When Russia issued its first CNY 20B yuan-denominated bond in December 2024, headlines framed it as a bold step away from the U.S. dollar. But behind the noise lies a deeper truth:
đ This is not de-dollarization. This is dependency.
Russia hasnât broken free â it has simply traded one master currency for another.
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đŁ The Reality Behind the Yuan Deal
What looks like financial sovereignty on the surface is actually a new form of limitation:
â Chinese investors canât buy the bond
â Moscow Exchange is sanctioned
â Actual buyers are Russian oil companies stuck with yuan they cannot use globally
This is not âChina backing Russia.â
Itâs Russia selling bonds to itself, through companies trapped in a closed financial loop.
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đ The Numbers Tell the Story
$245B RussiaâChina trade in 2024
99% settled in yuan
212% spike in Moscow yuan repo rates (Sept 2024)
98% Russian payment attempts rejected by Chinese banks
Russiaâs central bank forced to inject yuan â a currency it does not control and cannot print
đ China controls the liquidity
đ China controls the clearance
đ Russia depends on Chinaâs approval
This is the opposite of sovereignty.
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đ Global Reserve Reality
Despite high drama in the currency world:
đ” USD reserves: 56.3% (lowest since 1994, still dominant)
đŽ Yuan reserves: 2% (stalled for years)
đ„ Gold purchases: 1,000+ tonnes/year (highest since the 1960s)
Central banks are not shifting from dollars to yuan.
They are shifting from political currencies to neutral assets.
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â ïž Russiaâs Fiscal Pressure Is Exploding
2025 budget deficit: 5.7T rubles (5Ă original target)
National Wealth Fund: down 68% since 2022
Bond yields: Yuan 6% vs Ruble 16%
Russia chooses yuan not because itâs optimal â
but because itâs the only door still open.
This is not freedom.
This is survival.
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đ„ The Sovereignty Trap
Russia tried to escape the influence of one superpowerâŠ
and landed in the currency zone of another.
Real sovereignty doesnât come from switching currencies â
it comes from controlling your own economic destiny.
And right now, Russia is further from that goal than ever.
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đ Market Watch (Neutral & Safe Observations)
đ
$SXP (SXPUSDT) â 0.0702 (+25.13%)
Monitoring possible downward pressure toward 0.0567 region đ
đ
$SAPIEN (SAPIENUSDT) â 0.14525 (â14.29%)
Tracking continuation near 0.15021 / 0.145 zone đ
đ
$AT (ATUSDT) â 0.1364 (â4.14%)
Watching for potential recovery attempts toward 0.1950 area đ
(These are neutral market observations â not financial advice.
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