains as the crux of the petrodollar. 

Can this affect the US market? 

Sure, if investors aren't paying too much attention to Beijing's plans, the yuan crude features will also help the Chinese push their currency more global and widely used in global trade settlements, ultimately reducing the demand for US securities across the board. 

Now where does the danger begin?

If China successfully persuades Saudi Arabia, OPEC's kingpin and largest oil exporter to started accepting yuan for its crude oil. This would eventually lead to the abandonment of the US dollar as the world's reserve currency. 

China's plans will be our country's "wake up call" and must take necessary steps now to avoid any form of escalation that may come in our way in the next 5-10 years. 

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