Aussie research university says China’s CBDC push puts Australia at crossroads

The expansion of the CBDC of Chin seems to reshape global commercial networks, leaving Australia to a crossroads between Beijing and Washington.

US President Donald Trump decision to prohibit An American digital dollar could shake up global finance because the West is already delaying digital currencies, explains Marina Yue Zhang, an associate professor at the Sydney University of Technology.

In her at the corner On a book by a British author and financial economist, Zhang stresses that the United States is taken in political debates on digital money. Some legislators aim to block a digital dollar due to confidentiality problems, while Europe and the United Kingdom are looking for a compromise.

Atlantic council’s advice group data based in the United States shows that in September 2024, 134 countries of the world Central Bank digital currenciesAgainst 35 in May 2020. Data also show that more than 65 countries, including India, Australia and Brazil, are at advanced stages of CBDC exploration, whether in the development phases, pilot or launch.

And yet, Australia Still has to make concrete plans for a digital currency from the central bank, because the country’s economy is based strongly on exports, in particular to China.

“If China continues to advance CBDC business regulations, Australian exporters could pressure to adopt Beijing’s financial infrastructure. This would arouse concerns about the economic sovereignty of Australia and the effect of geopolitical lever. »»

Marina Yue Zhang

Zhang notes that Trump’s decision could make the gap between the United States and its even greater allies with regard to digital finance. The offset of the US dollar has already grown since 2022, as many countries are now exploring multi-CBDC platforms to reduce their dependence on Western financial systems.

“How do Multi-CBDC platforms offer emerging savings an alternative to financial systems dominated by the West? They rationalize trade and reduce dependence on traditional financial infrastructure and reserve currencies. »»

Marina Yue Zhang

Zhang notes that countries like Russia and Iran have been cut off from Swift in recent years, but CBDC networks “allow nations to bypass traditional financial infrastructure and reduce the dependence of the US dollar in cross -border trade”.

While Western governments are still wary, concerned about the surpassing of the government and the digital money used to control transactions, underlines Zhang, in Australia, must always find a way to stay in advance in digital finance without stuck in global power struggles.