In this piece for the Belfer Center, Michael Greenwald discusses China's recent “technical testing” of their digital yuan and the potential implications for the US dollar's role as the preferred global currency. Greenwald further outlines the myriad issues regarding the US and other nations' digital asset foreign policy and the decisions that need to be made by each country that speak directly to their values in a quest for modernization.
Michael Greenwald, Director at Tiedemann Advisors & Fellow at The Belfer Center for Science and International Affairs, and co-author Michael A. Margolis build upon earlier articles on the changing landscape of central bank digital currencies (CBDCs) to explain the global benefits of a digital dollar. Greenwald and Margolis outline the history of the dollar as 'de facto' global currency, while also discussing key points supporting the launch of a 'U.S. CBDC [as] an opportunity to reassert the standards and values of America and its allies.'