Posted 1/30/2024, 7:16:16 AM
UAE and China Conduct Landmark Digital Currency Trade, Bypassing US Dollar
- UAE and China conducted first-ever cross-border transaction using new Digital Dirham, bypassing US dollar
- Transaction was for 500 million UAE Dirhams ($136 million) initiated by UAE Central Bank via "M Bridge" platform
- Indicates UAE moving toward new era of digital payments and reducing reliance on US dollar
- If UAE and China increase trade using Digital Dirhams instead of dollars, could negatively impact demand for US currency
- UAE Central Bank launching initiatives to promote Digital Dirham, along with China encouraging trade settlements in local currencies