China Considers Shifting from US Treasurys to Gold & Crypto

Central banks, including China, are exploring alternatives to US Treasury holdings as geopolitical tensions and uncertainty rise. BlackRock’s Jay Jacobs points to a growing trend of diversification away from traditional assets like gold and cryptocurrencies. He attributes this shift to geopolitical fragmentation, exemplified by the freezing of Russian central bank assets following its invasion of Ukraine, which has prompted countries like China to re-evaluate their reserve strategies.