AgAu / WTO Public Forum: Crypto Currency Wars – Libra/ SDR – Crypto Renminbi

AgAu / WTO Public Forum: Crypto Currency Wars – Libra/ SDR – Crypto Renminbi


Hi everyone! Thierry ARYS RUIZ here founder and CEO of AgAu – Ag – Au
One Token Backed by Silver(Ag) one Token Backed by Gold(Au) we’re here
at the WTO – World Trade Organization
public forum it’s a very good platform
for public sector, private, and academia
Different takeaways about this
the first one Takeaway is about
globalization second takeaway is about
the trade wars and currency wars and the
third one is basically a call to action.
So let’s go through that the first one
is basically that: At the end of the
day the World Trade Organization is just
as powerful as the Member States so the
initiative has to come from the member
states of course you have a different
guidance that can be done – it’s a good
platform to share best practices of what
can happen but the initiative has to
come from within the state that’s clear
the first takeaway the second takeaway
about Trade Wars and Currency Wars well
unfortunately in history you’ve seen
that usually when you start currency
wars that turn into trade war, trade wars
sometimes turning into full blown out Wars
and I think that’s in no one’s interest
at the end of the day so in order to
avoid that you see a lot of
people saying globalization on the one
side and localization on the other side
I don’t believe we’re going to go back
from globalization most likely we’re
going to continue this trend of
globalization and collaboration but
maybe perhaps a decentralized
globalization and what I mean by that is
that perhaps the the local economies
will be further integrated in this
globalized world but perhaps they’ll
have a better say when it comes so
essentially since the end of the 80s
you’ve seen a lot of supranational
entities and the government sometimes
has but only now if we decentralize a
little bit more democratically this
governance so where the local players
can also have a say that’s kind of a
trend that we can see play out so I’m
rather optimistic on the Globalization
I just believe that the Governance
might change from a globalized
perspective into a localized
and have more a free market of ideas in a
way so that will allow for smaller
participants to also bring their ideas
and bring their best practices into the
planers and I think Switzerland is one
of them to be honest. So talking about
currency wars and trade wars well you
in terms of currencies, you’ve seen
a news of SNB the Swiss National Bank
partnering up with the BIS – the Bank for
International Settlements in Basel
(sometimes known as πŸ™‚ The Central Bank of
Central Banks usually it’s interesting
to say that the the Swiss National Bank
wanted to do a digital Swiss franc now
the digital Swiss franc will play out Through the SDX, the spin-off of the SIX group
( Swiss Exchange ) where they will be
essentially playing this digital Swiss
franc within a confined
environment it’s kind of a sandbox
where you play out first – but that’s
that’s one initiative, the other one, the
other initiative is well on the other
side of the Atlantic Facebook Libra
right Facebook Libra also established
the association here in Geneva, I believe
for the regulatory
framework so basically I call it a
digital SDR so the SDR is the
Special Drawing Rights from the IMF
a basket of currencies usually
the IMF what they do is that they lend
to countries in SDRs and then, they
get paid back to gold
now I always say: Do what they do, not what they say. How does that play out with the
the threat, I think, the part of the
Congress who will probably accept this
initiative. (because) It’s another way to keep the dominance of the US dollar through
the SDR because the US dollar is still
very heavy on this basket of currencies
only very recently, we’ve seen the
Chinese Renminbi being included in that
basket and (China) is taking a little bit more room in order to go gauge for the push
for China and now the Chinese economy is the second biggest economy so of course they
want to take more leadership and
this is a hundred years to play out
talking about China they they have
completely banned digital cryptocurrencies
but they are pushing their own
digital Renminbi, the PBOC is now opening
up through that digital Renminbi most
likely they will try to implement it in
the Chinese Belt and Road initiative, now
the problem with that is that
the Digital Renminbi is kind of like a
Hotel California : You can get in
but you cannot really get out. Now, those
countries who are in between, they
don’t want to have two masters, the
dollar on the one side (or) the digital
SDR on the one side and the Chinese Renminbi on the other side so talking about
Facebook Libra one of the interesting
pieces is that you’ve seen that the IMF
with Christine Lagarde has moved from
the IMF to the ECB now so that leaves an
empty spot at the IMF you know … Mark
Carney recently also said recently that
the US dollar makes sense but a basket
of currencies would also make sense, now
Taking all of this into consideration, I
wouldn’t be surprised if he gets offered
this position at the IMF but you know
maybe if you have a choice between
being at the IMF for joining Facebook
Libra and capitalize on your profile
you know, previously being the Governor
of the Bank of England and before that
the Governor of the Bank of Canada if
you want to capitalize on the private
sector might join facebook Libra and
essentially implement the digital SDR idea
So that’s just a speculation of
course but then that could play out in
the next few months. At the end of the Day, we are here at the WTO
the World Trade Organization and really all it is – is how we can do trade facilitation we’ve
established standards for a couple of
years now with ICOTERMS
becoming a big success but again the WTO is only as powerful as their member
states so the push has to come from
within. It has to come from the Member
States but also I believe that academia
and particularly the private sector has
a big role to play. Probably the
innovation will come from the private
sector because you don’t have
to ask permission to innovate and I
believe this is a call for the private
sector to step-in and really collaborate
further and share more with the
government and tell them what the best
practices are. At the same time, is a call for comments.
Tell me what you think of what has
just been said… Shared with the button
below and comment and spread the love πŸ™‚

Add a Comment

Your email address will not be published. Required fields are marked *