China's Belt and Road Initiative is Paved with Gold.

China's "Real" Play

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China is developing a closed-loop gold-yuan settlement system. At its core, it connects resource-rich regions with infrastructure-poor ones, using gold as collateral and yuan as the transaction medium.

If successful China's vault build out will be a “Golden Corridor.” This would be a corridor connecting Saudi Arabia, Southeast Asia, and Africa, bringing trade, infrastructure, and capital flows denominated in gold and yuan to where it is needed. The gold goes in as collateral and unit of accounting and if needed, the actual currency. That’s the core of it.

Gold becomes the commonality across every geo-economic region. The model therefore extends globally one nation at a time.