Could There Be A New Universal Gold Backed Currency?

(November 2,2022- Dalton Brewster)

Russia and China could be collaborating to create a new universal gold backed currency. A currency that would hold its value and have the goal of replacing the dollar as the world's reserve currency.

Despite chaotic market conditions, "The USD remains the safest, most convenient and most widely used currency in Asia and in the world today," Min-Hua Chiang, a research fellow and economist at the Heritage Foundation’s Asian Studies Center, told FOX Business.

While neither country has confirmed plans for this new currency, China has been purchasing record amounts of gold since the Russian invasion of Ukraine. In fact, China is one of the largest gold importers in the world.

Swiss gold exports to China hit a five-year high, with Beijing in July 2022 alone receiving 80.1 tons of gold valued at around $4.6 billion, the second highest monthly total since 2021.