The post China Chases Gold Supremacy As It Builds A U.S. Dollar Alternative appeared on BitcoinEthereumNews.com. China is rapidly closing the “gold gap” with the U.S. as it quietly builds what is believed to be world’s second largest stockpile of gold. Unofficial estimates put China’s gold reserves at up to 5500 metric tons, more than double the officially reported holding of 2303.5 tons. Gold ingots in Tongling, Anhui Province of China. (Photo by Guo Shining/VCG via Getty Images) VCG via Getty Images If correct, the 5500-ton calculation by Australia’s ANZ Bank, lifts China from seventh on the gold ownership league table to second, above Germany’s 3350.3 tons but behind the 8133.5 tons owned by the US. Chinese gold buying, reported and unreported, has been the major factor in the steep rise in the gold price over the past three years, including a 54% increase in the last 12-months to $4038 an ounce. Building its reserves is just one part of China’s gold strategy which is part of a campaign to reduce exposure to the U.S. dollar. Other features of the Chinese gold rush include the creation of a world-class gold trading hub centered on the Shanghai Gold Exchange (SGE) and the relaxation of rules governing investment in gold by Chinese insurance companies. Jeff Currie, chief strategy officer of energy pathways at fund manager Carlyle, told the Financial Times newspaper that “China is buying gold as part of a de-dollarization strategy.” ANZ, in its Vault research report, said China had been increasing its activity in the gold market by “accumulating reserves, enhancing trading infrastructure and promoting domestic and international participation”. Gold Trading Hub But the bank also warned that progress towards becoming a gold trading hub would be gradual due to the challenges in attracting international investors and central banks to hold their gold reserves in China. “China is the largest producer and consumer of gold,” ANZ… The post China Chases Gold Supremacy As It Builds A U.S. Dollar Alternative appeared on BitcoinEthereumNews.com. China is rapidly closing the “gold gap” with the U.S. as it quietly builds what is believed to be world’s second largest stockpile of gold. Unofficial estimates put China’s gold reserves at up to 5500 metric tons, more than double the officially reported holding of 2303.5 tons. Gold ingots in Tongling, Anhui Province of China. (Photo by Guo Shining/VCG via Getty Images) VCG via Getty Images If correct, the 5500-ton calculation by Australia’s ANZ Bank, lifts China from seventh on the gold ownership league table to second, above Germany’s 3350.3 tons but behind the 8133.5 tons owned by the US. Chinese gold buying, reported and unreported, has been the major factor in the steep rise in the gold price over the past three years, including a 54% increase in the last 12-months to $4038 an ounce. Building its reserves is just one part of China’s gold strategy which is part of a campaign to reduce exposure to the U.S. dollar. Other features of the Chinese gold rush include the creation of a world-class gold trading hub centered on the Shanghai Gold Exchange (SGE) and the relaxation of rules governing investment in gold by Chinese insurance companies. Jeff Currie, chief strategy officer of energy pathways at fund manager Carlyle, told the Financial Times newspaper that “China is buying gold as part of a de-dollarization strategy.” ANZ, in its Vault research report, said China had been increasing its activity in the gold market by “accumulating reserves, enhancing trading infrastructure and promoting domestic and international participation”. Gold Trading Hub But the bank also warned that progress towards becoming a gold trading hub would be gradual due to the challenges in attracting international investors and central banks to hold their gold reserves in China. “China is the largest producer and consumer of gold,” ANZ…