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The bigger hurdle to the SDR is I believe it has to be a free floating currency, which the Yuan is not. Also, I mean, what are you going to do? If people want t
by dageshi 11y ago
The bigger hurdle to the SDR is I believe it has to be a free floating currency, which the Yuan is not. Also, I mean, what are you going to do? If people want to get their money out and you're not going to completely forbid them from doing so then you have to pay up. If you want to maintain your peg and pay up you need dollars to do it, which you have in the form of treasuries.