Ray Dalio: China’s Digital Yuan Will Overshadow the Digital Dollar
According to billionaire investor Ray Dalio, China‘s digital Yuan will outpace the United States’ efforts to create a central-bank digital currency. In an interview with CNBC, The Bridgewater Associates founder shared that when the United States issues its own CBDC, it will certainly have its uses and “be viable.” But according to him, it wont be the most competitive one, with the U.S. economy slowing down from its rising debt levels. Chinas digital Yuan, on the contrary, would be much more competitive in terms of value and use, he argued. “I think we‘re going to enter a world in which people will be thinking which currency, and the ones that have the best fundamentals will be the ones that will be the most competitive and that’ll be threatening to countries.” The reasoning for this was with the expectation of Chinas economic growth continuing to outpace the U.S. economy, especially if the Yuan became more internationally accepted with a relatively healthier interest rate environment. “I think youre going to see the renminbi become more significant… a strong currency, a stable currency, more attractive-returning currency, and also a more widely used currency in the years ahead.” The dollar (USD) continues to weaken against the Yuan (CNY) as both