China, the world’s largest oil importer, is embarking on an ambitious plan to reshape the global economy and decimate the U.S. dollar as the world’s reserve currency. In 2015, Bloomberg Intelligence estimated that The People’s Bank of China tripled its holdings of gold bullion, since April 2009, to 3,510 metric tons. China wants the power to set reserves and, therefore, currency values, particularly the yuan vs. US dollar ratio.
In 2014 Russia and China signed two huge 30-year contracts for Russian gas to China. The contracts specified that the exchange would be done in Renminbi [yuan] and Russian rubles, not in dollars. A Russian-Chinese alternative to the dollar in the form of a gold-backed ruble and gold-backed Renminbi or yuan, could start a snowball exit from the US dollar and ignite a catastrophic global economic crisis.